Baroness Altmann Blasts Bank of England for Pushing Pension Schemes “Over the Edge”: BoE Admits the Risk | MishTalk
. . . has a similar $1 trillion (I suspect the US state/private company pension problem is actually greater than $1 trillion) pensions problem, but Britain is a fraction the size of the US.
During times of low yield the pensions must be buoyed with company cash to account for the lower yields. This can be disastrous. But the problem is not the yields, the problem is that pensions, or the defined benefit system. The solution is to, in majority part or whole, move to a defined contribution system like the US 401(k) retirement investment system.
We, and Britain, really need to modernize our benefits systems, to allow much more personal investing, personal ownership of the accounts. Until this happens, disastrous government, and corporate stewardship will continue to cause serious problems.