Don't let attractive yields on cash lull you into staying on the sidelines. Over the long term, stocks are the way to grow wealth, according to Bank of America. Some $5.43 trillion is in money market funds, as of the week ending June 21 , according to the Investment Company Institute. Retail investors account for $1.99 trillion of that sum. Who could blame them? The Crane 100 Money Fund index has an annualized seven-day current yield of 4.93% as of June 26.
1% for government bonds and 3.8% for cash. Meanwhile, inflation averaged at 3.7% annually during that period. "That's another way of saying that the S & P 500 is one of the world's best wealth-generating machines ever constructed," she added. Further, financial crises tend to be followed by economic and earnings growth cycles, along with sustained price gains for stocks.
United States United States Latest News, United States United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
PacWest lifts bank stocks as it raises more cash from loan saleTruist analyst says PacWest's deal to sell its loan portfolio is a sign that other banks could also raise cash to strengthen balance sheets
Source: MarketWatch - 🏆 3. / 97 Read more »
Lear stock surges after auto seats maker raised outlook for sales, earnings and cash flowShares of Lear Corp. surged 3.1% in premarket trading Tuesday, after the auto seats maker raised its full-year outlook for sales and adjusted earnings, and...
Source: MarketWatch - 🏆 3. / 97 Read more »
Stock Market Today: Indexes struggle for direction after Russian turmoilMarketWatch Live: Modest move-up for U.S. stocks in wake of Russia mutiny
Source: MarketWatch - 🏆 3. / 97 Read more »