Re:Who employs your doctor? Increasingly, a private equity firm
by lotsofpulp on Sunday July 16, 2023 @08:26PM
(#36752782)
No, they are underfunded because it is easier to win elections by shortchanging the pension plans and keeping taxes low now, counting on future taxpayers to make up the deficit.
Nothing stopping them from playing it conservatively and investing in high grade bonds and whatnot, but they want to hit those 8% annual returns (not including the underfunding in the first place), and so it drives them to riskier and riskier assets.
And of course corruption of someone on the board of the pension plan investing in their friend’s nephew’s investments and so on.
Nothing stopping them from playing it conservatively and investing in high grade bonds and whatnot, but they want to hit those 8% annual returns (not including the underfunding in the first place), and so it drives them to riskier and riskier assets.
And of course corruption of someone on the board of the pension plan investing in their friend’s nephew’s investments and so on.