Journal of Business & Economic Policy

Company Stock Investment in 401(k) Pensions
Zhe Li

Abstract
This study provides an empirical analysis of the factors that affect own company stock investment in 401(k) pensions. The estimates suggest that individuals who work in larger companies and receive more employer matches in the pension account are more likely to hold own company stock in it, and they are less likely to hold employer stocks when the wealth outside pension account is large and other individual retirement accounts are available. In addition, this study finds that the own company stock proportion in 401(k) account is decreasing with pension wealth and total net worth.

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