Caution on pension ROI assumptions.

Top corporate officers have discovered that they must involve themselves deeply in pension fund management. One problem they face is the level of the assumed rate of return on investment of the pension assets. The level not only determines the amount available to meet future liabilities, but it affects earnings now. For various reasons, most corporations have been raising these assumptions, and the author of this article thinks that many pension funds have reached the defendable limit. He demonstrates why he fears that optimistic corporate expectations may be rudely shaken. [ABSTRACT FROM PUBLISHER]