Chicago Sun-Times, August 19, 2008

A new study found pensions can provide retirement income at 46 percent lower cost than individual accounts, like a 401k.

The study released by the National Institute on Retirement Security found that such plans avoid the problem of over-saving and because they are ageless, they can perpetually maintain an optimum balanced investment portfolio, rather than the typical individual strategy that shifts investments over time to lower-risk investments.

It also found that defined-benefit pension plans achieve higher investment returns compared to individual investors because of professional asset management and lower fees.  Read the full article here.