ownership+of+financial+instruments

President Bush talked of an ownership society in which we all benefit directly (as share owners) from capitalist enterprise, as well as benefitting indirectly (as workers and consumers). This is certainly not a new ambition, and shareownership is relatively widely spread in the US (relative to other countries, that is). Moreover, the nature of our pension financing arrangements mean saving for the future--and investing for growth as well as security-- is essential. Instead of putting our money in the mattress, where it will shrink because of inflation as well as mold, many of us invest in securities of various kinds. Those with a high risk aversion may just save in a bank. But with interest rates so low and inflation creeping up, many are attracted to the potentially higher returns from equities and bond markets. Most invest through mutual funds, allowing diversification and professional investment management. Decades ago Peter Drucker anticipated widespread ownership of companies through pension funds and mutual funds and described it as 'pension fund socialism.' And as the President points out, we all have a stake in the fate of Wall Street. But some have more at stake than others, and some have a more direct interest than others.

So, who owns what?

As always, one place to start is the [|Statistical Abstract.]

More detailed statistics are provided by the Federal Reserve in its [|Flow of Funds reports].