Millennials Strike Gold: Stocks Propel Wealth Growth for Younger Generations

Youthful Wealth Surge

In a surprising turn of events younger Americans have experienced a significant surge in wealth growth compared to their older counterparts. According to a study by the New York Federal Reserve Americans under 40 saw their wealth increase by a whopping 80% to reach $9.5 trillion between Q1 2019 and Q3 2023. Looks like the younger generation is giving a whole new meaning to 'Youth in Asia,' huh?

Oldies Left in the Dust

While the younger crowd was busy raking in the dough the same can't be said for those over 40. Americans between the ages of 40 and 54 saw a measly 10% increase in their wealth during the same period while the 55 or older group managed a slightly better 30% gain. Talk about a generation gap! Looks like the oldies need to step up their game!

Stocks Slinging Cash

The main driver of this wealth surge for the younger generations? Stocks baby! The study reveals that Americans under 40 witnessed a jaw dropping 50% increase in the value of their financial assets through stocks since 2019 while those 55 or older only saw a sad 20% bump. It seems like the younger crowd knows how to play the stock market game better than the rest. Screw you guys I'm going home to buy some GameStop shares!

Stimulus Checks and Stonks

It turns out that the pandemic played a significant role in this wealth building frenzy. Younger adults received larger stimulus checks and they wasted no time putting that money to good use: buying stocks! The study highlights that corporate equities and mutual funds accounted for 25% of the financial assets for those under 40 in Q3 2023 up from just 18% in 2019. Guess they wanted to make sure their Lambo fund was nice and stocked!

Wealth Disparity: The Struggle is Real

Now it's important to note that the youngsters are still playing catch up with their wealth status. With a total wealth of $9.5 trillion they're still a far cry from the $29 trillion held by the 40 to 55 age bracket and the whopping $104 trillion amassed by those over 55. It's your typical tale of 'Bigger Longer & Uncut' wealth gaps folks. You know like Kenny's lack of immortality.

Stocks: The New Real Estate

Here's the thing: real estate is no longer the go to wealth builder for millennials and Gen Z. With sky high prices shutting the door on many aspiring homeowners stocks have emerged as the ultimate wealth creator. As the stock market continues to soar to record highs the wealth gap between the old farts and the young guns might just start to narrow down. Perhaps there's hope for humanity after all!