More low- and middle-income Americans are investing, report finds. Here's why

In this article BLK Follow your favorite stocks CREATE FREE ACCOUNT Skaman306 | Moment | Getty Images Even as many consumers feel stretched to cover rising daily costs , more low- and moderate-income individuals have turned to investing , according to a new report . Since 2020, the number of low- and moderate-income investors has increased by 2.7 times, or 167%, according to new research from the BlackRock Foundation, the private philanthropic arm of BlackRock , and Commonwealth, a national nonprofit focused on financial security. Those findings come from JPMorganChase Institute data based on billions of de-identified data transactions from about 10 million active checking account users. The firm tracked money transferred to investment accounts, though it did not identify the types of investments chosen. The data includes low- and moderate-income investors, evenly divided between those who had median net incomes of $29,000 and $51,000 in 2024. "We have real data that there has been a dramatic increase in who is participating in capital markets over the last several years," said Commonwealth CEO Timothy Flacke. Read more CNBC personal finance coverage More low- and middle-income Americans are investing, report finds. Here's why Average IRS tax refund is up 10.2%, based on early filing data IRS: Nearly 1 in 5 eligible filers miss a 'valuable' credit worth thousands Block cuts about half its workforce: How to move forward after a mass layoff Trump said tariffs may 'substantially replace' income taxes. What policy experts say Some student loan borrowers are getting Navient settlement checks — who qualifies Trump accounts aren't exactly 'tax-free,' as the president said. How they work Trump said beef, egg and chicken prices are falling. Here's what the data shows Trump pitches new retirement plan with a match of up to $1,000 — who may benefit Think of active managers and index funds as portfolio 'teammates,' not 'rivals': CFP Many workers want a career change. Are you on...