If You Had To Choose One Asset To Spend Your Stimulus Check On, Which Would It Be?

The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

Every week, Benzinga conducts a survey to gather data from traders and investors. 

This week, we wanted to figure out how investors around the country are planning to invest their recently received $1,400 stimulus check. We posed the following questions to over 500 traders and investors:

If you had to choose one asset to spend your stimulus check on, which would it be?

• Stocks
• Cryptocurrencies
• NFT collectibles
• March Madness bracket pools

The top response was stocks, with 36% of respondents indicating that they would spend their stimulus check on this asset class. 

Ever since the COVID-19 crash back in March of 2020, the stock market has practically gone straight up. Things really started to heat up when r/WallStreetBets triggered massive short squeezes in Reddit meme stocks such as GameStop Corp. GME. Even though the market has fallen from all-time highs as of late, many of our investors still prefer to spend their stimulus checks on stocks.

The next most popular selection was cryptocurrencies, with 32% of respondents opting to spend their stimulus money here. 

The crypto-space is another area that has been on fire for the last year. Bitcoin breached $50,000 for the first-time in February, before accelerating past $60,000 in March. At this point, there are many ways for investors to make money with cryptocurrency, whether it be through trading, lending or accepting payment for services. Tesla Inc TSLA even announced it is beginning to accept Bitcoin payments. Clearly, investors have made a lot of money in crypto and are continuing to eye the space for future gains.

Coming in third was NFT collectibles, with 18% of respondents indicating this selection.

While the stock market and the cryptocurrency markets have been on fire, the NFT market lately has been stealing some of the limelight. It seems like every day there is a new company looking to get into NFTs, whether it be Playboy or the classic video game company Atari. Incredibly, a recent NFT piece by the artist Beeple even sold for a record $69 million. With that being said, investors are rightly more hesitant to invest their stimulus money here, as even Beeple himself said that NFT art is 'absolutely' in a bubble. 

Last but not least, 14% of respondents said that they would spend their stimulus check on March Madness Bracket Pools.

While maybe not the wisest use of one’s money, many basketball fans can’t resist laying some money on the line for their March Madness picks. Furthermore, this year’s March Madness will almost certainly be extra crazy for a few reasons: There was no NCAA tournament in 2020, everyone has an extra $1,400 in their pocket, and sports betting is now legal in Michigan and numerous other states. Amazingly, this year there's even a publicly-traded company with a connection to March Madness. While investors are rightly choosing to spend their stimulus check in other areas, the 2021 NCAA tournament is sure to be a wild three weeks.

Image by Nattanan Kanchanaprat from Pixabay.

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.