ABSTRACT
Pension funds are part of the long-term investing institutions of the UK. Their purpose is to accumulate assets, the income from and capital values of which are used to pay for the pensions of retired workers. Of about 18 million people with pension rights, about 11 million are in schemes with pension funds. The rest receive their pensions on what is known as a pay-as-you-go basis. The income of the pension funds comes mainly from the contributions of both employers and employees and from the rents, dividends and interest on the assets of the funds.
