Financial crises are always on the table. If we go back, we can recall the 2007-2008 Financial Crisis which swept away the wealthy status of the Baby Boomers and Generation X. Every seven to ten years there’s a strong tendency to undergo a financial crisis. Will Millennials be ready for the next one?
According to a recent survey carried out by Fundrise, most Millennials say they’re not ready and they believe there’s no way to be ready for it. They just don’t see viable a way to respond to it effectively.
Millennials are aware of what happened during the last financial crisis. Still, they’re not considering the real options so they can get through it as best as possible. Why’s that? Mainly because they’re not even sure of the reasons why or why not to invest in the stock market or other assets.
Most of their investments go to stocks and bonds which are highly correlated, meaning their prices tend to move in lockstep among themselves making them risky and extremely volatile. Aspects that might backfire once the new crisis occurs.