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45 pc young Indians choosing stocks as their primary investment option: Report

IANS February 24, 2025 226 views

A groundbreaking report reveals a significant shift in Indian investment patterns, with nearly half of young investors preferring stocks as their primary financial instrument. Digital investment platforms and increased financial awareness are driving this transformation, making equity investments more accessible and appealing. Despite growing enthusiasm, challenges like financial literacy and market volatility remain prominent concerns for new investors. The study also highlights an emerging opportunity to bridge the gender gap in stock market participation.

"Equity investments are truly being recognised as an excellent wealth creation tool" - Amar Choudhary, 1Lattice CEO
Bengaluru, Feb 24: Forty-five per cent of Indians, under age 35, are now picking up stocks as their primary investment option, a new report said on Monday.

Key Points

1

81% of young Indians now invest directly in stock market

2

Digital platforms transforming investment learning

3

Financial literacy remains key challenge

4

Gender gap persists in stock market participation

The growing interest in the stock market is driven by increased financial awareness, better access to investment tools and a desire for long-term wealth creation.

According to the 'Investor Behaviour Index' (IBI 2025) report by StockGro, in collaboration with research firm 1Lattice, 81 per cent of respondents have already invested in the stock market.

This shift indicates that more young people are moving away from traditional savings instruments and embracing direct equity investments.

"Equity investments are truly being recognised as an excellent wealth creation and passive income generation tool," said Amar Choudhary, CEO at 1Lattice.

Despite this enthusiasm, financial education remains a major challenge, the report added.

It found that 42 per cent of non-investors feel they lack the knowledge needed to start investing, while 44 per cent of aspiring investors want step-by-step guidance.

Additionally, 38 per cent of respondents prefer learning through online video courses -- a growing demand for structured and accessible financial education.

"With young investors leading the shift towards equities and education-first digital platforms, the need for financial literacy has never been more urgent, according to Ajay Lakhotia, Founder and CEO, StockGro.

Digital investment platforms are playing a crucial role in this transformation.

The report revealed that 68 per cent of respondents prefer using digital platforms for investment-related learning and trading.

Features like real-time insights, AI-driven recommendations, and virtual trading experiences have made investing more accessible.

Nearly 50 per cent of beginners prefer practicing with virtual money before making real investments.

The study also showed the gender gap in stock market participation, with only 10.1 per cent of investors being women.

However, there is a positive shift, as 34 per cent of female respondents plan to increase their exposure to equities in the coming year.

Market volatility remains a concern for investors, with 51 per cent expressing fears about potential market crashes.

The findings showed that financial literacy and digital investment tools are reaching beyond metropolitan areas.

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