Why have pension funds misjudged reality for decades – and how can you profit from this mispriced risk? Konstantin Boehmer of MacKenzie Investments walks viewers through the four major design flaws that are built into pension systems worldwide. He argues that pension fund managers have overestimated their ability to generate investment returns, and have pursued desperate measures by taking on too much risk in order to compensate for these faulty return expectations. Boehmer explains how the mismatch between retirees’ goals and pension fund managers’ incentives has distorted the market, and suggests a few ways to protect yourself from the pensions crisis looming on the horizon. Filmed on January 13, 2020, in Toronto.
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How to Play from the Coming Pension Crisis (w/ Konstantin Boehmer)
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Gen X, millennials, and gen Z have already subsidized the baby boomers as much as we can and not by choice.
I’m not paying 40-50% taxes to subsidize the baby boomers retirement. They made there bed now they need to sleep in it.
A perfect storm is coming ⛈
Look at the facts about pensions.
A pension manager is a salesman only. Get the facts. I know bull shit when I hear it. The pension funds are broke & the average fund will not pay the full value but will maybe pay 15%. Maybe.
I, like most, am responsible for my own retirement, so should everyone else
아주 좋은 서비스와 좋은 태도
충청남도 청양군 임신중절산부인과낙태상담(카톡 CBVG )약물낙태수술병원
I feel the corona virus is here to target the baby boomers that want/deserve their money.
Gold, silver, crypto. Will save us.
Denmark has defined contribution schemes that are fully funded. Nothing is perfect, but its a very robust model especially because it hedges public sector pensions through tax deferments. Understand that the Netherlands has defined benefits, which is more risky even if they have excellent running contributions (and so far returns).
6:00 …roflmao wow…take from retiree…to save the jobs of fund managers.
Get a grip people, learn to invest…
Today US10Y yield is at 0.914%
Great show guys
The most important comment came in the last minute. Konstantin thinks the states that have been very bad and whose pension schemes are insolvent will be bailed out by the Federal Gov rather than be allowed to go bankrupt .
Imagine living in one of the states that’s solvent and watching this happen ie bad behaviour being rewarded . I think that will lead to a lot of bad feeling .
I think it's hilarious that his analysis was that they gave the workers too much and NOTHING about how ALL the wealth gains for the last 20 years have gone to the 1%. Yeah, that's the problem, we pay workers too much. LOL.
Yep. 08 crisis. Too big to fail killed the pensions.
you were never going to get your pension. lets not pretend hmmm. it was always going to be stolen away one way or the other. they always expected you to be dead before you collected. scam from the start. lets be real.. markets nothing but a shark tank full of pirates and thieves.
The issue is simple. It's unfunded pensions that are the issue.
Back test, see what would have happened if the contributions to unfunded pensions had been invested. Turns out the payouts are far better by a factor of 5 or more than the socialist version. There's no demographic issue with the same money going into a fund.
But the demographics are the same in both. So its not demographics that's the issue.
It's the socialist ponzis that are the issue.
I've tried having this conversation at work. People my age don't care and older people don't care if the taxpayer gets stuck with the bill for their retirement.
Food corporations are already taking care of the pension problem, by poisoning consumers with toxic food, full of sugar, starch and complete lack of nutrients the human body requires.
Next on the plan: Soilent Green…
Excellent interview.
I like the background set. looks like they also need a couple of stogies to fit into that set background.
Does anyone know the approximate part that pension funds
constitutes among all inverstors?
*Right ? 🙂
This is why models are always “garbage in garbage out”. Who would have thought 60 years ago that the average lifespan would increase that much. Who would have thought that the western world would face a non-sustainable (for pension design) low birth rate and sovereign debts so large that would instigate such low interest rates. This is the perfect storm for pension funds and the debunking of central planning efficiency (if there ever was such a thing).
P.S. the Norwegian pension fund, the largest in the world, is found (invested) almost in every large corporation worldwide and that shows how pension fund managers see government securities. Moreover, the British pension fund runs a deficit of 5X their current GDP!!!
Why am I taking investment advice from Bobcat Goldthwait?
ed's looking like he's aged 20 years in the past couple months
That’s exactly y the world is getting slammed with covid 19. So sad. I hope they pay in the next life
Not sure about where you are, but in Italy we might not have a pension crises anymore once the coronavirus has passed through.
"Pensions are Toast!", Danielle Dimartino, "They have silently decided to bankrupt pensions". Pensions are over 7 trillion underfunded and will double in just a normal recession as Stephanie Pomboy states..
So during the recession, they will be taxing more from the public to try and stay a float! Lol
They may need 50% more money, but everyone has about 50% less. Lol