General Discussion, page-3952

Small Caps this morning. Are these the ASX window shoppers?? Need to see bettter numbers before they buy??
Younger generations enthusiastic offshore investors.
They have also been incredibly successful, with Gen Z and Millennial portfolios growing quickly due to a strong emphasis on the US share market in particular.
One estimate found that US and global shares could account for a combined 70% of Gen Z and Millennial portfolios, with just 30 per cent allocated to Australian shares – probably the absolute opposite of the asset allocation for many older Australian investors.
It is not hard to see why such an approach is working so well, with the tech heavy Nasdaq Composite index up 107% over five years compared to 81% for the S&P500 and just 28% for the ASX200.Using figures for the Pearler investing app, US asset exposure has increased by 138% in the two years to March 2024 to account for 50% of total asset exposures – a big jump from just 21% in 2022.
Locally listed ETFs provide for easy offshore investing
Much of the US exposure is provided by passive index ETFs that track the US indices but there is also a lot of direct US share exposure, particularly to fast-growing US technology companies.
While it is true that access to buying housing has become more difficult, it could also be true that younger generations are building their wealth – and potentially a housing deposit – through more efficient and faster growing means such as international ETFs.