Mega-rich Americans are ditching stocks and hoarding historic highs of cash. Here’s where their wealth’s going instead.
Feb 18, 2026
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A recent Goldman Sachs survey found that mega-wealthy investors have roughly 20% of their portfolios in cash and equivalents.
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Alternative investments are common among those with $10 million in assets. But now, retail investors can easily diversify from stocks like the rich.
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For example, you can own real estate through the Fundrise Flagship Fund for as little as $10.
High-net-worth individuals — those with $1 million or more in investable assets — are holding record amounts of cash.
A recent Goldman Sachs survey found that these mega-wealthy investors park roughly 20% of their portfolios in cash and equivalents. Rising market volatility and persistent inflation fears are driving the shift away from stocks and bonds.
Even legendary investor Warren Buffett has embraced this approach. Berkshire Hathaway’s cash reserves hit $381.7 billion by the third quarter of 2025 — a move that helped his net worth grow by roughly $21 billion despite turbulent markets.
As U.S. equities face uncertainty from ongoing tariff concerns and potential overvaluation, cash and cash equivalents can help preserve your wealth during stormy weather.
Earn like the elite with your cash
You don't need a billion-dollar balance sheet to start treating your cash like a strategic asset.
If you’re looking for a secure place to park your funds while waiting for the next market opportunity, Wealthfront offers a high-yield interest rate that far outpaces traditional bank accounts.
A Wealthfront Cash Account currently offers a base variable APY of 3.30%, and new clients can get an extra 0.75% during their first three months on up to $150,000 for a total variable APY of 4.05%¹.
That’s ten times the national deposit savings rate, according to the FDIC’s January report².
With no minimum balances, no account fees, and free domestic wire transfers, your funds remain 100% accessible for market opportunities or emergencies.
Plus, Wealthfront also offers up to $8 million in FDIC insurance through program banks.
Better investment alternatives
The wealthier investors become, the more they look beyond traditional stocks and bonds.
The Goldman Sachs survey found that nearly 4 in 10 individuals with investable assets of $1 million to $5 million hold alternative investments. Among those with over $10 million, alternatives are even more common, with 80% including them in their portfolios.
For investors seeking to avoid stock market volatility, there are accessible ways to tap into alternative assets and protect against a potential market crash.
Hedging with real estate
One alternative asset that can deliver returns during periods of economic turmoil is real estate. Long valued as a hedge, it offers stability and protection against both market volatility and inflation — making it a strong addition to a well-diversified portfolio.
Direct property ownership isn’t always practical. Buying and managing real estate requires significant time, effort and capital. Fortunately, there are accessible ways to gain real estate exposure that can generate passive income.
For instance, the Fundrise Flagship Fund¹ is a $1.2 billion private real estate fund that lets you invest in an expertly crafted strategy without needing hundreds of thousands of dollars. You don’t need to be an accredited investor, and you can get started with as little as $10.
With 4,700+ single-family homes and 2,500+ residential units owned by the Fundrise Flagship Fund, you get exposure to institutional-style scale and diversification.
Industrial
215 Interchange
Las Vegas, NV
Build-for-rent
Pine Ridge
Fountain Inn, SC
Build-for-rent
Omnia
Richmond Hill, GA
These are a few examples of properties powering the Fundrise Flagship Fund. For a full list of the Fundrise Flagship Fund's portfolio properties see the Flagship Fund website.
After you place your first investment, the Fundrise Flagship Fund will work to find and add new assets to your portfolio over time and send you transparent updates along the way.
It only takes a few minutes to sign up now and become a real estate investor today.
Become a bigger real estate player with multifamily rentals
Multifamily rentals offer investors a way to grow their real estate footprint, delivering consistent income and steady demand across market cycles.
If diversifying into multifamily rentals appeals to you, consider investing with Lightstone DIRECT, a platform from the Lightstone Group, one of the largest private real estate companies in the country.
Featured
Residential
Columbus, OH
Featured
Industrial
Tobyhanna, PA
Featured
Residential
Beverly Hills, MI
These are a few examples of past properties or acquisitions from Lightstone. Explore more investment opportunities when you register with Lightstone DIRECT.
