It is true if you are in the unfortunate position of havig a good chunk of your pension tied up in company stock. This is a terrible idea for the pensioner, of

It is true if you are in the unfortunate position of havig a good chunk of your pension tied up in company stock. This is a terrible idea for the pensioner, of course, but nevertheless many 401k plans and a good chunk of defined-benefit plans put substantial exposure into the employing company's stock or debt. They're becoming less popular after the slew of "company goes bankrupt -> retired workers lose their income" stories that have happened in the past few decades.