Growing interest in crypto among investors

New research reveals which financial products are most popular with first-time investors, with crypto up 22% over the past two years.

Crypto’s appeal grows among investors 

Broker Chooser, a company that compares brokers and financial trading platforms, conducted research among its clients to find out which financial products were the most popular in 2019- 2021, including crypto.

As was easily expected, stocks with 41.7% continue to be the most popular financial product among investors, followed by forex with 14.1% and options with 12.8%.

The report reads:

“Stocks have historically outperformed other types of investments in terms of profit in the long term, making them the most popular option for beginner and expert investors alike”.

In second place in this particular ranking, the most popular product for investors is Forex, the world’s largest financial market, with over 106,000 investors considering it as a must-have form of investment. 

Finally, in third place are options, which are seen as a kind of hedging tool against the volatility of other markets such as the stock or currency markets.

Compared to past years, however, these traditional assets are losing some of their appeal, leaving room for cryptocurrencies. Forex is down 6.2%, followed by CDF with -2.6% and options with -1.1%.

Cryptocurrencies become more attractive than forex and options

While among the products that have gained the most acceptance and popularity among investors, cryptocurrencies beat out the competition with a jump of +22%, in second place were funds with +1.5% and stocks with +0.7%.

The experts at Broker Chooser write:

“Cryptocurrency has gained the most popularity since 2019, with an average increase of 22%. These virtual currencies are based on blockchain technology and exist outside of government regulation. First-time investors are drawn to crypto for its potential as a lucrative asset due to its volatility and resulting potential to make big returns on investment”.

When it comes to the geographical differentiation of cryptocurrencies, South African investors seem to be the most interested in the investment, with almost 50% of the sample surveyed thinking it is a must-have asset in their portfolios. 

Indian people seem to be the most interested in stocks with 60.1%.

In the ranking concerning interest in crypto investments behind South Africa and the ever-present India comes Japan, with over 47% of respondents considering it an important asset for their investments.

It is worth noting that the United States does not feature in the top ten in any of the rankings compiled by Broker Chooser.