Pensions across the U.S. are falling deeper into a crisis, as the gap between their assets and liabilities widens at the same time that investment returns are falling, according to Bloomberg.
Chief Investment Officer Ben Meng told the board of the California Public Employees’ Retirement System last week: “For the next 10 years, our expected returns are 6.1%, not 7%.”
And if you think you've seen panic now, just wait until he finds out that Calpers' target of 7% - lowered in 2016 - is still a pipe dream.
Put simply: the record, decade long bull market hasn't been enough to save pensions. The average U.S. plan has only 72.5% of its future obligations in 2018, compared to more than 100% in 2001. The Center for Retirement Research at Boston College attributes the deficit to "recessions, insufficient government contributions and generous benefit guarantees."
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7 comments:
Coming to Maryland like a psumami! You can't have progressive liberal idiots running your state and expect otherwise. I hope I live long enough to watch DAY explain Salisbury's short comings
I think you meant Tsunami
When will this county and others realize that they cannot support pensions for teachers.
The pensions are the best example of graft in the US economy. It is monopoly capitalism at its worst. The elites (stockholders) make promises to workers ( or state / local governments) make promises to workers and then never fund the pensions. It is dishonest and reprehensible.
thats why the time is now to leave MD before you get stuck in libtarded land forever
Hogan you know this and still allow stealing from the Maryland State Employee Retirement Fund. WHY? When are you and Miller going to start repayment with interest?
Good luck to ALL Maryland state retirees!! First they take your prescription coverage what's next? But they voted free college tuition for all illegals in Maryland. How the hell is that even acceptable people? You better get off your asses and start pushing back
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