West Virginia Investment Management Board, Charleston, is expected to approve a plan to invest 60% of its $4.5 billion in total assets in stocks and the rest in bonds.
That allocation was recommended by Summit Strategies Group for the five pension funds overseen by the board, which is expected to vote on the proposal April 30, said H. Craig Slaughter, executive director.
Under a law passed in September, 60% of assets is the most the board can allocate to stocks. Without the ceiling, Summit would have recommended the state Teachers' Retirement System and the Public Safety Employees' Retirement System, both heavily underfunded, invest 80% of their assets in equities, Mr. Slaughter said.
The board may eventually consider asking legislators to remove the cap on equity investing. But it is unlikely to reach the 60% ceiling for at least a couple of years, he said.
Attorneys for 84,000 General Motors Corp. retirees asked the U.S. Supreme Court to rule on their claims for lifetime health care benefits.
A federal appeals court ruled in January that GM had the right to amend its retiree health plan for all retirees. That decision reversed an earlier determination that GM had agreed to provide lifetime health benefits for up to 50,000 salaried early retirees.
The retirees asked the Supreme Court to take up the case because of what attorneys are calling conflicts among appeals court rules for granting lifetime health benefits.
The PBGC has set up a Web site that allows companies to report their inability to make contributions, bankruptcy filings and other transactions that can affect their pension plans. The PBGC created an electronic version of the filing, which can be e-mailed back to the agency. The form can be found at www.pbgc.gov/repevents.htp
Fewer U.S. investors plan to increase their foreign allocations this year than last year, according to a survey by PaineWebber and the Gallup Organization.
The survey found 26% of U.S. investors have international holdings. Of those, 28% plan to increase their positions this year, compared with 39% last year. The majority of investors with non-U.S. holdings - 54% - plan to maintain their current levels.
