Households Relying on Investment Portfolios for Daily Spending Hits Record High

A new report from the JPMorganChase Institute has found that American households are increasingly relying on investment portfolios to fund their daily spending. The study, which analyzed data from over 20 million Chase customers between 2015 and 2026, revealed that transfers from investment accounts into checking accounts rose from 2.3% of total consumer spending in 2015 to 6.8% in April 2026.

The report found that this trend is particularly pronounced among retirees, with nearly 37% of those aged 65 and older making net withdrawals from their investment accounts between 2019 and 2025. High-income individuals across all age groups showed the sharpest increases, with the share of spending funded by investment withdrawals exceeding 10% every month in 2026.

The study also noted that the growing reliance on investment accounts is linked to the shift away from defined-benefit pension plans toward defined-contribution accounts. As a result, households are now more susceptible to market volatility, with the report's authors suggesting that sequence-of-returns risk may become a major concern for clients relying on investment portfolios.