Throwing Truss under the bus won't stop UK crisis emerging from 20 years of Keynesian pension fund mismanagement -Daniel Lacalle/Mises Institute
The issue in UK and elsewhere is how underfunded and questionably funded pension funds are faring in a time of soaring interest rates. The same thing is now on the horizon right here in the US. What is the status of the trillions of dollars kept in US pension funds vs outstanding liabilities? And what will happen to those investments as interest rates rise?
Lacalle makes the point that the UK pension fund dilemma is likely to reappear soon in the Eurozone where 12B euros in negatively yielding bonds are already stuck in the baskets of European investment/pension funds.
Lacalle makes the point that the UK pension fund dilemma is likely to reappear soon in the Eurozone where 12B euros in negatively yielding bonds are already stuck in the baskets of European investment/pension funds.
There used to be a Capital One credit-card ad on TV--"What's in your wallet?" Potential retirees should now be asking someone, "What's in my retirement pension fund?" They may not want to hear the answer.