India’s Gen Z investors prefer WhatsApp; lead in value-based investing, survey shows

Young investors in India are more likely to use WhatsApp to communicate with financial advisers and prioritise values-based investing than peers in other major markets, according to a global survey by the CFA Institute.

The study is based on responses from over 2,400 mass affluent, high-net-worth and very-high-net-worth investors across India, the United States, the United Kingdom, Canada, Singapore and the UAE. It examines advice usage, asset allocation, decision-making behaviour and expectations from advisers among Gen Z and millennial investors.

Advice usage high, with mix of human and digital channels

The survey shows that 92% of Gen Z investors use financial advice compared to 89% of millennials. Within Gen Z who use advisors, 43% use human advisers, compared with 58% of millennials.

Gen Z investors are more likely to access advice through robo-advisers or workplace channels, while millennials show higher use of traditional advisers. Around 70% of investors who use paid advisers interact with them at least once a month.

Trust is defined by measurable factors such as performance, transparency, credentials and data security, alongside cost clarity.

WhatsApp a primary communication channel in India

The report identifies WhatsApp as a primary channel for adviser interaction in India and the UAE. In contrast, investors in the US and Canada rely more on email and phone-based communication.

Crypto, mutual funds and alternatives feature in portfolios

The survey finds that 48% of young investors hold cryptocurrency and 49% hold mutual funds, alongside exposure to real estate and alternative investments.

The report also shows that 55% of young high-net-worth investors have made investment decisions driven by fear of missing out, particularly in emerging asset classes such as cryptocurrency.

India leads in values-based and social investing

India records the highest share of values-based investing among surveyed markets at 45%, compared with 41% in the United Kingdom and 35% in the United States.

Social outcomes influence investment decisions for 31% of Indian respondents, compared with 14% in Singapore. Interest in faith-based or Sharia-compliant investments stands at 19% in India.

Social media and AI widely used, advisers remain most trusted

The survey shows that 44% of Gen Z investors use social media as their primary source of financial information. Around one-third use generative AI tools for financial education.

Despite this, human advisers remain the most trusted source of investment guidance.

Advisers expected to provide broader, goal-linked support

The report finds that 86% of young investors want help with budgeting, 84% with insurance, 81% with financial education and 72% with strategic philanthropy.

It identifies five priorities for advisers, namely, holistic financial planning, behavioural coaching, high-frequency digital engagement, integration of artificial intelligence with human advice, and staying current on market trends.

In India, the report highlights an opportunity to combine insurance-linked products such as Unit Linked Insurance Plans with broader financial advice, alongside maintaining frequent, messaging-based client interaction.

Wealth transfer expected, adviser retention remains low

The findings come as a global wealth transfer of $83 trillion is projected by 2050. The survey shows that over 95% of Indian respondents expect to receive an inheritance, with 85% expecting it within ten years.

Overall, only 19% investors retain their parents’ financial adviser, indicating limited intergenerational continuity and the need for firms to build direct relationships with younger clients, the report notes.

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