Pluang has just conducted a survey involving 5500 respondents from a number of major cities in Indonesia. Focusing on investing and saving behavior for the millennials. One of the findings, gold is the main choice (32%) for this age group during this pandemic for investment.
Pluang’s VP Business Development, Humprey explained, there are some factors that cause gold to be the top choice for millennials. One of them is affordability with promising reciprocity.
“As many as 32% of the millennial generation reportedly tried new investments, namely gold. This is the highest percentage compared to other well-known investments such as mutual funds, stocks, and deposits,” Humprey said in his presentation.
Humprey’s presentation shows that the new investment in gold chosen by their respondents far outperformed other forms of investment such as stocks (15%), mutual funds (16%), deposits (8%), to p2p lending (4%). Another factor that helped catapult the popularity of gold in the Kiwari group was the price of gold which had risen significantly in the April-July 2020 period.
This survey actually captures that the budget for investment tends to decrease. Millennials are known to save more during this pandemic. Millennial saving enthusiasm is known to increase by around 5-10%. However, the pandemic factor has also caused the millennial generation’s budget allocations to change a lot. The costs of transportation and travel are two budget items that have diminished considerably since the pandemic began.
The unprecedented situation due to the Covid-19 outbreak is enough reason for millennials to allocate more money to save. The need for pension funds, emergency funds, family savings, buying property, medical expenses, and education funds are respondents’ top priorities when saving.
Nevertheless, the survey overall found that millennials still prefer to save their money in the form of investment (59%) rather than saving (41%). Meanwhile, the most attractive investment, as mentioned earlier, is gold.
“There are 54% of millennials having new investment during the pandemic and gold is the main choice,” said Humprey.
As a digital investment platform, he believes gold offers great opportunities for companies during a pandemic. Gold is indeed one of the investment products offered by Pluang along with other products. The Pluang movement to take advantage of this opportunity has actually been seen since actively engaging other platforms to offer gold investment products.
Gojek and Dana are two of the names they have partnered with over the past few months. Humprey also admits that this is reflected in their current user profile and activity. “So the big picture of investment is very attractive, especially in gold, especially during this pandemic,” he added.
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Original article is in Indonesian, translated by Kristin Siagian
