In the new world of FinTech applications are popping up that are focused on serving the generation who are the most heavy users of tech – the Millennials. This 18-30ish group of young adults has grown up with smart phones and instant access to a wide variety of information and services. They are tech savvy and growing in buying and saving power.
As such some global FinTech companies are leveraging technology to help this demographic improve their saving habits. In a global economy that has become built around spending, this business model may seem counter to the prevailing trend. As one founder of a recent FinTech startup observed…
“It was hard to convince people that we were building a business around savings, when businesses are almost always built around spending.”Vidur Malik, founder Hektor.
While this may be a challenge in today’s world of hyper-consumption, he is on the right track. Financial and economic trends follow a reasonably consistent pattern of cycles. Some of these cycles are short in duration while others span generations. It appears as though the world has entered a long term cycle where the preference of spending over saving is beginning to reverse.
As the following article notes however, “Just because millennials are interested in saving for retirement does not necessarily mean they are doing it properly.”
This can be said for savers of any age, whether Gen-X, Boomers, or Millennials. Today’s savings and investment world is more complex and must take into consideration more economic and geopolitical variables than at any other time in history. The key now is to provide technology platforms that will help this trend along rather than introduce confusion.
That is why we began in 2008 to build our business around making access to physical gold and silver available to everyone. Before FinTech was a word, our goal was simply to empower you with the freedom, control, and protection that comes with a diversified savings portfolio.
The OWNx Team
Photo credit (401k 2012)