Overall institutional ownership of the domestic stock market fell to 32.6% in 1995 from 37.3% in 1990, according to an analysis of data from the Federal Reserve's Flow of Funds report.
The analysis by David L. Babson & Co. showed corporate pension funds' proportion of stock market ownership fell to 13.9% in 1995 from 16.9% in 1990. The percentage of public fund stock ownership was static, inching up to 8.5% from 8.4% in 1990.
By contrast, individual investors owned 67.4% of the total equity market in 1995, compared with 62.7% in 1990. Their ownership of the total equity market through mutual funds almost doubled to 13% in 1995, up from 7.1% in 1990. A large proportion of investment in equity mutual funds by individuals was via defined contribution retirement plans.
