This is something i have worried about for some time. Regardless of the ageing demographic, in itself a huge problem, the falling stock market value is hitting and will diminish the return on pensions. However this is just the tip of the iceberg. What I am really afraid of is the large default on loans that will grow as employment rises and the working population declines. The worrying thing is not so much the loss of pensions but the cost to the government if they have to support such numbers of elderly people. On top of that boomers have not sufficiently saved for retirement putting even greater stress on the government. http://www.efinancialnews.com/story/2010-06-04/pension-funds-iceland-paying-bills Not a good time to be a pensioner.