State and Local Pensions Average 0.6% Return In 2016 (Despite 7.6% Return Assumption and Chronic Underfunding)

The US Federal government is spending at a fast and furious rate. US Federal Spending is rising at a staggering $428,253,120 per day while US Federal TAX Revenue is only rising at $129,857,760 per day. That is almost a ratio of 2x tax revenue.

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Meanwhile, US public debt is skyrocketing.

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While the Federal government further indebts citizens, the US personal savings rate in declining at a rate of 24% YoY.

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Then we have the underfunded pension funds of American, both private and public.  Public pension funds earned a dismal 0.6% in 2016

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According to the Center for Retirement Research at Boston College. public pension funds are also underfunded at 67.9% as of 2016.

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Rotten returns coupled with chronic underfunding. Who are those guys?

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One thought on “State and Local Pensions Average 0.6% Return In 2016 (Despite 7.6% Return Assumption and Chronic Underfunding)

  1. Pingback: Loose End Chronicles: August 8, 2017 | Kettle Moraine Precious Metals

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