On Jul 15, 10:15*am, "Ed Huntress" wrote:
wrote in message

...
On Jul 14, 10:57 pm, "Ed Huntress" wrote:

But that would upend the idea that Social Security is *secure*. Investment
in business is always a risk. Philosophically, I'm not in favor of adding
risk to the system. When you're ready to retire, it's too late to be
rolling
dice. To the degree that the government is involved with the real economy,
my feeling is that their primary job is to encourage growth.

--
Ed Huntress

Mutual fund managers believe there is also a risk of not being
invested.

And what is the nature of that risk?

You do not make any money and run out of money when you are retired.
If you do not make more money than the rate of inflation, you are
losing wealth.

That is the risk Social Security is now taking. *It is not
invested and it is not providing any return. *A diversified investment
is safer than one that is not diversified.

Of course. How about one diversified across all revenue sources to the
United States government?

Not well diversified. That is essentially only one source so it does
not count as being diversified at all. If the U.S. government
defaults on its loans, you have nothing else to fall back on.

Dan
--
Ed Huntress