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What happens to state/local pensions if stocks ever go down?
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Date: October 20th, 2017 8:38 PM Author: big frozen bawdyhouse doctorate seems like most pension funds are a mix of equities and bonds, but some of the bonds are issued by the municipalities themselves, and are tied into the equity market anyway. even with dow 23K, a lot of pension funds are barely treading water. what happens if there is a "correction" at some point after this eight-year run? (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34490992) |
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Date: October 20th, 2017 10:50 PM Author: marvelous mood states just raise taxes and repossess homes... all to make sure the BOOMERS who retired at 50 get paid (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491850) |
Date: October 20th, 2017 8:38 PM Author: Exciting Amethyst Dopamine The schools and roads would turn to complete shit. Oh wait, that's already happened. (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34490995) |
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Date: October 20th, 2017 9:35 PM Author: territorial theater bbw No one made you move to California. (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491376) |
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Date: October 20th, 2017 8:39 PM Author: dun yapping electric furnace dilemma Poors will riot and burn down certain areas. (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491002) |
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Date: October 20th, 2017 8:44 PM Author: translucent legend Boomers will just slap millennials with a 5% Patriotism Tax to fund their yearly once-in-a-lifetime trip through Europe (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491039) |
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Date: October 20th, 2017 8:59 PM Author: Mentally Impaired Boltzmann (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491140) |
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Date: October 20th, 2017 9:52 PM Author: supple cyan stead (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491474) |
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Date: October 20th, 2017 8:47 PM Author: vermilion know-it-all sound barrier pension funding is LOL but not sure what you're saying here
"but some of the bonds are issued by the municipalities themselves, and are tied into the equity market anyway"
If you're saying NYC bonds would lose money when the stock market falls because NYC's pension system owns NYC bonds, that's not correct. |
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Date: October 20th, 2017 9:01 PM Author: big frozen bawdyhouse doctorate the way i have seen it described is like a feedback loop.
eg:
-illinois pension buys IL bonds -IL is able to pay on those bonds because a rising stock market eases its overall financial situation to an extent -stock market falls -IL edges closer to insolvency and cannot pay on its bonds -IL pension fund holding equities and bonds gets nailed twice (unpaid bonds + sinking equity returns) |
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Date: October 20th, 2017 9:50 PM Author: vermilion know-it-all sound barrier Pension systems aren't loading up on their municipalities' bonds. They are governed by prudent man type guidelines that prevent any significant concentration. Some governments are fucked due to their bonds and/or pensions, but not because of what you described (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491462) |
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Date: October 20th, 2017 8:49 PM Author: Indigo school feds probably bailout a portion (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491069) |
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Date: October 20th, 2017 8:53 PM Author: Thirsty public bath raise taxes, cut down services and ask for bailout (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491099) |
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Date: October 20th, 2017 8:56 PM Author: Avocado Goal In Life Wagecucks death panels (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491120) |
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Date: October 20th, 2017 9:00 PM Author: Cowardly wonderful jap area California is FUCKED. (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491147) |
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Date: October 20th, 2017 9:02 PM Author: Dull factory reset button that's why we are importing a third-world brown population. they are used to third-world impoverishment, and they are too stupid/ineffectual to protest when this happens. (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491158) |
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Date: October 20th, 2017 9:02 PM Author: lake titillating resort stock car (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491161) |
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Date: October 20th, 2017 9:52 PM Author: supple cyan stead (http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491469) |