With the transfer of wealth that’s set to take place over the next ten years, millennials—that is, people born between the years of 1981 and 1996, give or take a couple years—will become the richest generation in history, per a report from Knight Frank, a global real estate consultancy.
Around $90 trillion in assets is expected to transfer to millennials from the silent generation (people born between 1928 and 1945) and baby boomers (1946-1961) over the decade or so. The younger generation has a different mindset on investing, the report adds, meaning that asset managers will have to adapt to the changing views.
Millennials tend to have a different view on climate change compared to previous generations. As such, they’re more likely to be focused on efforts such as reducing consumption and minimizing their carbon footprint.
The Wealth Report expects that capital will be redirected toward investing appropriately with climate change in mind. Similarly, a Bank of America survey in 2023 determined that around 75% of millennials would like to invest in sustainable ventures and products.