Salient to Investors:
Moody’s Investors Service the total funded ratio – assets relative to liabilities – of state pensions fell to 48 percent under its new methodology from 74 percent before the changes. The ratio measures fund management and whether a state is keeping up with promises to retirees.
Moody’s said states with the largest relative pension liabilities have at least one thing in common: a history of contributing less to their pension plans than the actuarially required contributions.
Read the full article at http://www.bloomberg.com/news/2013-06-27/u-s-state-pension-underfunding-worsens-with-new-moody-s-formula.html
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