Institutional Structure of Private Pension Plans

Private pension plans can be funded through various financing vehicles. In 2009, for OECD countries for which data were available, on average, 74% of OECD private pension assets were held by pension funds, 19% were held in pension insurance contracts run by life and pension insurance companies, 4% were held in retirement products provided by banks or investment management companies, and 3% were book reserves. Within pension funds, DC plans are playing an increasing role, even if DB plans still dominate pension fund assets in some countries, largely due to their historical prominence as the favoured arrangement for occupational (workplace) pensions in many countries.