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> FDIC insurance maxes out at $250,000

That's PER checking account, and if they are joint checking accounts, then the max is $500,000 per account.

Slight correction – it is for all your accounts at a single institution combined.

If we're going to be pedantic, it's per institution per ownership category.

So you could have:

* individual account

* revocable trust account

* joint revocable trust account

* etc

each with a separate $250k limit at the bank (and in the case of the trusts, the limit can be $250k per beneficiary of the trust).

The wealthy generally keep a very small fraction of their holdings in cash, also you can have accounts with multiple banks.

For context, Dalio’s current thesis is that bonds and any debt instruments are dangerous to own right now. Why? Because he thinks the dollar will collapse and lose its reserve status. Uncontrolled inflation is a big danger.

Default risk for demand deposits is near-zero: https://fred.stlouisfed.org/series/EXCSRESNS