Young Indians are investing more than ever, expanding their portfolios beyond traditional stocks and SIPs to include assets like US stocks, cryptocurrencies, and alternative investments. This shift is largely influenced by social media and financial influencers, who make investing seem accessible and exciting. Take Raghav Sharma, a 25-year-old software developer from Delhi NCR. Despite his demanding job, his high salary motivates him to invest in various financial instruments. Initially hesitant about investing, Raghav now dedicates much of his free time to researching investment opportunities, relying heavily on social media, particularly X (formerly Twitter), for stock and crypto recommendations. Similarly, 24-year-old student Riddhi Agarwal, who started investing after coming across financial content on Instagram, has now not only built her own portfolio but also introduced her mother to investing.

A recent study by Fin One highlights this trend, showing that 93% of young Indians actively save money, with many setting aside 20-30% of their monthly income for future financial goals. YouTube, in particular, has emerged as a primary source of financial education, with 62% of young investors using it for guidance. Beyond traditional investment avenues, a growing number of young Indians are diversifying their portfolios with alternative assets. A December 2024 report by CoinSwitch revealed that approximately 20 million Indians, particularly those aged 18-35, are investing in cryptocurrencies, even in smaller cities like Botad, Jalandhar, Patna, and Ludhiana. This surge comes despite the Indian government’s strict regulations, including a 30% tax on crypto earnings. Experts attribute this diversification trend to increased financial literacy and a desire for higher returns. According to Tarun Nazare, co-founder of Neokred, mobile apps enabling investments in US stocks, crypto, and alternative assets have made global markets more accessible. In addition to cryptocurrencies, young investors are exploring real estate crowdfunding, peer-to-peer lending, and digital gold, all of which appeal to tech-savvy millennials and Gen Z. The promise of quicker, higher returns is a major draw, despite the risks associated with these investments.

Another major factor driving this investment boom is the role of social media and financial influencers, or finfluencers. Content creators like Nitin Joshi and Sakchi Jain have gained massive followings by simplifying complex financial concepts and making investing more approachable. By breaking down financial strategies into digestible content, they help young investors navigate the world of personal finance. However, the rise of finfluencers has also led to the gamification of investing, often glorifying high-risk investments and creating a fear of missing out (FOMO). Not all financial influencers provide responsible guidance, and experts warn that many prioritize engagement over accurate advice. Harsh Gahlaut, CEO of FinEdge, cautions that some finfluencers mislead investors with promises of quick riches, neglecting essential aspects like risk management. This has resulted in a rise in impulsive investing, with many young investors chasing unrealistic financial goals.

Recognizing the risks posed by misleading financial advice, India’s market regulator, SEBI, has introduced measures to regulate finfluencers. In January 2025, SEBI proposed restrictions on the use of real-time stock price data in financial content, and in August 2024, it mandated that finfluencers register with them and follow specific guidelines. While some influencers, like Sakchi Jain, acknowledge the need for regulation, they argue that not all content creators should be treated the same way—those genuinely promoting financial literacy should not be penalized alongside those spreading misleading advice. For young investors, distinguishing credible financial advice from misleading content is crucial. Experts recommend verifying the credentials of financial advisors, looking for SEBI-registered professionals, and being wary of individuals who promote specific products without transparency. Ultimately, while social media has made investing more accessible, true financial growth requires patience, careful research, and a long-term strategy.

Disclaimer: This Image is taken from Reuters.