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Stockholding in Germany

Author

Listed:
  • Börsch-Supan, Axel

  • Essig, Lothar

    (Munich Center for the Economics of Aging (MEA))

Abstract

Germany is not a country of stock holders – but this may change. This paper analyses the main trends in stockholding – either directly or indirectly through mutual funds and other managed investment accounts – among German households. We find a significant shift towards riskier portfolios and an increase in stock market and in mutual funds participation in the past decade. We document how stockownership evolves during the life cycle and the relation between stock market participation and wealth, education, and other demographic characteristics. Similar to other countries, we find that stockholding is concentrated among the wealthy households. Unlike to the Anglo-Saxon countries, however, the share of households who do not hold stocks is large even in the richest segment of the German population.

Suggested Citation

  • Börsch-Supan, Axel & Essig, Lothar, 2002. "Stockholding in Germany," MEA discussion paper series 02019, Munich Center for the Economics of Aging (MEA) at the Max Planck Institute for Social Law and Social Policy.
    • Handle: RePEc:mea:meawpa:02019
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    References listed on IDEAS

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    5. Börsch-Supan, Axel & Euwals, Rob & Eymann, Angelika, 1999. "Portfolio Choice with Behavioral Decision Mechanisms," Papers 99-37, Sonderforschungsbreich 504.
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    8. Guiso, Luigi & Jappelli, Tullio & Terlizzese, Daniele, 1996. "Income Risk, Borrowing Constraints, and Portfolio Choice," American Economic Review, American Economic Association, vol. 86(1), pages 158-172, March.
    9. Axel Boersch-Supan & Alexander Ludwig & Joachim Winter, 2001. "Aging and International Capital Flows," NBER Working Papers 8553, National Bureau of Economic Research, Inc.
    10. Börsch-Supan, Axel & Winter, Joachim, 1999. "Pension reform, savings behavior and corporate governance," Papers 99-48, Sonderforschungsbreich 504.
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    14. Börsch-Supan, Axel & Euwals, Rob & Eymann, Angelika, 1999. "Portfolio Choice with Behavioral Decision Mechanisms," Sonderforschungsbereich 504 Publications 99-37, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
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    Cited by:

    1. Axel Börsch-Supan & Tabea Bucher-Koenen & Michela Coppola & Bettina Lamla, 2015. "Savings In Times Of Demographic Change: Lessons From The German Experience," Journal of Economic Surveys, Wiley Blackwell, vol. 29(4), pages 807-829, September.
    2. Christian Helmenstein & Alexia Prskawetz & Yuri Yegorov, 2002. "Wealth and cohort size: stock market boom or bust ahead?," MPIDR Working Papers WP-2002-051, Max Planck Institute for Demographic Research, Rostock, Germany.
    3. Börsch-Supan, Axel & Bucher-Koenen, Tabea & Goll, Nicolas & Maier, Christina, 2016. "15 Jahre Riester - eine Bilanz," Working Papers 12/2016, German Council of Economic Experts / Sachverständigenrat zur Begutachtung der gesamtwirtschaftlichen Entwicklung.
    4. Becker, Gideon, 2014. "The portfolio structure of German households: A multinomial fractional response approach with unobserved heterogeneity," University of Tübingen Working Papers in Business and Economics 74, University of Tuebingen, Faculty of Economics and Social Sciences, School of Business and Economics.
    5. Börsch-Supan, Axel & Lusardi, Annamaria, 2002. "Saving Viewed from a Cross-National Perspective," Sonderforschungsbereich 504 Publications 02-47, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.

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    JEL classification:

    • Z00 - Other Special Topics - - General - - - General

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