Pandemic and zero-commission trading fuel surge in stock ownership

  • 58% of U.S. households owned stocks in 2022, the highest recorded rate
  • Increase from 53% in 2019
  • Pandemic and zero-commission trading contributed to the rise
  • Includes both direct and indirect stock ownership

The share of Americans who own stocks has reached an all-time high, with 58% of U.S. households owning stocks in 2022. This marks a significant increase from 53% in 2019 and is the highest household stock-ownership rate recorded in the Federal Reserve’s survey of consumer finances. The rise in stock ownership can be attributed to various factors, including the pandemic and the advent of zero-commission trading. This surge in stock ownership includes both direct ownership of individual shares and indirect ownership through funds, retirement accounts, or other managed accounts.

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Factuality Level: 9
Justification: The article provides specific data from the Federal Reserve’s survey of consumer finances, which indicates that 58% of U.S. households owned stocks in 2022, up from 53% in 2019. The information is supported by a reliable source and is presented objectively without any bias or personal perspective. The article does not contain any irrelevant or misleading information, sensationalism, redundancy, or opinion masquerading as fact. Overall, the article is well-researched and accurately reports the data on the share of Americans who own stocks.

Noise Level: 8
Justification: The article provides a straightforward report on the increase in the share of Americans who own stocks based on the Federal Reserve’s survey. However, it lacks analysis, evidence, or insights into the long-term trends, consequences, or antifragility of this phenomenon. It also does not hold powerful people accountable or provide actionable solutions or new knowledge.

Financial Relevance: Yes
Financial Markets Impacted: The article provides information about the increasing ownership of stocks by Americans, which indicates a potential impact on the financial markets and companies.

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article discusses the rising percentage of Americans who own stocks, which can have implications for financial markets and companies. However, there is no mention of any extreme event or its impact.

Reported publicly: www.wsj.com