So why the hell do you care?
Hmm... I suppose you're right.
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anyway... I think I'm getting closer to answering my own original question about the oversight that was supposed to be present to avoid fraud and mismanagement. Fiduciary responsibility is the operative term.
The question stems from the size of the problem. Current Pension obligations total an estimated
Eighteen Trillion Dollars. That's more than the National Debt.
Many of the Pension Funds now being paid by the PBGC were funded at levels as low a 10%, and the new "safe" level of funding seems to be 70%.
How could that happen if there are rules designed to keep these pensions safe... Whatever rules are in place, how did the situation become so grave?
So here's an article from 2011 that sheds some light on the problem, and furthermore seems to indicate that there is no real effort to correct the problem in a hurry.
U.S. to Delay Pension-Plan Rules - WSJ.com
Two quotes from the article:
The assistant Labor secretary who came up with the new rules, Phyllis Borzi, had pushed to finish them this year. Supporters say the rules would clean up conflicts of interest that have long plagued retirement plans, especially smaller ones.
But the proposal met heavy resistance on Wall Street, amid questions about its cost and the impact on investors' retirement choices. The Labor Department said Monday it would likely repropose the rule early next year.
The Labor Department isn't known as a financial cop. But the agency is more concerned about potential abuses now that assets in pension plans, 401(k)s, IRAs and other retirement accounts have swelled to $18 trillion.
The pushback from the corporations has been so far, successful. In other words, Banks and Brokers can offer risky investments (high interest) to plans, which makes the plans look good on the surface (more projected income to satisfy the numbers part)... but at the same time, has the hidden risk.
edit to add a more recent news article... Pension Plan fixes to be delayed again.... Score Wall Street 2, Public 0
http://in.reuters.com/article/2012/06/27/adviser-fiduciary-debate-idINL2E8HRDUC20120627
I don't have pension plan losses to cite, but similar funds, like the Harvard Endowment funds went from $37 Billion to $26 Billion in one year.
So, Yes, while I shouldn't care because it doesn't affect me directly with a loss of pension monies, any time 18 Trillion dollars is up for grabs, the ripple effect is enough to think about.
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While everyone is concerned about the rules that affect how they receive their pensions.... no matter what the rules say today, when the money isn't there anymore, the rules are going to change...
Gotta fix the underlying problem.