How safe are defined benefit pension plans?

It may appear that the luckiest people in the world these days are those with defined benefit pension plans especially those backed by taxpayers.  However, they are subject to the same risks as any other paper investment asset.  The institution that issues them could go bankrupt or declare a default or they could lose their value because of inflation.  I still think the safest  investment is a market garden.


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: