Generation Z And Millennials Are Starting To Invest in Gold
In recent years, an intriguing shift has emerged in the world of personal finance: younger generations in the United Kingdom are increasingly choosing gold as a preferred investment. What once seemed like the domain of older, conservative investors has now caught the eye of tech-savvy millennials and Generation Z. According to data from The Royal Mint, gold investment saw a surge in 2022, largely driven by these two age groups, with Generation Z increasing their purchases by 38% and millennials by 29%.
This trend marks more than just a passing financial fad. It reflects deeper concerns about the cost of living, inflation, economic uncertainty, and a renewed appreciation for tangible assets in a digital era. To understand why young people are putting their money into gold, we need to look at the context, motivations, and broader implications of this movement.
The Context: Gold in Troubled Times
Gold has always been associated with stability during uncertain periods. Wars, recessions, and financial crises have repeatedly demonstrated that when currencies weaken, gold tends to shine. The year 2022 was no exception. With high inflation, the ongoing aftershocks of the pandemic, and geopolitical instability, investors across the UK looked for safe havens.
But what’s new is that this time, it wasn’t just seasoned investors seeking security. It was the younger generations—millennials (born 1980–1995) and Gen Z (born 1995–2012)—who made significant moves into the gold market. The Royal Mint reported an overall 26% year-on-year increase in gold investment volume, with gold bullion investments alone rising by 33.5%.
This trend is especially remarkable considering that younger people often face tighter budgets and greater pressure from everyday living costs. Yet, their willingness to sacrifice short-term spending for long-term security is redefining what it means to be a modern investor.
Why Young People Are Investing in Gold
1. Inflation and the Cost-of-Living Crisis
The UK’s cost-of-living crisis has made financial planning a priority for young households. Everyday essentials—food, rent, energy—have all risen sharply. Gold, historically seen as a hedge against inflation, is now seen by young investors as a form of protection.
2. Distrust in Traditional Systems
Many millennials came of age during the 2008 financial crisis, while Gen Z grew up in its shadow. The turbulence of that period left a lasting impression: banks and governments can fail, but gold endures. This generational skepticism toward traditional finance partly explains why gold—and also cryptocurrencies—have become attractive.
3. Accessibility and Technology
Today, buying gold is easier than ever. Apps and platforms allow fractional ownership, enabling someone to invest with as little as £25. The Royal Mint, for example, lets buyers purchase digital gold, securely stored in its vaults. For a generation raised on technology, the combination of digital access and physical backing is especially appealing.
4. Desire for Tangible Assets
Unlike stocks or cryptocurrencies, gold is tangible. A gold bar or coin can be held, passed down, and valued across cultures. In an era dominated by digital possessions, many young people find comfort in owning something physical and enduring.
5. Cultural and Emotional Value
Gold isn’t just financial—it’s cultural. From wedding rings to heirlooms, gold carries symbolic meaning. For young people navigating uncertain futures, gold represents permanence, legacy, and even identity.
Survey Insights: What the Numbers Reveal
A survey conducted by Censuswide for The Royal Mint offers more detail. Among over 2,000 UK investors:
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Nearly 23% planned to invest in gold in the coming year.
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For Generation Z and millennials, gold ranked second only to stocks and funds as a preferred investment.
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16% of investors who had never bought precious metals before expressed an intention to do so soon.
These numbers underscore a growing mainstream acceptance of gold, not just as an old-fashioned asset but as part of a modern, diversified portfolio.
Gold vs. Other Investments
Younger generations have traditionally been associated with riskier, growth-focused assets like stocks, startups, or even cryptocurrencies. So why is gold now competing with these options?
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Cryptocurrency vs. Gold: Both appeal to those skeptical of banks. However, while crypto is volatile and speculative, gold has centuries of proven stability. Many young investors balance both, seeing gold as the “insurance policy” against digital risks.
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Stocks vs. Gold: Stocks can offer higher returns but are vulnerable to market crashes. Gold, while less volatile, does not yield dividends but protects purchasing power.
