What people do not realise, according to the authors of a new book, is that these institutions are simply holding the assets on behalf of ordinary savers - so millions of people hold tiny stakes in companies through their pension funds and endowment plans.
1/ Do individuals mean Britist companies in general or persons in general?
2/ Do City money managers mean the persons who manage the money of the city or the persons who manage the money of the companies city ? If the latter is right, what companies?
3/ These institutions =building societies + insurers.
in companies = in building societies + in insurers.
Am I right?
4/stakes = interests?
5/ Do their pension funds and endowment plans mean the pension funds and endownment plans of these 2 institutions or of people?
6/ I dont understand so millions of people hold tiny stakes in companies through their pension funds and endowment plans.(1)
I think (1) mean: People send their money in either building societies or insurers and have the ownership of some shares. Building societies or insurers receive their money in exchange for shares of ownership then these 2 institutions invest these funds in loans secured by first mortages on homes and will have profits. At the end of each period of time, these 2 institutions devide profits to those who own shares.
So, why through their pension funds and endowment plans