The wealth gap between rich millennials and the rest of their age group is the largest of any generation, creating a new wave of class tension and resentment, according to a study.
A version of this article first appeared in CNBC's Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer.The wealth gap between rich millennials and the rest of their age group is the largest of any generation, creating a new wave of class tension and resentment, according to a
The study finds that millennials — typically defined as those between the age of 28 and 43 today — have faced repeated financial headwinds. Coming of age during the financial crisis, they have lower levels of homeownership, larger debts outweighing assets, low-wage and unstable jobs, and lower rates of dual-income family formation.
"The great wealth transfer, which we've all been talking about for the last 10 years, is underway," said John Mathews, head of UBS'."The average age of the world's billionaires is almost 69 right now. So this whole transition or wealth handover will start to accelerate." The battle between rich millennials and the rest could also shape their attitudes toward wealth. For over four decades, the vast majority of millionaires and billionaires created in America have been self-made, mostly entrepreneurs. A study by Fidelity Investments found that 88% of American millionaires are self-made.
"I just sold a $16 million apartment to someone in their mid-20s, and the buyer accessed the family trust," he said."The wealth that is behind these kids is extreme."