Most young people in Brazil do not have financial control

SAO PAULO - July 24, 2017 - PRLog -- Millennials are still widely studied by science. Whether it is by their consumption habits or their relationship with society in general, several researches have tried to understand what is going on in the minds of young people of this generation.

Little is said, however, about their relationship with money. The good news is that a Brazilian digital bank has surveyed 1,000 people aged 18-35 across the country to better understand how they deal with personal finances in different situations.

Among the results, the most impressive number is that 72% of the participants admitted that they do not save money. To justify this lack of financial control, 55% said the problem is the tight budget that leaves no money left, 22% said they do not know how to do a good financial control and 15% believe it is more difficult because they do not use tools to help taking care of finances.

Young people who do not carry out adequate financial control have said that despite the clutter, there are some factors that may encourage them to organize themselves better. The most recurrent reasons were: to save money to improve financial health (29%), to be more organized to avoid debts (14%) and save money to buy something out of the budget (10%).

Part of this lack of financial planning may be linked to the recent increase in unemployment levels in Brazil, which affected the younger population. In addition, the increase in the price of products and services may also have impacted the balance of accounts.

Because of the ease of access and management, the saving accounts are still the favorite of most people in the country. Among the young Brazilians who can save part of what they receive in the month, 55% said they use the savings account to retain the values.

Regarding investments, 63% of respondents stated that they have an account with traditional banks, 14% prefer to invest through brokerage firms and 08% like to make investments through banking institutions specialized in the area.

When asked about the possibility of realizing a dream through structured financial planning, 47% of respondents stated that they dream of acquiring their own home, 23% intend to make a long trip and 20% would like to buy a car.

The data revealed by the survey indicates the difficulty of young millennials in balancing finances intelligently. There are two sides that need to be evaluated in this issue: the lack of familiarity of Brazilian youth in relation to the dynamics of the financial market and the contribution of technology so that financial services are increasingly accessible to young people. An example of this technological facility comes from the Brazilian Stock Exchange (https://www.tororadar.com.br/blog/bovespa-the-brazilian-s...), BM&F Bovespa, which has experienced a growth of the younger public among its investors.