Oil and gas companies take a lot of flak for what many say is “corporate greed,” and while that may be true, the fact of the matter is, is that those same greedy oil and gas companies could actually hold quite a bit of your future in their hands.
According to energytomorrow.org, a study by Sonecon says that Americans who currently hold any kind of pension plan, 401K, IRA or mutual fund(s) actually rely heavily on the success of the oil and gas industry in the United States. Pension plans, 401K’s and IRA’s hold 46.8 percent of all shares of U.S. oil and natural gas companies in 2014. Asset management companies, including mutual funds, hold 24.7 percent of oil and natural gas shares. Individual investors hold 18.7 percent of all oil and natural gas company shares. Combined, that makes up 97 percent of all oil and natural gas company stock, which are held by millions of Americans across the country. Leaving three percent of oil and natural gas company stock for company officers and board members.
So what does all this mean for you?
Sonecon Chairman and Chief Executive Robert J. Shapiro sums it up this way:
“Ownership of basic industry like oil and natural gas is really quite important both economically and socially. It matters economically because broad ownership creates the incentive for companies to invest most productively, because if they don’t shareholders move out of those companies and stock prices fall. In addition, broad ownership generates capital for key industries and … broad ownership means the industry does well then large numbers of people will benefit.”
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