Plains State Issues $1.5 million in Bonds for Pension. 4 Takeaways:

In 2015, Kansas state pension system (KPERS) issued $1 billion in bonds to maintain the pension. The results:

• The $1billion bond, which was invested, will be able to pay bond service, but little more than that. 
• It is expected that the return will either be even or minimally positive
• For the numerically minded, KPERS assumes an 8% return rate
• KPERS had a $500 m pension bond in 2004. Those funds investment return rate has been 6.68% while the bond rate is 5.39%, generating $156 million for KPERS

Topeka Capital Journal | Kansas issued a $1 billion pension bond a year ago. How is it doing?