"The Changing Employer Role in Retirement Security" and "Pension Assets Grow 2.3 Percent Between Second and Third Quarter 1994"

The Changing Employer Role in Retirement Security—Advance funded pension and retirement savings programs have accumulated over $5 trillion in savings. Pension savings are a primary form of personal savings in the economy. Pensions represented 50 percent of personal savings between 1976 and 1980, 59 percent between 1981 and 1985, and 51 percent between 1986 and 1990.

Pension Assets Grow 2.3 Percent Between Second and Third Quarter 1994—Private trusteed pension fund assets increased from $2.47 trillion at the end of second quarter 1994 to $2.5 trillion at the end of third quarter 1994. Pension fund assets increased 1.0 percent between year-end 1993 and September 30, 1994, with the greatest growth (2.3 percent) occurring during the third quarter. Private trusteed pension assets decreased 3.9 percent between year-end 1993 and the end of the first quarter 1994. Between year-end 1992 and year-end 1993, private trusteed pension assets increased 8.9 percent, compared with an average annual growth of 11.8 percent between 1983 and year-end 1993. Returns in the stock and bond markets increased during the third quarter 1994. The Standard and Poor's (S&P) 500 returned -3.8 percent during the first quarter 1994, compared with a 0.4 percent return during the second quarter and a 4.9 percent return during the third quarter of 1994. The Shearson Lehman Brothers' Kuhn Loeb Government/Corporate Bond Index returned -3.1 percent during the first quarter of 1994, increasing to -1.2 percent during the second quarter and increasing to 0.5 percent during the third quarter. Net flows of private trusteed funds increased to a positive $56 billion during the third quarter of this year, with $89 billion in earnings and -$34 billion in net contributions.