Pension system falls deeper into the hole

Fear of a coming national recession should be keeping California officials up at night given what even a modest economic slowdown would mean for California’s pension systems. For instance, the California Public Employees’ Retirement System has enjoyed impressive stock-market returns in recent years, yet it keeps falling deeper into a fiscal hole.
What happens if the fund encounters bad years?
CalPERS’ return on investment in the last fiscal year hit 6.7 percent, which is a soli