Tuesday, September 1, 2015

California Pensioners Approaching Charleston Heston Moment As Calpers Looks To Reduce Risk

In a move similar to George Taylor (Charleston Heston) stumbling onto the half buried Statue of Liberty, the California Public Employees' Retirement System or Calpers, the nation's largest pension funds in the United States, presented a new risk-reduction plan that outlined a shift in investment strategy towards 'safer investments' such as bonds (Video). Bonds, unlike stocks, are considered stable long-term investments according to Calpers.

That is, until confidence in the public sector goes poof and "who the hell bought these things" prefaces bonds in the next strategy shift. Since Calpers is a leader in the field of pension management, this bold move will no doubt lead other public funds to insolvency.

Video: PLANET OF THE APES (1968) - Lady Liberty Destroyed

Headline: CalPERS Considers Plan To Cut Financial Risks Amid Cash Shortfalls

Earlier this month, CalPERS staff members presented the new risk-reduction plan to the fund's board.

Under the plan, CalPERS would start shifting more money into safer investments, such as bonds.



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