Does Anyone Know of Anyone Selling Credit Default Swaps For Pension Plan Leverage In the US?

https://www.youtube.com/watch?v=3hG4X5iTK8M

Good afternoon,

Is anyone selling credit default swaps for pension plan leverage in the US? I know the leverage restrictions for most ERISA plans limit them from taking on much debt, however perhaps this could be a workaround some are utilizing to try and preserve the principal of their funds.

As automation has been reducing the necessity of labor in many industries and governments have been spending more than they take in, I am concerned about the long-term fiscal solvency of the traditional pension plan system. I do not see how most plans will be able to achieve expected 5.5% returns over the next several years with the risk-free rate so low, and equities being so overvalued without taking on additional leverage.

The main issue they are facing is that their investment managers cannot just buy long dated bonds at a reasonable rate of return to ensure their plans’ solvencies. However, I believe it may be politically incorrect to point that out. Short of taking down a bank where all the pension plans are held to cover up government overspending, I do not see another solution other than working around some of these plan's leverage restrictions.

Bank's should be sure their credit systems are accurately identifying the ringed fence pension plans they are dealing with as their recourse for defaults would be to the plans themselves as opposed to the companies that sponsor them.

Please send me an email if you know of anyone selling these.

Warmest Regards,