Gen Z, particularly men, drove a sharp rise in retail investing since the pandemic, with 25-year-old participation increasing from 6% in 2015 to 37% in 2024. Participation growth accelerated up to and during the pandemic, then retraced modestly but remains substantially higher than pre-pandemic levels. Retail investors now wield collective influence and can move markets when sentiment aligns. Labor force participation rises sharply in late teens and early twenties, and the surge may reflect a cohort effect concentrated among those with meaningful incomes during 2020−21. Persistent gender and income gaps remain. Financial education is essential as more first-time investors encounter taxes, volatility, and losses.
JPMorgan research shows Gen Z-particularly men-have driven a surge in retail investing since the pandemic, with participation among 25-year-olds jumping from 6% in 2015 to 37% in 2024. While gaps by gender and income persist, the bank said financial education will be crucial as more first-time investors face the realities of taxes, volatility, and losses. Over the past decade retail investors have become a force to be reckoned with, proving they have the strength in numbers to outplay Wall Street professionals.
As context, labor force participation increases sharply for people in the late-teens, early-twenties population. For people without significant incomes during the pandemic, their finances were less likely to be directly affected by the savings boom. The rise in investing for younger individuals may therefore capture a temporary cohort effect, strongest for those with meaningful incomes during the unique 2020−21 period.
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