Did Asset Management Die? Why Gen Z Has Disconnected

Asset managers aren’t just being out-innovated, they’re being out-narrated.

You only have to look at the volume of news stories on alternatives vs traditionals to see this is a media war as much as a product-performance one.

Some 42 percent of Gen Z investors in the US hold crypto, which is nearly four times the number with retirement accounts. In the UK, under-30s are disengaging from traditional ISAs. And globally, younger investors are finding financial guidance not from IFAs, but from TikTok, Discord and each other.

The appeal isn’t just higher risk or faster returns. It’s identity and control. A sense of alignment with values. Transparency and tech-first design. Gen Z doesn’t want to be 'managed'. They want agency.

Some companies are adapting.

BlackRock is pushing into retail Europe, building out ETFs and betting on low-friction, high-engagement products. Janus Henderson has launched a tokenised Treasury fund, signalling the future of fund infrastructure may well live on-chain.

And then there’s Fidelity. The $5 trillion heavyweight has just announced plans to launch its own stablecoin - a digital asset pegged to the US dollar, designed for speed, stability and blockchain-native infrastructure.

(A stablecoin is a cryptocurrency designed to avoid the volatility of Bitcoin by backing itself with a reserve asset. It’s a building block for real-time fund flows, digital investing and programmable finance.)

The regulator is not a fan, saying that too many young people are investing in crypto and should diversify. See how that one lands with the kids.

Most asset management firms are avoiding transformation in digital UX, product offering and narrative. They've become too comfortable making easy numbers - so investors are not screaming - yet.

The industry isn’t losing customers. It’s losing the narrative - and unless CEOs treat this as a strategic redesign, the next generation will build their wealth without them.

What this means for CEOs

• Be relevant. Even if your story isn't there yet, get on Tiktok and make it better as you go.
• Old culture blocks innovation - Risk and legacy thinking are killing relevance. CEOs must cut through it.
• Hurry up. Have you done it yet?

Go tell that story.

Dan