Latest installment of the ‘Next Investor Outlook’ from the innovative custodian highlights the top 100 stocks owned by a subset of millennials as of December 2019
Latest installment of the ‘Next Investor Outlook’ from the innovative custodian highlights the top 100 stocks owned by a subset of millennials as of December 2019
January 23, 2020
DALLAS — (PRNewswire) — Apex Clearing, the custody and clearing engine powering the future of wealth management, has released its Q4 2019 Apex Millennial 100 report, an analysis of the top 100 stocks owned by millennial investors using Apex partner applications as of December 31, 2019.
A part of the firm’s broader “Next Investor Outlook” series, which uses data collected from Apex partners to develop an understanding of the modern investor, the Q4 Apex Next Investor Outlook focuses specifically on the distinctive behavior of the millennial investor. According to Pew Research Center, millennials are projected to become the largest living adult generation, which has major implications for how, when and why financial services are consumed now and in the future.
The Q4 Millennial 100 report analyzed more than 734,000 investment accounts owned by US-based investors with an average age of 31 years and three months and found some notable patterns that differentiate their investing behavior from that of other generations.
“It’s been exciting to see how millennial’s investing habits have shifted over the past year,” said Bill Capuzzi, CEO of Apex Clearing. “From responding to key market moves, showing a keen interest in recent IPOs, and investing based on their values, millennials have proved to be a unique audience differing from their generational counterparts. We’re looking forward to continuing this series in 2020 and putting even more detailed information in the hands of the financial services sector as they advise millennials on how to better manage their overall financial wellness.”
Some trending stock themes in the Q4 Apex Millennial 100 include:
- Roaring into the 2020s with fresh portfolio picks: The roaring 1920s treated Americans to a rising stock market as investors embraced an exuberant economy and cutting-edge inventions, like washing machines, silent movies and automobiles. As we jump into the 2020s, millennial investors are positioning themselves to capitalize on the current era’s hottest innovations by heavily favoring young, tech-focused companies. In fact, the Apex Millennial 100 features more than 30 companies which made their public trading debuts within the last decade, including Tesla (#3), Facebook (#4), Alibaba (#10), Shopify (#19) and Square (#21).
Other generations also support the latest and greatest—but not to the same extent as millennials. For example, Roku ranks #26 for millennial investors but comes in as #45 for boomers and #89 for the silent generation. A similar pattern is seen with Square, which ranks #21 for millennials but doesn’t even crack the top 100 for the silent generation.
- Streaming wars: Do millennials have Baby Yoda fever? Titans of the media world are ushering in a new era in entertainment. The name of the game is streaming—and millennial investors are taking note. Walt Disney (#7), which is already home to streaming hubs Hulu and ESPN+, launched a new streaming service, Disney+, in November 2019 and signed up 10 million customers in its first day.1 Its popularity grew in the following weeks as viewers fell in love with Baby Yoda, an adorable character featured on the platform’s marquee series, The Mandalorian. Apple (#1) joined the fray by launching its own streaming service, TV+.
The Apex Millennial 100 also prominently features incumbent streaming players, including Netflix (#8), Amazon via Prime Video (#2) and Alphabet via Google’s YouTube (#12), as well as Roku (#26), a producer of streaming players and smart TVs.
- Cashing in with payment processors: Millennials’ investments in credit card companies Visa (#15) and Mastercard (#23) have paid off handsomely in recent months2 as the well-established payment processors enjoy a strong US economy and hard-to-replicate benefits of scale. Additionally, both companies are demonstrating their ability to innovate, helping to quell fears of disruption. American Express is also included in Millennial Top 100, squeaking in at #99.
Speaking of disruption, millennials haven’t forgotten about the newer wave of payment technology companies, with Square ranking #21 and PayPal #32. In fact, millennials are significantly more invested in these pioneering companies than boomers or the silent generation.
“If you review the findings of our Next Investor Outlook quarterly reports, one thing is for certain – millennials are investing in the future,” said Hannah Shaw Grove, Chief Marketing Officer of Apex Clearing. “Based on what we’ve seen in their top holdings, their fingers are always on the pulse of tech trends, innovation, and those companies which are in a position to influence the way we live and conduct business, and this quarter was no exception.”
To see the complete list of 100 stocks, click here.
About Apex Clearing Corporation
Apex Clearing is a custody and clearing engine that’s powering the future of digital wealth management. As a technology firm, Apex Clearing delivers speed, efficiency and flexibility to firms ranging from innovative start-ups to blue-chip brands focused on growth.
Apex Clearing’s fully integrated, customized solutions allow registered investment advisors (RIAs), digital advisors, fintech firms, broker-dealers and full-service firms to reach more investors and deliver the seamless digital experiences consumers expect. Founded in 2012 and based in Dallas – with offices in New York City, Chicago and Portland, Oregon – Apex Clearing Corporation is registered with the SEC, a member of FINRA and a participant in SIPC.
For more information, visit the Apex Clearing website, and follow the company on Instagram, LinkedIn, and Twitter.
