It is a mathematical certainty that at least one, if not all, of Chicago’s pension funds will default if there is a protracted downturn and no external assistance.
In fact, they are already FUBAR.
Actuaries describe a pension fund that drops below a 40% funded ratio to have crossed the point of no return.
What is the funding ratio of Chicago’s 4 pension funds?
23.5%*
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Illinois has less money on hand to pay its bills than any other state in the nation: it has just 28 days of reserves
