Global Poll: 52% Millennials Want to Diversify Portfolios with NFTs

Global Poll: 52% Millennials Want to Diversify Portfolios with NFTs

NFTs are becoming a blazing option for young adults looking to invest their money.

A global poll reveals 52% of millennials and 74% of Generation Z are considering and open to including non-fungible tokens (NFTs) in their investment portfolios. The fresh poll comes from the deVere Group, one of the world’s top financial advisory, asset management, and fintech firms with reportedly $12 billion under advisement.

The firm said 600 of its clients age 42 and under were surveyed in Europe, North America, Asia, Africa, Australia, and Latin America.

Growing rapidly in popularity with Black Americans, an NFT is a digital asset like an image or audio clip. NFTs are bought and sold often with cryptocurrency as part of the digital economy.

The asset class blasted off big-time last year with a digital-only piece of art selling for $69 million, deVere reported. According to the firm, since then a growing number of celebrities, artists along with fashion, music, tech, and sports brands have been creating, buying, and selling NFTs.

According to Investor King, deVere Group CEO and founder Nigel Green said, “The findings of this poll underscore that digital natives—those who have grown-up immersed in a fully accessible digital life—understand that unique, highly portable, and transferable digital assets have an intrinsic value and that this is a trend that will inevitably grow moving forward.”

He explained that vigor of digital engagement is creating new business models in many sectors.

“Sensibly, younger generations—who instinctively better understand it—appreciate that, therefore, it’s going to shape the future of investing.”

oHe added, “They’re keen to have a stake holding in this new financial ecosystem by including NFTs in their portfolios.”

Green also reflected how diversification can mitigate risk and capture opportunities.

“NFTs have a very low correlation to other assets, such as stocks and bonds, and can therefore, lower your portfolio’s overall risk and volatility levels.”

Yet, people wanting to buy NFTs should do their homework and research before investing in the commodities. Insiders contend potential investors should ask themselves, will they be able to find a buyer for their NFT and how long will it take?

Another point to examine closely is not every NFT will become valuable, increasing the risk of whether it will be a good investment or not.

Examining various sites that dive into the NFT mania could be helpful.