European millennial investors tighten control over personal finances amid market volatility - far more so than older generations

• 53% of European millennial investors say they’re currently exercising more control over their portfolios, compared to 43% of Gen X and 33% of baby boomers
• 46% of European millennial investors say they’ve bought inflation-protected assets in the last year, compared to 29% of Gen X and 27% of baby boomers
• 28% of European millennial investors have converted portfolio capital to cash in the last 24 months, compared to 16% of Gen X and 21% of baby boomers

European ‘Gen X’ (those born between 1965-80) appetite for riskier investments in the current, volatile market is markedly lower than the typically wealthier generations above them, according to the latest 2025 EY Global Wealth Research Report, which finds that 30-40-year-old investors are more likely to be tightening control of their portfolios and converting investment capital into cash in the current environment. 

The report, which surveyed nearly 3,600 wealth management clients globally, including more than 1,000 across Europe, found that investment performance is the top concern of investors of all ages, followed by inflation which is raising the cost of living and reducing purchasing power. Market volatility and geopolitical risks rank 3rd and 4th as investor concerns.

Hermin Hologan, EMEIA Wealth and Asset Management Leader at EY, comments: “Uncertainty in financial markets always leads to rising investor caution and a tightening of risk management, but what is interesting in this latest data is that the older – typically wealthier – generations are currently doing less, relying more on their advisors. As investors react to market shocks and economic downturn, it is key that wealth managers maintain strong lines of communication and are always on hand to clearly outline risk management strategies for both long- and short-term investments.”

Cashing out is on the up for European private investors

The survey data finds that over the last two years, 28% of millennial investors have converted portfolio capital to cash, compared to 16% of Gen X and 21% of baby boomers.

As private European investors have managed their wealth, 46% of millennial investors say they’ve bought inflation-protected assets in the last year, compared to 27% of Gen X and 29% of baby boomer investors.

Despite these concerns, 69% of European investors say they are still happy to make investment decisions based ‘on a hunch’. However, 41% of European millennials claim to have increased the number of planning meetings with financial advisors in the last year.

Growing interest in alternative investments in Gen X age group

Investment in non-traditional asset classes such as alternatives and crypto assets is on the rise according to the survey data, especially amongst 44–60-year-olds. Forty-seven per cent of European Gen X investors say they currently have investments in digital assets, compared to 36% of millennials and 14% of baby boomers.

Common concerns about alternative investment classes may impact investment levels and take-up, with 45% of European investors citing the higher risk of alts being the main barrier, followed by high fees (38% cited this), and then the lack of clarity around the risk-and-return profile (37%). This suggests better client education in alternative investment options could be beneficial and could result in greater take-up.

Roopalee Dave, EY UK&I Wealth Management Leader, concludes: “The growth in the alternatives market is significant, as many millennial investors look to more actively manage their accumulating wealth. It is essential that wealth managers have the skills to offer advice across emerging as well as traditional asset classes. With many clients actively looking to diversify their portfolios and switch providers to achieve higher returns, the most agile and digitally enabled wealth managers will most likely see commercial success in a competitive environment.”

ENDS

Notes to editors

Methodology

The EY organization worked with market research consultancy Savanta to conduct a broad survey of nearly 3,600 wealth management clients in 30 geographies to understand what they value most in their wealth management relationships across service models, engagement choices and value-aligned advice.  

EY profiled clients not just by traditional segments, such as age, gender, wealth and country of residence, but also by risk appetite, life stages, profession, sexual orientation, race and ethnicity and psychographic profiles. 

Geographic coverage: North America including the US and Canada; Latin America including Brazil, Chile and Mexico; EMEA including France, Germany, Italy, Luxembourg, Netherlands, Switzerland, and UK; Nordics including Denmark, Norway and Sweden, Middle East including Qatar, Saudi Arabia and UAE; Asia-Pacific including Australia, China, Hong Kong SAR, India, Japan, Republic of Korea, Singapore and ASEAN including Indonesia, Malaysia, Philippines, Thailand and Vietnam.