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Larry Fink says keeping money in banks is a major misstep
Fink warned that inflation and limited capital market access leave many Americans without exposure to asset growth, citing that about 40% have no capital markets exposure.
BlackRock CEO Larry Fink said having money in a bank account is one of the worst financial decisions for Americans, speaking at the Milken Institute 2026 Global Conference, according to Yahoo Finance.
Fink argued the issue is not only low returns on cash, but also that AI could shift how wealth is created, with owners of capital potentially capturing gains that wages may not. He said wages in an AI-driven economy may not grow as quickly as investment opportunities.
In his 2026 annual chairman’s letter, Fink warned AI could generate substantial economic value while concentrating it among people who already own assets. He cited figures that roughly 40% of Americans have no exposure to capital markets.
Yahoo Finance also noted Fink’s view that leaving long term savings in cash can be harmful in an inflationary environment, pointing to U.S. consumer prices rising roughly 28% since 2020, even though inflation has cooled from 2022 highs.