According to BlockBeats news on June 16, Goldman Sachs strategists stated that American households will provide crucial support for the stock market through their growing influence from retirement savings. The research team led by David Kostin expects American households to directly purchase $425 billion worth of U.S. stocks this year, second only to corporations' $675 billion in stocks.
In a report, they wrote: 'The TINA trade remains active and performs well in U.S. retirement accounts.' TINA (There Is No Alternative) refers to the lack of alternative assets besides stocks. Strategists say that the growth of 401(k) plans as a proportion of total retirement savings, along with their increasing focus on stocks, means these investments are now more important to the stock market.
The average allocation of stocks in retirement accounts grew from 66% in 2013 to 71% in 2022. Among savers in their 20s, this figure is as high as 90%. (Jin Ten)