15 May 2011

How safe are state pensions?

Ireland and Argentina are two examples of a new trend where governments that have run out of ideas how to finance their uncontrolled spending will treat money that is supposed to pay for citizens that retire. They blatantly steal from present and future pensioners that rely on a secure retirement after having believed the promises of politicians for most of their lives. Locking up investments in saving schemes that are ultimately controlled by greedy and unaccountable politicians may not be a good idea despite the carrot of tax incentives dangled by governments and providers of pension schemes.