New research finds that more Americans are shifting their money from checking and savings accounts into financial vehicles that pay an investment income.
The analysis by JPMorganChase Institute examined the accounts of 4.7 million households and found that people’s total cash reserves are increasing when including new amounts going into brokerage accounts, money market funds and certificates of deposit to assess people’s well-being.
Inflation-adjusted cash balances in checking and savings accounts “remain low with a flat-growth trajectory,” but since the middle of 2024 total cash reserves have been increasing and approaching historical growth trends once the additional accounts are included, the analysis said.