The Strategist

Fortune of the richest 1% of Americans hits $44.6T at the end of 2023

04/01/2024 - 13:27

The Federal Reserve (Fed) report states that the rise in the stock market contributed to the wealthiest 1% of Americans having a record $44.6 trillion at the end of 2023.

Public Domain Pictures
Public Domain Pictures
The list of the 1% of the wealthiest Americans includes those whose fortune exceeds $11 million. They made $2 trillion more money in the fourth quarter, and all of that gain came from their current shares. At the conclusion of the third quarter, their holdings of investment fund units and shares of corporations were valued at $19.7 trillion, up from $17.65 trillion.

The wealthiest Americans have had a 49% growth in their wealth from the beginning of 2020. The middle class's assets in America have increased by 50% as well.

Senior economist at Moody's Analytics Mark Zandi stated, "The stock market rally is a powerful positive for consumer confidence, consumer spending, and overall economic growth… Naturally, it also draws attention to how susceptible the economy is to a decline in the stock market. Considering the high price of equities, it's not the most likely scenario, but it is possible."

According to Fed estimates, 87% of privately held equities are owned by the wealthiest 10% of Americans, with the top 1% holding half of them.


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