it was a tricky question - comparing apples to oranges - i was in the Foundation camp has being able to tolerate more risk. my thinking was if the value of assets drop 5% in each case then who is more at risk? for me the answer was Pensions would be at more risk because the sh@t seems to hit the fan when they are underfunded at all. just my two cents. again a poor question in my opinion unless CFA is open to either answer along as it is properly justified (which they wont be of course)