Pension Funds Clang the Bull-Market Gong
State and local pensions flash a contrarian signal.
Don't Do As We Say
There’s good news for stocks in The Pew Charitable Trusts report, "State Public Pension Investments Shift Over Past 30 Years."
The document covers the investment policies of the nation's state- and local-government pension funds. To put it kindly, these $3 trillion funds have not been brilliantly managed. Collectively, they held almost no stocks entering the bullish 1950s and 1960s (I’m not sure how the 1950s qualify as “the past 30 years,” but I’m grateful that Pew included the data), discovered equities just in time to catch the 1973-74 bear market, and lightened up before the bull market of the '80s.