>The housing bubble lead to the mortgage crisis, then the financial crisis and the auto industry crisis, commercial real estate is on the verge of a crisis with so many businesses filing for bankruptcy and closing their doors, can a pension bailout be far behind? Michael Brush seems to think so.
Brush has posted an article on MSN Money explaining why he thinks a pension bailout is not far behind:
But workers covered by traditional pension plans — the ones 100% funded and managed by companies for employees — have so far avoided that sinking feeling.
Unlike the 401(k) crowd, they don’t get monthly statements bearing the grim news of the lousy performance of the investments in their pension plans.
But with stocks and bonds crushed, many of these old-school defined-benefit plans now look downright wobbly. If the economic weakness continues long enough, many could end up in the hands of the independent government agency responsible for taking over failing plans….”