‘Investors turn to cash amid market volatility’ read the headline on a media release revealing younger investors and self-managed superannuation funds (SMSFs) were allocating more of their investments to high yield cash accounts amid market volatility. The statement from the Commonwealth Bank of Australia (CBA: ASX) was intended to promote the Commonwealth Direct Investment Account offered by CBA’s CommSec online broking arm. But the detail was eye-catching in the sense that it seemed counterintuitive because financial advisers recommend remaining calm and thinking long term when markets bounce around, not cashing up. Between 2023 and 2025, investor allocations to term deposits and high-yield savings rose from 9% to 11% as newer investors used cash as a buffer while SMSFs prioritised stability and liquidity, CBA said. The bank quoted the 2025 Investment Trends - H1 Australia Online Investing Report from industry research firm Investment Trends, which surveyed 8,608 respondents, including 5,588 online investors between 1 April and 18 May 2025. “This trend is particularly prevalent among younger investors between 18-24, where allocations rose from 14% to 19%,” the Big Four bank said in the release.Against the tideAt t