We are used to having Wall Street banks and stock markets at the head of the financial system. Passes through them the main stream of funds is the United States, and cryptocurrencies are still just at the dawn of a new financial era. But do not forget about one thing - now there is a change of generations and, as a result, stereotypes.
According to Forbes, by 2030the standards of the American economic movement will be determined by millennials (people born from 1981 to 1996), to whom more than $ 68 trillion of capital will be transferred from their parents in a couple of decades. They will become the richest generation in US history.
But most notably, millennials are notThey believe in banks and stock markets - they like digital technologies and cryptocurrencies more. This can fundamentally change the global financial system and provoke the growth of bitcoin and other crypto assets to such heights that the “native” of 2017 will seem like a petty prank.
Great Wealth Transfer: Millennials receive $ 68 trillion
Generations are replaced one after another, and each brings with it something new. They are classified by year of birth:
- The silent generation: 1928−1945 (73−90 years)
- Baby Boomers: 1946–1964 (54–72 years)
- Generation X: 1965–1980 (38–53 years old)
- Millennials (Generation Y): 1981−1996 (22−37 years)
- Post Millennials (Generation Z): 1997 to Present (0–21 years)
Historically, it’s now a ballBaby Boomers rule the richest generation in United States history. Their youth passed in the heyday of the American economy, when getting a quality education was cheap, and finding a well-paid job was easy. They brought into the world real estate, which has risen exponentially, and the rapid rise of the stock market.
If the baby boomers made millions on this, thenthe millennials generation is forced to reap the negative fruits of the then-heyday. Studying is fabulously expensive, most of the apartments can only be obtained on credit, and compulsory insurance takes a huge part of the income. The problem was especially acute after the 2008 crisis. The life of millennials is more complicated than that of their predecessors, but soon they will occupy a crucial role in the economy and become the richest generation in history.
Study of a real estate company Coldwell Banker,referenced by Forbes, speaks of the beginning of the “Great Wealth Transfer”. This means that the richest generation of baby boomers today is gradually transferring assets to their descendants - the millennial generation:
- In 2019, among American millennials 618000 millionaires (2% of the total US population). On average, their assets range from $ 1 million to $ 2.5 million, and the average age is 34–37 years. The amounts are small, but with the beginning of the new decade, the picture will begin to change before our eyes.
- Over the next 25 years, more than $ 68 trillion will go to the disposal of the American millenials. This is the largest inheritance transfer in world history.
- By 2030, the millennials will be 5 times richer than today. That is, in just ten years, this generation will be dominant and richest in the global economy.