Reuters:Moody’s cut credit ratings of several small to mid-sized U.S. banks on Monday and said it may downgrade some of the nation’s biggest lenders, warning that the sector’s credit strength will likely be tested by funding risks and weaker profitability.
// Despite recent gains on their investments, U.S. public pension funds don’t have nearly enough money to pay what they owe current and future retirees.
In less than a decade, that shortfall has tripled to at least $2 trillion—more than half of all outstanding state and local bond debt, according to a report by Moody’s Investors Service.
Moody’s looked at the unfunded liabilities of the 25 biggest public retirement systems, which cover 40 percent of the $5.3 trillion in total U.S. public pension plan assets.
Like nearly all retirement savers, pension funds got clobbered by the 2008 financial collapse. In the 2008 and 2009 fiscal years, the 25 plans’ assets dropped nearly 22 percent cumulatively on average, Moody’s said. //
https://www.cnbc.com/2014/09/26/public-pensions-face-2-trillion-hole-moodys.html
What this doesn’t mention: Towards the end of the 2008 “irrational exuberation” Moody’s gave high ratings to dubious projects; so high that conservative pension funds were legally able to purchase the “assets”.
And this in just over 2 years.
Think about 5 more.
Some days I can barely think about the next 5 days let alone the prospect of thinking about the next 5 years.
On other days I hold faint hope.
Keep on keepin’ on. Do what you can.
Windmills, solar panels and two more boosters.. One in each eye.. Should do the trick to put all the money where it needs to be..
Glorious. Let the pain rain down and wash away the commies.
Sadly others are washed away first.
For years, I’ve warned my unionized friends who went on and on about their glorious retirement funds.
What do I know, I’m just some stupid, self employed idiot.
Wait I thought the West was going to prosper, and be uber super duper rich, and Russia was supposed to be collapsing! WTH?
Am I the only one feeling gypped here?