Institutional Investment Surveys to insurance companies
pension funds and trusts
The financial surveys to insurance companies,
self-administered pension funds and trusts collect
information on the investment of these institutions
in financial instruments, end-year holdings and income
and expenditure.
Figures from these surveys are
used in calculating gross domestic product (GDP),
and in producing the National Accounts and the Balance
of Payments (BoP).
GDP is a key indicator of the
state of the economy while the National Accounts dataset
is widely used by the Treasury and Bank of England
to formulate economic policy. External users take
the data to measure the performance of these sectors
and to analyse how key investor groups are investing
their funds.
The purpose of the quarterly
transactions surveys is to provide information on
where the companies and funds are investing their
assets: are they buying or selling shares? Are they
taking up fixed interest securities? Or are they moving
into shorter-term assets which can be realised more
quickly?
The income and expenditure surveys
to insurance companies and pension funds measure sources
of income and expenditure. For example, is any increase
in insurance company income attributable to rises
in premiums for products such as motor insurance?
Is any change in their expenditure a result of changes
in claims paid or their administrative costs?
The annual balance sheet surveys
record the value of holdings of investments at the
end of the year. It shows where assets are invested:
are they heavily susceptible to changes in the stock
market? Do they mostly hold fixed interest securities?
Are they holders of property portfolios?
The inquiry forms are sent to
samples of businesses and funds. This sample is selected
from registers of businesses created from a combination
of regulatory and trade association sources. The pension
fund surveys are sent to a selection of the self-administered
pension funds of private sector companies, local authorities
and public corporations.
The information collected on
pension contributions was reviewed during 2002 in
the Review of Pension Contributions Statistics involving
various government departments and external experts.
It included a series of recommendations for improving
the information available. The action plan from the
review was published on 29th November 2002.
