German household financial assets rise €335 billion in second quarter, Bundesbank says
The Bundesbank said a recovery in financial markets lifted household financial assets to €9,831 billion, mostly through valuation gains, while the less wealthy half still saw a negative real return.
AI illustrationHouseholds in Germany held financial assets of €9,831 billion at the end of the second quarter of 2026, €335 billion more than a quarter earlier, the Deutsche Bundesbank said in its financial accounts by sector. The central bank linked the rise to a significant recovery in financial markets after uncertainty in the first quarter.
Most of the increase came from valuation effects, which the Bundesbank put at €258 billion and described as exceptionally large. Capital market investments accounted for €202 billion of those gains, and insurance and pension claims for €48 billion.
Households also added €77 billion in new financial claims, slightly above the average of the past five years. Around a third went into cash and sight deposits. Time deposits rose, and savings deposits and savings bonds grew too, initially reversing a decline seen since mid-2024. Investment fund shares were in particular demand, increasing by €33 billion, while net purchases of debt securities came to €7 billion.
According to the Bundesbank, the real return on financial assets, adjusted for inflation, rose across all wealth groups. The wealthiest 10 % of households benefited in particular from higher returns on shares and investment fund shares. The less wealthy half of households, which hold mainly deposits and insurance claims, still recorded a negative real return of around −0.7 % despite a slight improvement, as rising inflation weighed on those assets. Across all households, the real total return on the year rose to around 3.2 %.
Household liabilities grew slightly to €2,192 billion, mainly because of €12 billion in additional borrowing, primarily from domestic banks. The household debt ratio fell slightly to 47.5 % as nominal gross domestic product rose, and net financial assets increased by €324 billion to €7,639 billion.
Non-financial corporations raised €77 billion in external financing in the quarter, up from the previous quarter. Borrowing contributed €39 billion and debt securities issuance €14 billion. Issuance of shares and other equity fell to €15 billion, and on balance more listed shares were redeemed than issued. Corporate liabilities grew by €255 billion to €12,330 billion, helped by positive valuation effects of €178 billion, and their debt ratio went up slightly to 66.8 %. Their financial assets rose by €107 billion to €9,149 billion, while net financial assets fell by €148 billion to −€3,182 billion.
The Bundesbank said revisions to the financial and national accounts mean the figures are not directly comparable with those in earlier releases.