Since they eliminate intermediaries, accredited investors with a minimum investment of $100,000 can gain direct access to institutional-quality multifamily opportunities.
Lightstone invests at least 20% of its own capital in every deal — roughly four times the industry average. With its skin in the game, the firm ensures its interests are directly aligned with those of its investors.
Get into gold
Historically, gold has served as a safe haven during economic and geopolitical instability. Gold prices have surged by more than 80% year to date, hitting multiple record highs in 2025.
One way to invest in gold while providing tax advantages is to open a gold IRA with the help of Priority Gold. This allows you to hold physical gold within a retirement account, combining the tax perks of an IRA with the protective benefits of bullion.
If you’d like to convert an existing IRA into a gold IRA, Priority Gold offers a 100% free rollover, as well as free shipping and storage for up to five years.
To learn more, you can get a free information guide that includes details on how to get up to $10,000 in free silver on qualifying purchases.
Art as an asset class
Fine art tends to maintain its value during turbulent markets. According to a 2025 UBS survey, high-net-worth collectors remain confident in art, allocating roughly 20% of their wealth to the asset on average.
With Masterworks, you can buy fractional shares in multimillion-dollar works by icons like Banksy, Picasso and Basquiat.
Sold
Joan Mitchell
17.8% annualized net return
Sold
Yayoi Kusama
17.6% annualized net return
Sold
George Condo
21.5% annualized net return
These are a few examples of sold artworks from Masterworks. For a full list of currently available art, visit Masterworks' Price Database.
Masterworks has sold 25 artworks so far, yielding net annualized returns of 14.6%, 17.6% and 17.8%.*
Moneywise readers can get priority access to diversify with art: Skip the waitlist here
* Past performance is not indicative of future returns. Investing involves risk. See important Regulation A disclosures at Masterworks.com/cd
The "secret weapon" of the ultra-wealthy
Successful investing isn’t just about picking the right assets; it’s about having a plan that survives the storm. This is why the vast majority of high-net-worth individuals employ professional guidance.
According to the 2024 Bank of America Private Bank Study of Wealthy Americans, 90% of wealthy individuals rely on a financial advisor to manage their wealth. It’s a strategy that pays off: An overwhelming 97% of those surveyed said they are satisfied with the relationship.
The mega-rich don't go it alone because they understand that in a market defined by shifting volatility and overvaluation, a DIY approach can be an expensive mistake.
Advisor.com connects you with experienced, qualified financial professionals who can help you navigate these same waters.
Whether you're looking to rebalance your 401(k) or mirror the moves of the 1%, an expert can ensure your money works as hard as you do.
Through Advisor.com, you can schedule a free consultation with no obligation to hire to discuss your financial goals and retirement planning needs.
¹ The Base Annual Percentage Yield (APY) is 3.30%, as of 01/30/26, and is subject to change. If you are eligible for the overall boosted rate of 4.05% offered in connection with this promo, your boosted rate is also subject to change if the base rate decreases during the three-month promotional period. The Cash Account is offered by Wealthfront Brokerage LLC, Member FINRA/SIPC. Wealthfront is not a bank. The Base APY is representative, subject to change, and requires no minimum. Wealthfront Brokerage sweeps cash balances to Program Banks, where it earns the variable base APY and is eligible for FDIC insurance. Instant withdrawals may be limited by your receiving firm and other factors. Investment advisory services provided by Wealthfront Advisers LLC, an SEC-registered investment adviser. Securities investments: not bank deposits, bank-guaranteed or FDIC-insured, and may lose value.
² Based on the national average interest rate for savings accounts as posted on FDIC.gov, as of January 22, 2026.
The Moneywise Editorial Team is a group of passionate financial experts, seasoned journalists, and content creators who are deeply committed to providing unbiased, relevant, and accurate financial information. With years of combined industry experience, our team is dedicated to maintaining the highest journalistic standards and delivering informative and engaging content. From personal finance and investing to retirement planning and business finance, we cover a broad range of topics to suit the financial needs of our diverse readership. You can trust the Moneywise Editorial Team to empower you with the knowledge and tools necessary to make wise financial decisions.
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