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Pension funds getting margin called....

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    Pension funds getting margin called....

    How to alienate your voter base I guess.

    Sam Coates: I'm told Pension funds getting hammered and losing huge amounts of capital, Banks forcing them to make margin calls and liquidate assets, Some pension funds losing large amounts of their fund, Hence BoE stepped in

    #2
    Is it in BoEs mandate to bail out certain (but not all) sectors who play games in the financial casinos?

    Pension funds specifically should not even be allowed to have marginal trades FFS

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      #3
      Investment Trusts can be held in a pension, and these can use margin or leverage to amplify gains (and losses).
      First Law of Contracting: Only the strong survive

      Comment


        #4
        Originally posted by _V_ View Post
        Investment Trusts can be held in a pension, and these can use margin or leverage to amplify gains (and losses).
        All marginal trade must be banned - it’s full money on the barrel or fook off

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          #5
          Originally posted by AtW View Post

          All marginal trade must be banned - it’s full money on the barrel or fook off
          Defined benefit pension schemes couldn't get returns they needed over the last decade with interest rates so low.

          Looks like they started to hedge/gamble with derivatives in attempts to get bigger returns.

          Normal pension funds, they payout on the returns they get, no guaranteed payouts so less need to gamble
          Last edited by Fraidycat; 29 September 2022, 07:52.

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            #6
            Originally posted by Fraidycat View Post

            Defined benefit pension schemes couldn't get returns they needed over the last decade with interest rates so low.

            Looks like they started to gamble with derivatives in attempts to get bigger returns.

            Normal pension funds, they payout on the returns they get, no guaranteed payouts so less need to gamble
            Anybody else remember what happened with the Life Insurance/Pension companies in 2002?
            Old Greg - In search of acceptance since Mar 2007. Hoping each leap will be his last.

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              #7
              Originally posted by Zigenare View Post

              Anybody else remember what happened with the Life Insurance/Pension companies in 2002?
              Was that the endowment mortgages scandal?

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                #8
                Originally posted by AtW View Post

                All marginal trade must be banned - it’s full money on the barrel or fook off
                The funds were holding gilts. Gilts are/were 'safe'.
                The banks did the margin call on the funds as the arse fell out of the gilts market.
                Or that's what I gathered from some research googling last night.

                IANAFC
                See You Next Tuesday

                Comment


                  #9
                  Originally posted by Zigenare View Post

                  Anybody else remember what happened with the Life Insurance/Pension companies in 2002?
                  didn't Gordon Brown strip them of their spare cash
                  See You Next Tuesday

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                    #10
                    Originally posted by Lance View Post

                    didn't Gordon Brown strip them of their spare cash
                    Billions worth ... but no one complained as they didn't 'see' the effect straight away. The long term effect is starting to bite now as people look at how small their pension funds are.
                    I am what I drink, and I'm a bitter man

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