Retail investors consider stocks, bonds more complex than crypto: Survey

A survey by the World Economic Forum (WEF) showed that retail investors find well-established stock and bond markets more mysterious than the wild world of cryptocurrencies.

A privately funded WEF survey in collaboration with BNY Mellon and Accenture showed that 29% of investors said they don’t understand the nascent cryptocurrency market, while about 40% of investors noted that they do not understand stocks or bonds.

The survey also revealed that 70% of retail investors were under the age of 45.

Megan Andrews, who invests at WEF, said, “There has been a lot of talk about global adoption and trading volumes of crypto increasing significantly over the past few years, which may impact investor awareness of the product.”

“Low coverage of more traditional products such as stocks and bonds can also have an adverse effect on awareness.”

The cryptocurrency market cap soared to $3 trillion last year, according to data platform, but it has lost nearly two-thirds of its value amid rising inflation and tight financial conditions.

According to the Securities Industry and Financial Markets Association, the peak of the crypto market, however, was small compared to the $124.4 trillion global equity market and the larger bond market of $126.9 trillion in 2021.

comes in the form of a survey retail investor After banding together on social media forums last year to run eye-watering rallies at GameStop and squeeze bearish hedge funds out, they became a force to be reckoned with.

A Gallup poll published in May showed that 58% of Americans said they owned stocks.

The WEF survey of more than 9,000 individuals in nine countries also showed that the majority of investors were looking to build long-term wealth.

But, about 40% of those surveyed did not invest and said that they did because they did not know how to invest or investing was too confusing.

This story has been published without modification in text from a wire agency feed. Only the title has been changed.

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