New Report from The BlackRock Foundation and Commonwealth Reveals Emergency Savings Are Key to Helping Americans Living on Low and Moderate Incomes Stay Invested
Drawing on 15 months of research, The Investor Diaries offers one of the most comprehensive studies to date of retail investors living on low and moderate incomes (LMI) and finds emergency savings are critical to helping newer investors stay invested and build long-term wealth.
July 30, 2026 – New York City and Boston—More than half (54%) of Americans living on low and moderate incomes (LMI)1 now participate as retail investors in the capital markets, and of those investors, over half have entered since 2020. As these newer investors begin building long-term wealth, helping them stay invested over time is critical to turning market participation into lasting financial security. Today, The BlackRock Foundation and Commonwealth releasedStaying Invested: Driving Long-Term Participation for Newer Investors in Retail Markets, the capstone report from TheInvestor Diaries, which highlights the behaviors, needs, and motivations of investors living on LMI to help the industry better serve this newer generation of investors.
The Investor Diaries draws on 15 months of research and offers one of the most comprehensive views to date of how Americans living on LMI engage with capital markets. Today’s report combines findings from a national survey of investors living on LMI, qualitative research following investor diarists through voice diary entries and interviews, and analysis of billions of deidentified transactions through a collaboration with JPMC Institute. Across the research, one finding emerged consistently: Emergency savings are critical to helping newer investors stay invested and build long-term wealth.
In fact, across all three research streams, financial shocks, such as emergency expenses or income volatility, are named as the primary reason otherwise motivated investors pause investing or exit the market altogether. At the same time, access to liquid savings was one of the strongest indicators of continued investing, with investors living on LMI more likely to invest when they have at least two weeks of liquid savings ($1,500-$2,000)2.
“Emergency savings is vital for long-term investing success,” said Claire Chamberlain, President of The BlackRock Foundation. “Across this research, we see that people living on low and moderate incomes want to build wealth for their futures, but unexpected expenses can make it difficult to stay invested. Helping more people build emergency savings alongside long-term investments can give them the financial resilience they need to stay invested and continue building wealth over time.”
The findings build on the longstanding work by The BlackRock Foundation and Commonwealth to expand access to emergency savings solutions, including through BlackRock’s Emergency Savings Initiative (ESI) which has helped generate nearly $8 billion in emergency savings and expanded access to emergency savings solutions to more than 22 million Americans.
Drawing on findings across all three research streams, Staying Invested outlines three recommendations:
- Integrate emergency savings with investing by designing in-platform tools that help investors build liquid savings alongside long-term investments and using behavioral science tools to encourage investors to save during seasonal moments when investment contributions peak.
- Deliver actionable knowledge at key decision moments by providing timely guidance, strengthening education on diversification, and expanding in-platform resources.
- Reach investors through trusted channels by meeting newer investors where they already seek financial information, including social platforms, and partnering with reputable, vetted voices to deliver trusted resources.
“New investors living on low and moderate incomes are actively reshaping who participates in capital markets,” said Timothy Flacke, Co-founder and CEO of Commonwealth. “By designing for the needs of these investors, platforms and policymakers can open up wealth-building opportunities that truly expand financial security.”
The report provides insights that may help industry leaders better support this newer group of investors. By pairing investing with emergency savings, timely guidance, and trusted support, industry leaders have an opportunity to help millions more Americans stay invested and build lasting wealth.
The Investor Diaries Methodology
Today’s key findings and opportunities draw on a comprehensive three-pronged research approach, including a nationally representative survey of more than 2,750 Americans, longitudinal qualitative research following investors living on LMI through voice diaries and interviews over 15 months, and analysis of billions of deidentified transactions from approximately 10 million U.S. active JPMorganChase checking account users living on LMI.
About The Investor Diaries
The Investor Diaries is a Commonwealth research project, supported by grant funding from The BlackRock Foundation, designed to understand the millions of new investors who entered retail capital market investing since 2020, particularly those with low and moderate incomes (LMI).
By following these investors through voice diary entries, a national survey, and with analysis of a large transaction data set representing millions of investment decisions by people with LMI, the project shines a light on their unique financial circumstances, motivations, behaviors, needs, and the role that capital market investing plays in the overall financial wellness of households with LMI.
This work aims to equip the investing industry, financial platforms, and policymakers with important insights to support and sustain this and future generations of new investors. https://buildcommonwealth.org/tid
About The BlackRock Foundation
Guided by BlackRock’s purpose to help more and more people experience financial well-being, The BlackRock Foundation (“the Foundation”) funds and partners with organizations that strengthen financial security by helping people earn, save and invest – earlier, more often and for their futures.
About Commonwealth
Founded in 2001, Commonwealth is a national nonprofit celebrating 25 years of building financial security and opportunity for low and moderate income households through innovation and partnerships. For a quarter of a century, Commonwealth has designed effective innovations, products, and policies enabling nearly 2.5 million people to save nearly $9 billion. Commonwealth collaborates with consumers, the financial services industry, employers, and policymakers. Because Black, Latin, and women-led households disproportionately experience financial insecurity, we focus especially on these populations. The solutions we build are grounded in real life, based on our deep understanding of people living on low and moderate incomes and how businesses can best serve them. To learn more, visit us at www.buildcommonwealth.org.
1Individuals from households living on low and moderate incomes ranging from $30,000 – $79,999 annually
2Individual circumstances vary, and this research is intended to be informational and does not constitute investment advice.
