Dumbest Idea Ever' Used as Pensions Plug Deficits

**Silverbird** · 05-01-2008, 04:37 PM

Well, at least TSP can't do this...

May 1 (Bloomberg) -- Pension bonds are making a comeback, as states and cities from Alaska to Philadelphia bet they can use the proceeds to help fill deficits in their retirement funds and still generate a higher return than what they pay in interest....

While the systems earned on average 11.9 percent a year from 2003 to 2006, many of the pensions failed to make the contributions required to keep pace with benefits they promised, the Pew Center for the States, a nonprofit public policy research group, said in a December report....

http://www.bloomberg.com/apps/news?p..._7k&refer=home

**luv2read** · 05-01-2008, 04:58 PM

Lol what do you think Congress is doing with this and the other trust funds as they borrow from them then sell treasuries to borrow money from foreign investors?

Originally Posted by Silverbird

Well, at least TSP can't do this...

May 1 (Bloomberg) -- Pension bonds are making a comeback, as states and cities from Alaska to Philadelphia bet they can use the proceeds to help fill deficits in their retirement funds and still generate a higher return than what they pay in interest....

While the systems earned on average 11.9 percent a year from 2003 to 2006, many of the pensions failed to make the contributions required to keep pace with benefits they promised, the Pew Center for the States, a nonprofit public policy research group, said in a December report....

http://www.bloomberg.com/apps/news?p..._7k&refer=home