Gen Z Stockmarket: Young Investors Creating Wealth with R100
Discover how the Gen Z stockmarket movement is reshaping investing in South Africa, with young people embracing ETFs, digital platforms, and long-term wealth building.
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Gen Z Stockmarket Growth Signals a New Investment Era
The Gen Z stockmarket movement is rapidly transforming how young South Africans approach wealth creation. Once dominated by older, high-net-worth individuals, investing has become far more accessible thanks to digital platforms, lower fees, and the rise of financial education online.
Today, many young people are entering the Gen Z stockmarket with as little as R100, often through exchange-traded funds (ETFs). This shift marks a powerful change—investing is no longer reserved for the wealthy but is becoming a realistic goal for everyday youth.
Why the Gen Z Stockmarket Is Driven by ETFs
A defining feature of the Gen Z stockmarket is the strong preference for ETFs. Data shows that over half of Gen Z portfolios are made up of ETFs, highlighting a desire for low-cost, diversified, and transparent investment options. This generation values simplicity and accessibility. With ETFs, young investors can gain exposure to global markets like the S&P 500 while managing risk more effectively.
Young people building portfolios
Data from Standard Bank’s share trading platforms shows that while 18 to 29 year olds still make up a smaller investor base than older groups, their numbers are steadily rising. Even among those under 25, an age where market participation is usually low, there is already a noticeable cohort. Activity increases further in the 25 to 29 year old bracket. This suggests young people are moving from curiosity to actively building portfolios as they start earning.
Investment remains modest
The Head of Global Markets Retail Investments at Standard Bank, Nivedna Maharaj said: “Although the overall base of Gen Z investors remains modest compared with older age groups, the fact that thousands are already active on trading platforms is notable.” Maharaj added that while younger investors typically held smaller positions, their participation reflected a growing understanding of long-term investing.
Stakes in platforms and tech
The Gen Z stockmarket also reflects a blend of local and global interests, with portfolios spanning South African industries and international tech giants. Interestingly, investment decisions are increasingly tied to lifestyle. Young investors want a stake in the platforms and technologies they use daily, making the Gen Z stockmarket a reflection of both financial goals and personal identity.
From as little as R100
Lungile Macuacua, a portfolio analyst at 1nvest believes that accessibility is another major drawcard towards ETFs. “The minimum investment is very low. That removes the psychological and financial barriers that deterred earlier generations. So, young investors see an opportunity to own a portion of the S&P 500 for example, with just a R100 investment, giving them instant exposure to hundreds of companies,” added Macuacua.
Gen Z portfolios tend to reflect two converging worlds: the South African economy they’re growing up in, and the global digital landscape they inhabit daily. “Their holdings commonly span financials, retail and consumer-facing businesses. Their ETF preference shows up here too. When they want exposure to resource companies, many choose a RESI ETF for broad sector exposure in one product.
— Lungile Macuacua at 1nvest
What dominates Gen Z portfolios?
“An analysis of stock‑market activity among more than 3,000 Gen Z investors (18–29) showed a clear trend: a strong preference for ETFs. Over half (54%) of Gen Z holdings on Standard Bank’s online trading platforms are in ETFs, far higher than traditional portfolios, which usually mix individual shares across sectors and geographies. “ETFs align almost perfectly with the values and behavioural trends we’re seeing in this generation. They want transparency, low cost, diversification and with ETFs they can easily obtain those objectives,” says Nivedna Maharaj, the head of Global Markets Retail Investments at Standard Bank.
What are the best platforms to learn about investment?
“Social media is a double edged sword; it can just as easily be a source of misinformation and “get rich quick” narratives. Young investors are encouraged to seek out reliable, education-led advice, ensuring their decisions are grounded in fundamentals and oriented towards sustainable long-term investment growth,” says Lungile Macuacua, a portfolio analyst at 1nvest.
Power of Starting Early
One of the biggest advantages in this level of investing early is time. Starting young allows investors to benefit from compound growth, turning small, consistent contributions into significant long-term returns. However, while the Gen Z stockmarket shows promising growth, challenges remain. Social media platforms can spread both valuable insights and misleading “get rich quick” schemes. This makes financial education and credible advice more important than ever.
More than a trend
Ultimately, this represents more than a trend—it’s a mindset shift. Young South Africans are taking control of their financial futures, proving that starting small today can lead to lasting wealth tomorrow.
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