Millenials are behind in online stock market investing – First Metro Sec
Millennials may be good in technology, but they are behind when it comes to online stock market investing, according to First Metro Investment Corp.’s stockbrokerage arm.
According to the Labor and Employment Estimates of the Philippine Statistics Authority, millennials make up 45.1 percent of the total Philippine workforce, making them the largest group among the three generations, but First Metro Securities Brokerage Corp. (FirstMetroSec) estimates that less than 10 percent have an investment or savings in some way or form.
“Millennials, in general, have a lot of financial aspirations. Often you’d hear that they desire to gain financial independence by the time they reach 40, some to even as early as 30. The wish list often includes being able to travel the world, spend worry-free, and enjoy more-thanaverage standard of living for themselves and their family. But a great majority have no clear strategy on how to achieve this. And if ever they do, they tend to go conservative, not maximizing the opportunities and resources available to them,” Beltran said.
Compared to baby boomers and Gen X, millennials somewhat lag behind in terms of financial standing, according to the brokerage company.
It estimates that less than one percent of Filipinos are invested in the stock market.
“Although it is where one can significantly grow his money, we noticed that millennials tend to be apprehensive due to unfamiliarity, confusion, and intimidaTo tion. We think this shouldn’t be the case, especially now that technology has already made stock market investing a lot easier and intuitive, especially for the tech-savvy millennials,” First Metro Securities Brokerage official Andreo Leo Beltran said.
Just like online shopping, an investor has to do his research, according to FirstMetroSec.
“If you read reviews or compare prices before you buy items online, you have to do the same when you invest in stocks lest you find yourselves losing the value of your investment. Although stock investing has many benefits such as high returns, income from dividend, and liquidity, there are also corresponding risks that may be due to market volatility and wrong stock picks among others.”
help raise awareness about online stock trading, FirstMetroSec regularly conducts seminars, including Basic Education on Stock Trading (BEST), which tackles basic stock market information, and Guided Investor, Fearless Trader (GIFT) for individuals already invested in the market and with in-depth understanding of market valuations and technical analysis.
First Metro Securities Brokerage Corp. is a stockbrokerage house licensed to trade in the Philippine Stock Exchange (PSE). FirstMetroSec is wholly owned by FMIC, the investment banking arm of the Metrobank Group. FirstMetroSec also offers timely and accurate research and aims to empower clients to make informed investment decisions.