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Thus it is now possible to show total saving by individuals in private insurance and pension reserves, a nd to combine, if desired, this saving with individuals' saving in Government insurance to arrive at saving of individuals in all forms of insurance and pension reserves.

Individuals in the United States saved $11 billion during the year 1954. Saving in the form of bank deposits, securities, shares in saving and loan associations, and insurance amounted to $21 billion, but the increase in these assets or claims was offset by a rise in individuals' debts of almost $10 billion. Saving in the form of non-insured private pension fund assets accounted for about 9 percent of the growth in total assets held by individuals.

Saving in all forms of private insurance, including the increase in insured pension reserves of life insurance companies, other non-pension reserves of insurance companies, as well as non-insured pension funds, amounted to $7.4 billion in 1954, or a little over one-third of the increase in total assets of individuals.

In relation to saving in all private pension reserves, self-insured corporate funds comprised about three-fifths of the 1954 total, being approximately the same in the three years 1951, 1952 and 1953. In relation to total private insurance, saving through corpo ate pension funds made up about one-fourth of the total in 1954, and again this ratio was fairly constant during the period covered in this survey.

These data are taken from Table 15 and similar comparisons for earlier years can be made from that table, as well as further comparisons of other components of individuals' saving.

Survey Data

The data on private non-insured pension funds in this report represent universe estimates for all corporations in the United States. The survey covers all plans of corporations which are administered by the corporation itself, or through trustees, including funds administered jointly by corporations and unions. The data do not include insured pension plans, nor that part of railroad pension funds under the Railroad Retirement Act. Bonus, savings, and welfare plans are excluded, as well as plans operated by unions on a nation-wide basis.

The universe estimates in this survey were based on sample data provided by companies filing reports with the Commission. A questionnaire form (Form R-4, attached as an Exhibit) was sent to approximately 2,000 companies. Questionnaire forms were not sent to railroads, investment companies, banks, small inactive mining companies, and foreign companies. Separate estimates were prepared for railroads plans supplementary to their funds under the Railroad Retirement Act and estimates also were prepared for banks.

The data for individual companies received on Form R-4 were given confidential treatment. References to individual companies made in this report are based on public information filed with this Commission in registration statements and proxy statements or appearing in newspapers.

Completed questionnaires were returned by 1,803 companies. Of these, 695 reported that they had funded plans, and furnished complete data an Form R-4 concerning assets, income and disbursements of their funds, of the other companies returning the questionnaire, 532 indicated that they had insured plans, 104 had unfunded, or "pay-as-you-gou plans, and 472 had no pension plans.

Universe figures for funded plans were computed on the basis of the 1951 relationship of company assets for those firms responding to the survey in each industry to total assets of all United States corporations in each industry, using 1951 Statistics of Income data (the latest figures available at the time). For the manufacturing industry, separate ratios were worked out for 23 sub-groups, according to three size classes of company. These ratios were than applied to the sample data, except for a few groups where there was some undersampling. For all industries the assets of companies included in the sample data accounted for 45 percent of the universe; for the manufacturing group the ratio was 59 percent and in the utilities and communications groups, close to 90 percent.

The resulting universe figures for contributions in 1951 and 1952 were compared with Statistics of Income contributions for all corporations, after deducting insured plans. This comparison checked out very closely in both years.

As regards the measurement of concentration of ownership of assets, actual ranking of each observation, was used with regard to common stock holdings. Rougher me tirods were used in connection with corporate and U. S. Government bonds and other asset holdings. Summary data for the five largest funds and the ten largest funds were prepared, and these data were related to universe holdings. Also, the saniple data were classified according to size of funds and the totals for each size group were related to total holdings.

The difference in the figures appearing in this report anú those given in a preliminary report on October 12, 1955 1/ arise from an enlargement in the scope of the survey to cover railroad plans supplementary to those under the Railroad Retirement Act, and to include plans of commercial and Federal Reserve banks.

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Total retirement funds, public and private..l/ 60.9

Excludes funds of the following groups for which adequate total figures are not available: religious, educational, and non-profit organizations, unincorporated business other than insured plans, and funds operated by unions on a nation-wide basis.

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