Editor’s Note
- Younger Generation Prefers Risky Investments
- Generation Z’s View on Investing
- The Profit Potential of the Global Market Remains Enormous
- Indonesia One of the World’s Largest Internet Users
Younger Generation Prefers Risky Investments
The Indonesian Financial Markets Authority (OJK) has stated that the risk appetite of the current younger generation, particularly Generation Z, differs from that of previous generations. Mahendra Siregar, Chairman of the OJK Supervisory Board, stated that Generation Z prefers risky investments such as cryptocurrencies.
“Their risk appetite is indeed much higher, and perhaps their priorities have changed,” he said during a working meeting with Commission XI at the Indonesian House of Representatives (DPR RI) in Jakarta on Wednesday, January 21, 2026.
Mahendra explained that this is interesting because of the differences in financial management needs. Generation Z generally understands the risks of risky investments such as cryptocurrencies. This means their choices aren’t simply a lack of knowledge, but rather a difference in their perspective on investing.
“Perhaps their priorities have changed. This is an interesting insight. So, if it’s purely conventional educational knowledge, they might say they already understand it, but whether that understanding also aligns with their actual needs, which forms the basis for a more rational perspective, isn’t necessarily true,” he explained.
Generation Z’s View on Investing
Mahendra explained that the generations before Generation Z had a different view on investing. The first priority was meeting basic needs. Then, the remaining money was allocated to savings and long-term income, followed by low-risk investments.
After that, the remaining money was invested in risky assets. “If you then want to invest, you go to stocks or the capital markets. And that starts with the most conservative fixed-rate options. Then mutual funds, then stocks. Only when you have more money, and so on, do you start investing in crypto,” he added.
Mahendra acknowledged that Gen Z has a different perspective. Survey data shows that people without permanent jobs already understand and value crypto investments.
“How can people who are already struggling to find or maintain a job claim to understand crypto, and not only be involved in it, but actually invest in it? This contradicts our conventional view of Gen Z,” Mahendra said.
The profit potential of the global market remains enormous
Mahendra added that this presents a significant challenge and requires a different form and approach to education.
“Because their perspective is completely different from what we are used to,” he concluded.
The Japanese Financial Market Authority (OJK) has also announced that the profit potential in the technology and digital innovation sector of the global financial market remains enormous.
Indonesia is one of the world’s largest internet users
Hasan Fauzi, director of the Indonesian Agency for Technological Innovation in the Financial Sector (ITSK), Digital Financial Assets and Crypto Assets (IAKD) and member of the Supervisory Board of the OJK (Indonesian Financial Markets Authority), stated that this sector will continue to grow in the future.
Hasan indicated that the expected global market value of this sector will reach US$8,567.4 billion by 2033, with an expected annual growth rate of 26.3%.
Hasan stated that the technology and digital innovation sector in the financial sector in Indonesia remains very strong. This is because Indonesia has a demographic advantage that supports the presence of fintech. This sector is closely linked to the adoption and use of the internet and smartphones.
“We are among the countries with the largest number of internet users. 74.6% of our population already has access to the internet, or some 212 million people, with exceptionally high smartphone penetration and adoption,” he said during a working meeting with Commission XI at the Indonesian House of Representatives in Jakarta.
Hasan further revealed that in the digital finance sector, not only conventional fintech but also Sharia fintech is highly sought after.
“Indonesia also ranks third globally in terms of the most favorable environment for the development of Sharia fintech,” he said. ***cnbc
