Are Retirement Savings Too Exposed to Market Risk?

Source: Alicia H. Munnell and Dan Muldoon, Center for Retirement Research at Boston College, Issue in Brief, IB#8-16, October 2008

The brief’s key findings are:
• Over the past year, equities in pension plans dropped $4 trillion.
• The decline was split equally between traditional pensions and 401(k)s/IRAs.
• Individuals in traditional pensions were sheltered, but those in 401(k)s/IRAs experienced a direct hit.
Related article:
The Benefit of Defined Benefits
Source: David Madland, Center for American Progress, October 22, 2008

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