Frozen pension fund 2010 Mock 3. Carb x

Sorry Bilal I can’t agree with you. Maybe someone else can weigh in.

Just because a plan is closed and facing a deficit/not profitable doesn’t mean employees who are active can’t achieve salary raises or the company turns around and is profitable again. The business will still pay it’s employees and the liability is based on the PBO, which is in the future. You need some inflation mimicking with either real rate bonds or equities.

Mad confusing. Isn’t there some authoritative guidance on this?