A comparative study of Financial Literacy level of Generation Z and Millennials

Abstract

Financial literacy is the first step towards building an investment attitude. Broadly, the financial literacy of a country contributes significantly in the capital formation for its economy. This study investigates empirically about the financial literacy level of the Generation Z and Millennials. Generation Z represents people who are born between 1997 to 2012 and Millennials represent the people who are born between 1981 to 1996. It is apparent in the existing literature that the Generation Z has better literacy and are more vigilant to invest. This study is empirical in nature in which data were collected from 140 respondents (70 from Generation Z and 70 from Millennials). Results of these studies show that there is a noticeable difference between the level of financial literacy between Millennial and Generation Z.