Pension Funds Are Using Investment Rate Assumptions That Aren't Really Realistic

In the late 70s pension funds were using investment rate assumptions that were often in the six percent or there about range and now when the prospects are way poor most invest most pension funds are using expect building into their calculations returns of nine percent or better on investments. It'll be interesting to see whether in the next couple of years where pension funds are experiencing significant shortfalls from their assumptions how quickly they change the assumptions.