Share of Annuities Held by the Bottom 50% (1st to 50th Wealth Percentiles)
WFRBSAB50 • Economic Data from Federal Reserve Economic Data (FRED)
Latest Value
2.30
Year-over-Year Change
9.52%
Date Range
7/1/1989 - 1/1/2025
Summary
This trend measures the percentage of annuities held by households in the bottom 50% of the wealth distribution in the United States. It provides insights into the retirement savings and asset allocation of low- and middle-income families.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
The share of annuities held by the bottom 50% of wealth percentiles is an important indicator of financial security and retirement preparedness among lower-income Americans. Annuities can serve as a stable income source in retirement, so this metric offers a window into the investment and savings behavior of economically vulnerable households.
Methodology
The data is collected through the Federal Reserve's Survey of Consumer Finances, a comprehensive household finance survey conducted every three years.
Historical Context
Policymakers and financial analysts monitor this trend to assess the effectiveness of retirement savings programs and the financial resiliency of lower-wealth families.
Key Facts
- The bottom 50% of wealth percentiles held just 3.8% of total annuity assets in 2019.
- Annuity ownership has historically been concentrated among higher-income households.
- Expanding access to annuities is a policy goal to improve retirement security for low-wealth Americans.
FAQs
Q: What does this economic trend measure?
A: This trend measures the percentage of annuities, a type of retirement income product, that is held by households in the bottom 50% of the wealth distribution in the United States.
Q: Why is this trend relevant for users or analysts?
A: This metric offers insights into the retirement savings and financial security of lower-income Americans, which is crucial information for policymakers and financial analysts working to improve economic resiliency and access to financial products.
Q: How is this data collected or calculated?
A: The data is collected through the Federal Reserve's Survey of Consumer Finances, a comprehensive household finance survey conducted every three years.
Q: How is this trend used in economic policy?
A: Policymakers and financial analysts monitor this trend to assess the effectiveness of retirement savings programs and the financial resiliency of lower-wealth families, informing policy decisions aimed at expanding access to annuities and other retirement income products.
Q: Are there update delays or limitations?
A: The data is updated every three years with the release of the Survey of Consumer Finances, so there may be a delay in reflecting the most recent economic conditions.
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Citation
U.S. Federal Reserve, Share of Annuities Held by the Bottom 50% (1st to 50th Wealth Percentiles) (WFRBSAB50), retrieved from FRED.