May 3, 2021 | less than a minute read

Americans Can't Get Enough of the Stock Market

Michael Best

More and more people are increasing their contributions to their retirement funds, upping their money in stocks instead of bonds, and holding on to their stocks while they wait out market recessions. U.S. households are now putting 41% of their total financial assets into stocks. The securities world is growing, and the regulations enforced by state and federal regulators will be tightening in response.

Stockholdings among U.S. households increased to 41% of their total financial assets in April, the highest level on record. That is according to JPMorgan Chase & Co. and Federal Reserve data going back to 1952 that includes 401(k) retirement accounts. The enthusiasm for stocks comes as market volatility has been edging lower and the S&P 500 has hit 25 records this year, fueled by a stellar earnings season and the prospect of an economic recovery that is speedier than many predicted.