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I think it's good that pension funds can get returns.

• fakedang 2y ago
  Yeah but Renaissance is funny because they have 2 funds. The Medallion fund which only has employee money makes the amazing returns, while the normal fund for pension funds barely outperforms the market.
  • sokoloff 2y ago
    “Barely outperforms the market” over a 50 year period (for a pension fund to cover obligations) is still a pretty big deal.
    • fakedang 2y ago
      Except there are far more funds that already do that (even if their count is in the minority), so their sheen wears off. Oh wait, there have been some years the normie fund actually underperformed the market, while the Medallion fund exceeded its expectations. So much that investors got real pissed (around 2018 iirc), and that's how the separation of funds structure actually came in the financial media spotlight.
• gottorf 2y ago
  For Renaissance specifically, their signature fund has been closed to outside investors (with all funds returned) for decades, so pension funds aren't able to take advantage of their outperformance. I believe their publicly-available funds don't have nearly the same kind of returns. With all that aside, better liquidity and pricing of risk is the overall systemic value that all speculators in the market provide. You be the judge as to whether the remuneration is commensurate with that value.
• cjbgkagh 2y ago
  Not if the economy collapses before you can collect / spend your pension. I think such an event is inevitable even though it may be a long time away. Pending global conflicts could bring it forward. If you need a pension and don’t get it there isn’t really much you can do about it.