Pension Funds' Risky Business

Sloan, Allan
December 2002
Newsweek;12/9/2002, Vol. 140 Issue 24, p59
Comments on the outlook for pension funds and corporate pension obligations to employees in the United States. Discussion of the impact of falling stock prices and of accounting practices on fund profits; View that many companies with traditional pension funds with shortfalls will transfer pension risk to their employees; Topic of cash balance pension plans, which involve a company putting a fixed amount into the account of a worker; Idea that shifting retirement risk from employer to employee began in the 1980s with the introduction of 401(k) plans.


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