posted on May, 4 2013 @ 08:55 PM
Simple questions. The best bet in the stock market for the past 40 to 50 years has been Berkshire Hathaway. It is the company that Warren Buffet
controls. If you don't know who he is, you need to look him up. Mr. Buffet has averaged an increase of about 25% a year for the past 50 or so years.
Public pensions assume a return of about 8% a year, anything beyond that means that the pensions are considered overfunded. During the past decade,
public pensions were overfunded, a change in the accounting rules now makes them appear to be underfunded; but, in reality the Governmenal Finance
Officers Association (GFOA) says that public pensions are adequately funded and not in trouble, though, the media would have you believe
When you hire government employees, they join a pension plan, because of this, they are given less in Social Security even if they have had a career
in private industry and have contributed to Social Security. Public pensions have not overwhelming purchased stock in Berkshire Hathaway. In fact,
they have hired investment consultants known as "placement agents". Many of these placement agents have been paid tens of millions of dollars to
suggest companies to public pension plans to invest it. They are some of the most expensive match makers in the world. Investigate Calpers and Elliott
Broidy or Villalobos. Heck, check out the New York State pension and their Comptroller who was found guilty of taking bribes from Mr. Broidy.
Here is the real question, why don't residents demand that public pensions invest in the best investments, such as Berkshire Hathaway? If public
pensions had invested in Berkshire Hathaway for the past 40 years, there would be no issue about public pension costs today. So where did that money
go? Ask your city, county or state where the public pension money was invested and what return they got. Public employees were given salary increases
in exchange for their pension funds being used to fund pet projects by politicians.
Now, if anyone actually cares where their tax dollars go, they will search for the CIM Group. By the way, I am not a member of Calpers nor of the New
York State pension plan.