Millionaire Bankers Feel Sorry for Struggling MillennialsBy
Millennials get a lot of press -- good and bad -- but Credit Suisse reckons they should have our sympathy.
Its Global Wealth Report says those who came of age after the turn of the century have had a “run of bad luck,” and that low wealth tend to be disproportionately found among the younger age groups.
“They faced the rigors of the financial crisis... and have also been widely hammered by high and rising house prices, rising student debt and increasing inequality. Millennials are not only likely to experience greater challenges in building their wealth over time, but also greater wealth inequality than previous generations.”
While relative youth means they’ve as yet had little chance to accumulate assets (or are spending all their money on avocado toast), Credit Suisse says they face “particularly challenging circumstances.”
Comparisons with the baby boomers may not be strictly fair, but the report notes that millennials are doing less well than their parents at the same age, especially in relation to income, and home ownership. Their pension outlook is also worse than that of preceding age cohorts.
“On the whole, they are not what one would call a lucky generation,” Credit Suisse said.
Other highlights from the report:
- Global wealth rose 6.4 percent in the past year and is now $280 trillion
- North America and Europe together account for 64 percent of total household wealth (but only 17 percent of the adult population)
- U.K. was an underperformer in the past year, with wealth per adult up 2 percent in local currency terms
- The richest 1 percent account for half of total household wealth