Sadly, in a world of low returns, there is no simple explanation; in fact, as we put it several weeks ago, it is an “unsolvable math problem” in a world of ZIRP and NIRP, and as the Tribune said “Taxpayers would be hit either way; the question was whether it would be in the short term or long term.”

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4 years ago

What’s the Governor upset about? He’s the only high level state official to talk about the pension farce in the last three years. When TRS finally does something to reflect reality, Rauner acts like it is a bad thing. Doesn’t he understand that this helps put the spotlight on the mess he is trying to fix. All these pension funds need to quit hiding behind phony actuarial calculations, unrealistic earnings assumptions, and disgraceful promises to beneficiaries.

4 years ago

This is good news. Reality is starting to set in. The problem is that the long term rate should be 3 or 4% MAX. Light that candle and see what happens – it will push us closer to bankruptcy and force the HARD decisions. Rauner kvetching about this is ludicrous.