ASX shares investors are getting younger and trading more often: CBA report

Find out which ASX shares and US stocks are favoured by Millennials and Gen Z investors.

Australia's community of ASX shares investors is getting bigger and younger, according to new research from CommSec.

CommSec recorded 11.5% growth in active customers over FY26, with trading volumes up 27%, and traded value up 33%.

Millennials were the dominant investor group in FY26, representing 37% of active trading accounts.

Young investors were more proactive, with the total trade value among clients under 40 years increasing 55% in FY26.

By comparison, trade value among customers aged over 40 years rose 30%.

Gen Z (born 1997-2012) accounts for just 1.6% of the wealth held by CommSec investors, but they were the most active traders.

Gen Z represented 19% of active market participants in FY26.

CommSec said Gen Z was turning to ASX shares to build wealth because they were priced out of Australia's property market:

Where 40 years ago, Baby Boomers and Gen Xers could buy a typical first home in Sydney or Melbourne for around 3-4 times the average salary of the time, Gen Zers face a price ratio of up to 14 times their average salary, following several decades of property values far outpacing average wage growth.

Consequently, investing in the stock market to generate capital has become an appealing alternative to property for many Gen Zers…

A woman wearing a yellow and white striped top and headphones plays excitedly with her phone.

Image source: Getty Images

First-time ASX shares investors

First-time investor activity in FY26 was strongest amongst clients aged under 40 years at 66%, up from 63% in FY24.

Female investors accounted for 42% of first-time investors, up from 36% two years ago.

Overall, 66% of active investors on CommSec in FY26 were men and 34% were women.

Gillian Bowen, Head of Media and Markets at CommSec, said:

Australians are investing in greater numbers than ever before, but the path they're taking increasingly reflects their life stage, priorities and financial circumstances.

Younger investors are entering the market earlier and are highly engaged, while older generations continue to hold significant pools of wealth built over decades.

Young Australians' portfolios were primarily full of ASX shares.

The most traded ASX shares among Millennials were: Droneshield Ltd (ASX: DRO), PLS Group Ltd (ASX: PLS), Zip Co Ltd (ASX: ZIP), and CSL Ltd (ASX: CSL).

The most traded among Gen Z were: Droneshield, PLS Group, Zip, and Commonwealth Bank of Australia (ASX: CBA) shares.

While younger investors retained the home bias of previous generations, they were increasingly engaged in overseas markets.

Younger investors more open to international shares

Younger Australians were increasingly focusing on international shares, the research showed.

About 10% of Gen X (born 1965-1980), Millennials (1981-1996), and Gen Z portfolios on CommSec contained international shares.

That compared to 5% for Baby Boomer (born 1946-1964) portfolios.

CommSec said global tech shares featured prominently among the most traded shares for all investor groups in FY26.

The most traded US stocks among Millennials were: Tesla, Nvidia, Super Micro Computer, and Space X.

The most traded among Gen Z were: Tesla, Nvidia, ProShares UltraPro QQQ, and Direxion Daily TSLA Bull 2X ETF.

More than two-thirds of Gen Z investors held exchange-traded funds (ETFs), the largest proportion of any generation.  

The most traded ASX ETFs among Gen Z investors were: BetaShares Nasdaq 100 ETF (ASX: NDQ), iShares Global 100 ETF (ASX: IOO), iShares S&P 500 ETF (ASX: IVV), and Vanguard Australian Shares Index ETF (ASX: VAS).

Average value of portfolios

The average Gen Z shares portfolio on CommSec was worth about $20,000.

Millennials' portfolios were worth an average $66,000.

The average Gen X shares portfolio was worth $233,000.

Baby boomers held the most wealth, with the average portfolio worth $541,000.

The average number of shares held within a portfolio was surprisingly small.

Gen Z portfolios had, on average, three stocks or ETFs.

Baby boomers had an average of eight shares in their portfolios.

Motley Fool contributor Bronwyn Allen has positions in Zip Co. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended BetaShares Nasdaq 100 ETF, CSL, DroneShield, Nvidia, Tesla, and iShares S&P 500 ETF. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended CSL, Nvidia, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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