Lee, In the proposal they will offer "choices" of either stocks or bonds...
As far as your last question goes "what about a falling market"...
My answer is...
Yes, a falling market would work in reverse to my examples, but I think they're trying more or less to "off set" the money that will be coming out (we know all about the amount of retiries coming in the next 5 years)...
So, I believe they are more or less looking for a steady "inflow" to match the "outflow"...
Kinda like the retiring parents selling their working kids their stock...LOL...
It's pushes the problem out to another generation...
Once we stop making kids, the pyramid will crumble...LOL...