Tag: Illinois teachers retirement system

Illinois teachers’ pension responds: says their assumptions are fine

    In the attached letter to the Wall Street Journal, the head of the Illinois Teachers Retirement System, the state’s largest pension fund, responds an editorial in that paper.  The Wall Street Journal had criticized the pension’s assumption that it can make 8% on its invested assets.  That assumption is key to determining the size of the pension’s unfunded liability.   The Wall Street Journal is one of many voices to say that 8% is far too optimistic.  More importantly, new accounting standards and the rating agencies that cover state obligations will soon force pensions like this to assume

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