Report:
85% of pensions could fail in 30 years - (www.usatoday.com) You
might have thought your public pension was on shaky ground, but you’re likely
still being too kind. Influential and well-regarded hedge fund Bridgewater
Associates Wednesday warns public pensions are likely to achieve 4% returns on
their assets, or worse. If Bridgewater is right, that means 85% of public
pension funds will be going bankrupt in three decades. Bridgewater came to
these conclusions by stress testing the nation’s public pension plans, much the
way banks need to be evaluated on what could happen given a wide range out
outcomes. Public pensions have just $3 trillion in assets to invest to cover
future retirement payments of $10 trillion over the next many decades,
Bridgewater says. An investment return of roughly 9% a year is needed to meet
those onerous obligations. Many pension observers make the claim pensions will
achieve 7% to 8% returns. But even if that assumption is correct, which is
unlikely, public pensions are looking at a 20% shortfall, Bridgewater says. A
4% return is much more likely, the firm says.
France
Wants To Ban Work Emails After 6 - (www.businessinsider.com) French
workers have long enjoyed shorter workweeks and plenty more vacation time than
Americans. Now, 1 million workers in France may be free from any work-related
emails or phone calls after 6 p.m., The Guardian reports. Unions
and employers there have agreed in principle that no work communications are
sent after work hours. The deal would affect a portion of the technology and
consultancy sectors and includes the French branches of Google, Deloitte, and
PwC, according to The Guardian.
It will not take effect until it is ruled on by a judge.
Down
300 in 3 days: Here's what's killing the Dow - (www.usatoday.com) It’s
another bad day for the Dow Monday and investors are already trying pointing
blame at the stocks causing the most trouble. Stocks at large are rolling over
a bit as investors take off some of their speculative bets from last year. The
Dow has fallen more than 300 points over the past three trading days, as investors
turn from being bullish to nervous. It’s the biggest three-day fall for the Dow
on a point and percentage (2.0%) basis since Feb. 4, 2014. But there’s a group
of Dow stocks that are the biggest contributors to the downfall. Visa, Goldman
Sachs and Boeing are among the biggest drags on the Dow Monday,
falling 2.1%, 2.9% and 1.4% respectively. Weakness in these stocks is
especially problematic since the Dow gives greatest weight to the stocks with
the highest per-share prices. And at $203.41, $158.56 and $125.59 respectively,
Visa, Goldman and Boeing are the stocks that really matter to the measure. And
the trouble in these stocks isn’t just today. So far this year, Visa is down
8.7%, Goldman is off 10.5% and Boeing is down 8.0%.
Russia
can't support Ukrainian economy forever - Putin - (www.rt.com) Russia
can’t continue to prop up Ukraine’s faltering economy, and this responsibility
should fall on the US and EU, which have recognized the authorities in Kiev but
not yet given one dollar to support the economy, President Putin has said. “The
situation is - to put it kindly, strange. It’s known our partners in Europe
have recognized the legitimacy of the government in Kiev, yet have done nothing
to support Ukraine – not even one dollar or one euro,” Putin said at a meeting with government officials at his
residence outside of Moscow. “The Russian Federation doesn’t recognize the
legitimacy of the authorities in Kiev, but it keeps providing economic support
and subsidizing the economy of Ukraine with hundreds of millions and billions
of dollars. This situation can’t last indefinitely,” Putin said. In
December, Russia provided Ukraine with a $3 billion loan, which was a part of a
bigger $15 billion aid package agreed the
same month. Russia also offered a 33 percent gas price discount that would have
saved more than $7.5 billion.
Russia
warns Europe of gas supply cuts over Ukraine debt - (www.reuters.com) President
Vladimir Putin warned European leaders on Thursday Russia would
cut natural gas supplies to Ukraine if
it did not pay its bills and said this could lead to a reduction of onward
deliveries to Europe. In a letter to the leaders of 18 countries, he demanded
urgent talks with Europe on pulling Ukraine's economy out of crisis but made
clear his patience was running out over Kiev's $2.2 billion gas debt to its
former Soviet master. His comments were Russia's most explicit threat to cut
off gas to Ukraine, a move that could worsen a dispute over Moscow's annexation
of Crimea that has resulted in the worst East-West crisis since the end of the
Cold war in 1991. "...Gazprom is compelled to switch over to advance
payment for gas deliveries and, in the event of further violation of the conditions
of payment, will completely or partially cease gas deliveries," Putin said
in the letter, sent to European leaders including German Chancellor Angela
Merkel, whose country is the largest consumer of Russian gas in the 28-nation
EU.
Biggest
U.S. airlines among worst in customer service: study - (www.reuters.com)
Wal-Mart to boost organic food lineup - (www.latimes.com)
Wal-Mart to boost organic food lineup - (www.latimes.com)
Fed's
hard line on funding to bring more pain to Wall Street - (www.reuters.com)
Toyota to recall nearly 6.5 million vehicles for steering, other faults - (www.reuters.com)
Toyota to recall nearly 6.5 million vehicles for steering, other faults - (www.reuters.com)
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