SCOTTSDALE, Ariz. — Nearly two-thirds of Zillennial investors are shifting money out of traditional deposit accounts and into investment accounts offered by financial technology firms, highlighting a growing challenge for credit unions and banks seeking to retain younger consumers, according to new research from Cornerstone Advisors.
The report, sponsored by InvestiFi and titled “The Zillennial Opportunity: Credit Unions’ Traditional Investing Imperative in the Crypto Age,” found that 66% of Zillennial investors have reduced their deposit balances in favor of investing through FinTech platforms.
According to Cornerstone Advisors, the trend suggests that financial institutions are facing a product gap rather than a marketing problem, as younger consumers increasingly seek integrated digital investing capabilities.
Key Findings
Among the report’s key findings:
- FinTech firms captured 56% of new checking account openings in 2025, up from 49% in 2024.
- Forty-three percent of Zillennials moved deposits into investment accounts during the past 12 months.
- Forty-five percent hold stocks or exchange-traded funds through a digital investing app.
- Twenty percent use robo-advisory services through a digital platform.
The report also found strong adoption of digital assets among younger consumers.
According to Cornerstone Advisors:
- One-third of Zillennials currently hold digital assets.
- Approximately 55 million U.S. adults, or about 21% of the population, use digital assets.
Widespread Demand
Demand for integrated banking and investing products was also widespread across generations.
The report found:
- Four in 10 Gen Z consumers expressed strong interest in a checking account with integrated investing capabilities.
- Forty-five percent of millennials said they would be interested in such a product.
- One-third of Gen X consumers expressed similar interest.
Among Zillennials specifically, 67% said they want a single mobile application that combines banking, stocks, exchange-traded funds, digital assets, robo-advisory services and stablecoins.
In addition, one-third said they would be interested in a digital asset wallet offered directly by their credit union or bank.
About the Cohort
Cornerstone Advisors described Zillennials — a micro-generation bridging millennials and Generation Z — as consumers who think in terms of total available money rather than maintaining separate financial accounts.
“Zillennials have expressed a consistent interest in digital investing, with the majority moving deposits to do so,” Ron Shevlin, chief research officer at Cornerstone Advisors and author of the report, said in a statement.
Shevlin said financial institutions seeking to compete for younger consumers should focus on creating seamless connections between transaction and investment accounts.
“To streamline accounts, credit unions and banks need instant transfers between checking and investment accounts with no settlement lag perception,” he said. “This should also include just-in-time liquidity to sell investments automatically to cover shortfalls or large purchases and unified balances that show total financial position.”