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Property vs. Gold: Rising UK property prices have made homeownership less attainable for millennials and Gen Z. Gold, by comparison, requires no mortgage and offers liquidity.
This doesn’t mean gold replaces other assets—it complements them. For many young people, gold provides balance and reassurance.
The Historical Appeal of Gold
The appeal of gold among the young is not unprecedented. Throughout history, gold has fascinated youth movements, explorers, and even revolutionaries. The California Gold Rush in the 19th century was driven largely by ambitious young men and women seeking fortune. Today’s digital “gold rush” mirrors this spirit, though expressed in vaults and trading apps rather than riverbeds.
Moreover, gold has long played a role in British history. From the golden coins of the Tudor dynasty to the treasures safeguarded in the Bank of England, gold has symbolized wealth, security, and continuity for centuries. For Gen Z and millennials, investing in gold is not just financial—it connects them to a tradition that spans generations.
The Psychology of Gold Ownership
Why does gold hold such an enduring appeal, particularly for young people? Psychologists point to several reasons:
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Security: The permanence of gold offers comfort in uncertain times.
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Control: Unlike bank accounts subject to fees or government oversight, gold feels personal and independent.
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Status: While investments are often private, gold retains a symbolic aura of prestige.
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Identity: For many, gold resonates with cultural heritage, whether through family jewelry or national traditions.
These emotional drivers are powerful, especially for young investors seeking stability and meaning in turbulent times.
Gold in the Age of Digital Finance
Interestingly, the rise of gold among younger investors is happening alongside the explosion of digital assets like Bitcoin and NFTs. Some analysts call gold “the original cryptocurrency”—finite in supply, universally recognized, and resistant to inflation.
But unlike crypto, gold doesn’t rely on complex algorithms or fragile exchanges. This duality—traditional yet modern—makes it especially attractive for young people who want both security and relevance.
Looking Ahead: What This Means for the Future
If current trends continue, gold could become a cornerstone of millennial and Gen Z wealth strategies. As these generations age, accumulate more income, and inherit wealth, their investment preferences will reshape the market.
Several predictions can be made:
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Gold Will Remain a Hedge: With inflation and global uncertainty unlikely to vanish soon, gold will stay relevant.
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Digital Gold Will Grow: Platforms offering fractional ownership and online storage will appeal to digital-first generations.
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Sustainable and Ethical Gold Will Matter: Young people care deeply about ethical sourcing. Demand for responsibly mined or recycled gold is expected to rise.
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Integration with Jewelry and Lifestyle: Younger generations may blur the line between investment and adornment, valuing jewelry both as wearable art and financial security.
A Golden Generation
The surge of gold investment among millennials and Gen Z in the UK is more than just a financial statistic. It is a reflection of generational values, anxieties, and aspirations. For some, gold is a hedge against inflation; for others, it is a cultural symbol, a technological convenience, or even a lifestyle choice.
In 2022, young Britons demonstrated that despite living in a hyper-digital age, the allure of gold remains timeless. Whether in coins, bullion, or wearable jewelry, gold continues to embody security and permanence. And for Generation Z and millennials, it may just be the bridge between uncertain presents and brighter futures.
From Bullion to Jewelry: Gold as Wearable Investment
While coins and bullion remain the most common forms of gold investment, more and more investors are discovering the unique advantages of high jewelry. Antique and vintage pieces are not only crafted from solid gold but also carry artistic, historical, and cultural value that bullion cannot match. A finely made Victorian ring, an Art Deco bracelet, or a signed brooch from a great house such as Cartier or Van Cleef & Arpels represents a dual investment: the intrinsic worth of gold itself, and the collectible value of rare design.
For millennials and Generation Z, who are increasingly blending financial decisions with lifestyle and identity, jewelry offers the perfect balance between security and beauty. Unlike bullion locked away in a vault, jewelry can be worn, enjoyed, and even passed down through generations while continuing to appreciate in value.
At DSF Antique Jewelry, we specialize in museum-quality pieces that embody this principle — gold jewelry that tells a story, preserves history, and safeguards wealth. Investing in jewelry is not just about financial foresight; it is about owning a piece of art that transcends time.
