How Millennials Will Affect the Future of Finance

Several members of team C2FO attended the Kansas City Chamber of Commerce Economic Forum last week and took in a lot of really interesting information about the state of the local, national and global economy.

One of the most thought-provoking takeaways was the role that the Millennials generation (people born between 1980s and 1995) will play in the world’s economic future. According to presenter Mike Avery, President of Waddell & Reed Financial, this generation is significant not only because its members already outnumber other generations in the labor market, but also because their perspectives on life and finance have been shaped by the most recent financial crises.

U.S. Millennials grew up with ample material goods only to see the recession take a huge bite out of the middle class. They followed their parents’ and grandparents’ advice to continue their education, only to end up with massive debt. This generation has learned the hard way that the old ways of doing things no longer work, so they are the group that will be leading the way toward new solutions.

You can see the influence of the Millennial-led swing toward disruptive technologies in the popularity of businesses such as Uber and Airbnb. As more Millennials take leadership roles in the corporate world, they are expected to be increasingly open to innovation and growth, even in traditionally conservative and risk-averse sectors like finance.

In his presentation, Mr. Avery suggested, “Millennials should be the engine of growth,” and also said, “Financial sectors could be more aggressive.”

Both of these statements resonated with us because C2FO represents innovation and growth in the fintech category and we recognize that new types of thinking will make the difference in the evolution of the financial space. We also have numerous Millennials on our team, including data scientist Piero Ferrante who was recently named by Ingram’s Magazine among outstanding “20 in their Twenties” executives and business owners. He’s just one of many talented and forward-looking young people at C2FO who will help guide the company’s future.

Baby Boomers and Generation X have been learning the hard way that their “tried and true” finance practices no longer pay off in increased GDP and job growth. It may be the Millennials who finally embrace new ways of doing things and find the right financial solutions for the 21st Century.