Cash and stocks: money assets at a record level – but unevenly distributed

The money assets of private households in Germany is increasing and increasing: At around 9,050 billion euros, the next record was reached at the end of 2024, as can be seen from the Bundesbank figures – an increase of 136 billion euros to the previous quarter.

According to calculations by the Bundesbank, about half of the huge amount is not paid to the wealthiest ten percent: around four million households. With these, the assets are also increasing because they invest more in stocks and funds than many households with lower financial resources.

Course gains on the stock exchanges were a driver for the fifth increase in nominal financial assets in a quarter with 40 billion. Almost 20 percent of the financial assets (1,693 billion euros) were invested in shares and other share rights. Overall, private households stuck fresh money in investment funds and increased their stocks of cash and views such as overnight money.

Lion share cash and overnight money

At the lower end of the distribution scale, there are about 20 million households, which is eliminated eight percent of the financial assets. In its evaluation, the Bundesbank takes cash and bank deposits, securities such as stocks and funds as well as claims against insurance. Real estate that is a significant part of their assets for many households are not taken into account.

According to the latest Bundesbank numbers, more than a third of the total financial assets (3,406 billion euros) are cash and visibility to which people can quickly access if necessary. Households with a lower budget in particular prefer such money parking spaces for precautionary reasons. In addition to the increase in the visibility, the fact that fixed deposits are no longer so lucrative in the course of the interest reductions of the European Central Bank (ECB).

Inflation partially eats return

However, the record status of nominal financial assets confesses that the at times extremely high inflation rate has partially consumed the returns – especially those who mainly rely on cash and bank deposits.

According to calculations by the Bundesbank, the net money of private households in Germany will result from a good 6,913 billion euros. That is 132 billion euros more than the end of the third quarter. Inflation -adjusted, however, the net money is still at a lower level than in 2022.