Even with all our 401(k) and IRAs they cannot fund all the pension plans in America. Remember, the 401(k) and IRAs are invested in stocks and other financial instruments. In order to get any money out of them, they must be LIQUIDATED, that is to say SOLD OFF. Can you imagine what the stock market would do if EVERY 401(k) and IRA had to be liquidated at the same time? The sell-off would bankrupt the whole system! The value of the stocks would plummet and the wealth that you had put away for your retirement would vanish into thin air!.......................
I think that’s the idea. Destroy what’s left of our free markets and make us dependent on the government.
There are thousands of companies since the 1960s that held pension plans that sank. We watched them come and go. No one ever jumped up and said we had to save those plans. I fail to see the need now to save plans.
If a guy was stupid enough to bet his life savings on one deal...it was his own fault. I have my 401K plan split between four stock areas. It’s the responsible thing to do. I’m betting that most will survive and grow.