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What happens to state/local pensions if stocks ever go down?

seems like most pension funds are a mix of equities and bond...
Cruel-hearted Copper Principal's Office Black Woman
  10/20/17
states just raise taxes and repossess homes... all to make ...
primrose aphrodisiac candlestick maker spot
  10/20/17
The schools and roads would turn to complete shit. Oh wait, ...
Electric National
  10/20/17
No one made you move to California.
Shimmering hell
  10/20/17
Poors will riot and burn down certain areas.
Carmine Macaca
  10/20/17
Boomers will just slap millennials with a 5% Patriotism Tax ...
insane nowag
  10/20/17
...
marvelous dun plaza circlehead
  10/20/17
...
Exciting milky windowlicker station
  10/20/17
pension funding is LOL but not sure what you're saying here ...
offensive stage son of senegal
  10/20/17
the way i have seen it described is like a feedback loop. ...
Cruel-hearted Copper Principal's Office Black Woman
  10/20/17
Pension systems aren't loading up on their municipalities' b...
offensive stage son of senegal
  10/20/17
feds probably bailout a portion
Disturbing Judgmental Temple Laser Beams
  10/20/17
raise taxes, cut down services and ask for bailout
internet-worthy irradiated elastic band
  10/20/17
death panels
Contagious selfie
  10/20/17
California is FUCKED.
learning disabled shaky death wish
  10/20/17
that's why we are importing a third-world brown population. ...
curious fortuitous meteor
  10/20/17
...
Blue beady-eyed fanboi bawdyhouse
  10/20/17
...
Exciting milky windowlicker station
  10/20/17


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Date: October 20th, 2017 8:38 PM
Author: Cruel-hearted Copper Principal's Office Black Woman

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: primrose aphrodisiac candlestick maker spot

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)



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Date: October 20th, 2017 8:38 PM
Author: Electric National

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: Shimmering hell

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: Carmine Macaca

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: insane nowag

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: marvelous dun plaza circlehead



(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: Exciting milky windowlicker station



(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: offensive stage son of senegal

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.

(http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491059)



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Date: October 20th, 2017 9:01 PM
Author: Cruel-hearted Copper Principal's Office Black Woman

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)

(http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491149)



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Date: October 20th, 2017 9:50 PM
Author: offensive stage son of senegal

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: Disturbing Judgmental Temple Laser Beams

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: internet-worthy irradiated elastic band

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: Contagious selfie

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: learning disabled shaky death wish

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: curious fortuitous meteor

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: Blue beady-eyed fanboi bawdyhouse



(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: Exciting milky windowlicker station



(http://www.autoadmit.com/thread.php?thread_id=3770080&forum_id=2#34491469)