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wasupaloopa

(4,516 posts)
1. Their bonds will be in competition with others offering safe risk free returns.
Thu Jan 3, 2019, 04:48 PM
Jan 2019

Investors like pension funds who need to be risk adverse may be pulling money out of the stock market and investing in bonds. Returns on even “safe” investments are falling.

This market will increase pressures on employers with retirement plans to increase their contributions. They could be forcing a move from stocks to bonds rather than have an increasing unfunded pension liability. Fixed rate bonds may be the safest place for those investors to be.

Just Guess

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