Commentary A recent Pew Charitable Trusts study found the rising stock market has improved the fortunes of state pension funds, including that of California, but cautions “uncertainty remains.” “The State Pension Funding Gap: Plans Have Stabilized in Wake of Pandemic” (pdf) calculated state pension systems are in the best fiscal shape since before not only the recession from the COVID-19 pandemic, but before the 2007-08 Great Recession. The reason was state retirement fund asset increases of more than $500 billion, “fueled by market investment returns of more than 25 percent in fiscal 2021,” the best annual return in three decades. Public employee and taxpayer contributions also boosted the fiscal condition of these funds. But it’s not all peaches and cream. Pew cautioned, “Despite the encouraging trend, public pension funding can be volatile.” The funding ratio of assets vs. liabilities “has risen above 80 percent, a substantial improvement,” the study found. …