Today in 2025, Gen Z people are not just scrolling social media or shopping online. They also care about saving money and making the future better. Many of them start investing early – even from college days or their first job. They are not scared to try new things, and they use phones for everything – including investing.
In this blog, we talk about how Gen Z is investing this year, what’s trending among them, and give a few basic tips. Also we will talk about some of the top 5 mutual fund schemes in India and popular HDFC SIP plans in India, which are favourites of the young crowd these days.
Why Gen Z Start Investing Early Now?
In the past, people started investing after marriage or when getting older. But now it’s not like that. Gen Z is watching YouTube, Reels, and finance influencers who explain why investing from a young age is smart.
Reasons why Gen Z start investing now:
- They want more freedom with money
- They want to stop working early (FIRE dream)
- Everything is digital now, so easy to invest
- Banks give very low interest
- They see inflation is growing fast
How Gen Z Invest in 2025?
They do not put all their money in bank FD or gold like older people. They like a mix of new and old options. Some want safety, others want high returns. Let’s look:
1. SIP in Mutual Funds
This is the top choice. Most Gen Z do SIP monthly. Easy to start with ₹500, even students can do it. They find online the top performing mutual funds SIP in India and choose the one they like.
2. Stock Market Apps
Apps like Groww, Zerodha, Upstox make it super easy. Gen Z buys stocks, holding them for a few months or years. Some learn on YouTube before jumping in.
3. Digital Gold
They don’t go to jewellery shops. They buy gold online in small amounts. It’s safe and can be sold anytime.
4. Real Estate via REITs
They can’t afford a flat, but they can invest in REITs and still earn from real estate.
5. Crypto (Less Popular Now)
Some Gen Z still put small amounts in crypto like Bitcoin or Ethereum. But most are careful after a big fall in prices before.
Most Loved Mutual Funds by Gen Z in 2025
Now let’s talk about the top 5 mutual fund schemes in India that Gen Z is liking the most this year:
1. HDFC Small Cap Fund
Very good choice for long-term. This is also part of many HDFC SIP plans in India. It invests in small companies which grow fast.
2. Parag Parikh Flexi Cap Fund
This one is cool because it invests in both Indian and global stocks. Good for balance and new investors.
3. Axis Bluechip Fund
Safe choice. It invests in large companies and gives steady returns. Many beginners pick this.
4. Nippon India Growth Fund
This one gives high returns but has little more risk. Best for people who invest for 5 years or more.
5. ICICI Tech Fund
It invests in top technology companies. Since Gen Z loves tech, many go for this fund too.
All these funds are considered top performing mutual funds SIP in India. But still, better to check the latest performance before you invest.
Why Does Gen Z Like SIP So Much?
- Can start with small money
- Runs automatically every month
- No need to time market
- Gives better returns than bank
- Helps build habit of saving
SIP match Gen Z’s thinking. It’s simple, smart and totally online.
Tips for Gen Z Who Want to Start Investing
If you are young and want to begin, no worry. Here are few easy tips:
- Start with a low amount – Even ₹500 monthly is fine.
- Be regular – Don’t stop SIPs suddenly.
- Don’t follow friends blindly – Choose a fund that suits your goal.
- Use trusted platforms – Like Coin, Groww, Zerodha, Paytm Money.
- Set goals – Like saving for a laptop, trip, emergency fund etc.
- Read a little before investing – You don’t need to be an expert, just basics is enough.
- Stay for the long term – SIPs work best after 3–5 years.
FAQs – How Gen Z is Investing in 2025
Q1. Can students start SIP?
Yes! SIPs can be started from ₹500 monthly. Many students and freshers are doing it. Some choose HDFC SIP plans in India to begin with.
Q2. Which are the top performing mutual funds SIP in India this year?
Funds like Parag Parikh Flexi Cap, HDFC Small Cap, Axis Bluechip are doing well in 2025. They’re also part of the top 5 mutual fund schemes in India.
Q3. What app is good for SIP investment?
Groww, Zerodha Coin, Paytm Money, Kuvera – these are safe and easy to use.
Q4. What if I miss one SIP payment?
No big problem. But try not to miss often. Regular investing gives best results.
Q5. Should I invest all my money in mutual funds?
No. Keep some money in the bank for emergencies. Put only that much in SIP which you don’t need urgently.
Conclusion
Gen Z is smart. In 2025, they don’t wait till their 30s to begin investing. They start early, use online tools, and learn from content on the internet. SIPs are like best friends for them – small, easy, and powerful.
If you are thinking of beginning, don’t wait. Open your phone, choose a good fund and just start. Look at top 5 mutual fund schemes in India, try HDFC SIP plans in India, or go for any of the top performing mutual funds SIP in India.
Investing now is the best gift you can give to your future self.
I am a digital marketing executive as well as content writer in the personal finance and investment related blogs. My goal is to provide simple, interesting and reliable information to readers through my articles so that they always stay updated with the world of personal finance and investment.
