Pension funds and other institutional investors have struggled to produce the returns they need to satisfy their obligations. To boost returns, they've turned to a new, risky strategy involving leverage that could eventually backfire, leaving pension funds facing shortfalls in meeting their obligations to pensioners.

In the following video, Fool markets analyst Mike Klesta talks with longtime Fool contributor and financial planner Dan Caplinger about this strategy and what it means to you and your money.

Mike Klesta has no position in any stocks mentioned. Fool contributor Dan Caplinger owns warrants on Bank of America, Wells Fargo, and JPMorgan Chase. You can follow Dan on Twitter: @DanCaplinger. The Motley Fool recommends Wells Fargo and owns shares of Bank of America, JPMorgan Chase, and Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.