In a recent address at the 2026 Milken Institute Global Conference, Larry Fink, CEO of BlackRock, delivered a striking statement that has left many Americans rethinking their financial habits. Fink boldly declared, ‘Having your money in a bank account is one of the worst financial decisions of a lifetime.’

At first glance, this statement may seem counterintuitive, especially considering the conventional wisdom that putting money in the bank is synonymous with financial responsibility. However, Fink’s argument goes beyond the return on investment (ROI) or lack thereof on money sitting in a bank account. He believes that artificial intelligence (AI) could fundamentally change the way wealth is created, with the owners of capital potentially capturing gains that wages alone cannot match.

Fink’s proposed solution is to get more ordinary people invested. He emphasized that ‘trying to get more and more people to grow with our country and to invest side by side, that is the only way we are going to broaden economic success.’ This message is not new; Fink has been hammering it home elsewhere as well. In his 2026 annual chairman’s letter, he warned that AI could create enormous economic value while concentrating more of that wealth among people who already own assets. Roughly 40% of Americans have no exposure to capital markets, according to figures cited by Fink.

The problem with leaving large amounts of long-term savings in cash is not just the lack of growth potential but also the issue of inflation. While headline inflation has cooled from its 2022 highs, Americans are still getting hammered by dramatically higher prices. U.S. consumer prices have jumped roughly 28% since 2020, with necessities like food and housing each surging more than 33% in the same period.

Looking further back, the erosion of cash savings becomes even more striking. According to the Federal Reserve Bank of Minneapolis, $100 in 2026 has the same purchasing power as just $11.74 did in 1970. That’s right; $100 became less than $12.

It’s why many Americans are looking beyond cash and traditional savings when thinking about how to protect their purchasing power. One time-tested option is gold. Its appeal is straightforward: Unlike fiat currencies, the yellow metal can’t be printed at will by central banks. Gold is also considered the ultimate safe haven. It’s not tied to any one country, currency, or economy, and in times of economic turmoil or geopolitical uncertainty, investors often flock to it — driving prices higher.

Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, said last year that ‘people don’t have, typically, an adequate amount of gold in their portfolio,’ adding, ‘When bad times come, gold is a very effective diversifier.’ Over the past five years, as inflation continued to chip away at the purchasing power of the dollar, gold has climbed over 140%.

Other prominent voices see further potential. JPMorgan CEO Jamie Dimon has said that in this environment, gold can ‘easily’ rise to $10,000 an ounce.

Fink’s bigger message is about participating in growth. When people invest their savings — over decades, not days — the capital markets put that money to work, financing companies, infrastructure, and jobs. For Americans, one of the simplest ways to do that has historically been through the stock market.

Fink pointed out that ‘over the past two decades, every dollar invested in the S&P 500 grew more than eightfold.’ It’s also a strategy championed by investing legend Warren Buffett, who has said that for most people, ‘the best thing to do is own the S&P 500 index fund.’ By tracking the index, investors gain exposure to 500 of America’s largest companies across a wide range of industries, providing instant diversification without the need for constant monitoring or active trading.