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Economy/Equity Allocation
Money & CreditUpdated with every release

Household Equity Allocation

This measures the share of US household financial assets held in corporate equities — directly and indirectly through funds, ETFs, and retirement accounts — divided by total household financial assets. Drawn from the Fed's quarterly Z.1 Financial Accounts, it captures how much of household wealth is tied to the stock market, with a long-term average around 28-32%.

Latest reading

As of October 2025, Equity Allocation (Equity share of assets) stands at 47.1% — unchanged from 47.1% the prior reading. It works as a contrarian, long-horizon gauge: unusually high allocations (above ~38%) reflect crowd optimism and have historically preceded below-average forward returns, while low allocations after crashes have preceded strong ones. This metric has been one of the best predictors of subsequent 10-year equity returns — better than P/E or CAPE. Use the 4-quarter average to read the underlying trend in risk appetite rather than quarterly noise. Series history runs from 1993 to present.

Source
Federal Reserve Z.1 via FRED (BOGZ1FL153064486Q), quarterly
Methodology
Households and Nonprofit Organizations; Directly and Indirectly Held Corporate Equities as a Percentage of Financial Assets; Assets, Level
Updates
With every release
Last: 2025-10-01
Equity Allocation2025-10-01
47.1%
from 47.1%

Equity share of assets

All-time high 47.1% (2025-07)
All-time low 19.0% (2009-01)
Since 1993
Observations 132

Next release: Jun 11, 2026

01

Full history

Range:
Equity share of assets4-quarter averageSPY price (right, since 1993)
02

How to read it

It works as a contrarian, long-horizon gauge: unusually high allocations (above ~38%) reflect crowd optimism and have historically preceded below-average forward returns, while low allocations after crashes have preceded strong ones. This metric has been one of the best predictors of subsequent 10-year equity returns — better than P/E or CAPE. Use the 4-quarter average to read the underlying trend in risk appetite rather than quarterly noise.

03

Methodology & data

Equity Allocation is sourced from Fed via the Federal Reserve's FRED service (Federal Reserve Z.1 via FRED (BOGZ1FL153064486Q), quarterly). We pull the complete history, chart it on a quarterly basis, overlay SPY for context, and generate a dated plain-English reading from the latest release — with no smoothing or adjustment beyond what the chart legend states.

Every reading is stamped with its release date, last updated 2026-06-09. See our methodology for the standards every series on the site is held to.

Category
Money & Credit
Frequency
Quarterly
Source
Fed
Download CSV
04

Related indicators

All economic indicators
05

Frequently asked questions

What is the Household Equity Allocation?

This measures the share of US household financial assets held in corporate equities — directly and indirectly through funds, ETFs, and retirement accounts — divided by total household financial assets. Drawn from the Fed's quarterly Z.1 Financial Accounts, it captures how much of household wealth is tied to the stock market, with a long-term average around 28-32%.

How do you read Equity Allocation?

It works as a contrarian, long-horizon gauge: unusually high allocations (above ~38%) reflect crowd optimism and have historically preceded below-average forward returns, while low allocations after crashes have preceded strong ones. This metric has been one of the best predictors of subsequent 10-year equity returns — better than P/E or CAPE. Use the 4-quarter average to read the underlying trend in risk appetite rather than quarterly noise.

Where does the Equity Allocation data come from?

Federal Reserve Z.1 via FRED (BOGZ1FL153064486Q), quarterly. We chart the full history and publish a dated, plain-English reading with every release; the raw series is downloadable as CSV at /data/indicators/household-equity-allocation.csv.

How often is Equity Allocation updated?

Equity Allocation is a quarterly series from Fed, refreshed here as soon as a new release posts to FRED.