Why the GIC cannot disclose value of its assets
-
Why the GIC cannot disclose value of its assets
By Jeanette Tan | Yahoo! Newsroom – Fri, Sep 23, 2011-
The Ministry of Finance explains why the GIC cannot reveal the exact amount it manages. (Yahoo! file photo)
The Government of Singapore Investment Corporation (GIC) cannot disclose the exact amount of assets it manages and its annual profit and loss because doing so would open Singapore to speculative attacks on its currency, the Ministry of Finance (MOF) said.
When such data are taken together with the disclosed figures of the Monetary Authority of Singaporeand Temasek Holdings, the full size of the country’s financial reserves would be made known, said director of corporate communications at MOF Lim Bee Khim in a letter published in a newspaper on Friday.
“This is against our national interest. It would make it easier for speculators to attack the Singapore dollar during periods of vulnerability,” she said, in response to a previous letter from a readerpublished on Wednesday.
“Further, our reserves are a strategic asset, especially for a small country with no natural resources or other assets,” said Lim. “It would be unwise to reveal the exact amount at our disposal for defending our currency or for use in an emergency.”
Lim, though, reiterated that the assets managed by the GIC were “well over US$100 billion” (S$130 billion) in value.
In response to the reader’s queries about the measures GIC has taken to prevent a collapse in the value of its invested assets, should a crisis strike again, Lim said the organisation invests in a “well-diversified portfolio”, with a balanced distribution of asset classes.
She also said that the GIC reports its 20-year annualised real rate of return, as well as its returns over five- and 10-year periods, to show its performance in the interim.
In response to a further mention by the letter-writer of the newly-appointed President Tony Tan’s role in the GIC, Lim said that Tan does not oversee investment strategies of any of Singapore’s investment arms, but instead approves appointments of board members and CEOs to these organisations.
-
-
All forumers, if you want to read, read it fast I am not sure if mod will delete or close this thread.
-
GIC can't disclose the value of its assets because they may be involved in illicit deals for all we know.
A side note, the CEO of UBS resigned. At least there is someone who is willing to take responsibility like a man and fall on his own sword.
-
Deadly evil emperor Lee Kuan Yew won't allow to be disclosed.
Smell a rat! Rat means more than one!
-
Originally posted by gorgorlokaychyong:
All forumers, if you want to read, read it fast I am not sure if mod will delete or close this thread.
nothing new....now what?
-
the reserves in GIC is too little. No need to disclose
-
No, the real reason is that if they disclose all the 10 year olds will laugh and say they have more in their piggy banks.
-
No audit, no check and balance, so what to disclose if there is nothing ?
-
The argument sounds valid but there is no reason why the President or a Parliamentary Select Committee (which includes Opposition Party representative) cannot be given access to this information.
Does the GIC mean that it cannot trust the Parliament? Actually in the case of our current President, he knows the value of the assets...he was running GIC until recently :)
-
For a man have lost billions of hard earned money, would he be so open to disclose the hard truth on the total loss ?
Aim the gun at himself and fire ?
I doubt so.
Just hard truth if you are plain stupid or ignorant on putting him up there.
-
1 simple reason not to disclose so that we public wont know the full extent of the losses mah. you see mdm ho ching muck up investments during the height of the 2007/2008 great recession and she is still heading Temasek. does she really know how to invests in the first place, as she was neither an expert in commodities, finance or investments.
-
�狸精何德何能.... somehow I feel not worth mentioning.
-
if they dun reveal the losses, we public wont question and scrutinise the investments. in a way, they do not need to account the losses to us anyway. if ho ching is the CEO, of say UBS, and the investments is faring very badly, u think the board and investors will not clamour for her resignation? she would be sacked, period.
anyway dunno what Dhanabalan saw in her to head Temasek. Has she met mission and objective of Temasek? was she even working in investments prior to assuming the posts? its a joke asking someone who doesnt work in investments previously to head Temasek.
-
I meant that �狸精is acting大伯公 thus not worth mentioning in the whole GIC losses. CEO is but a tag, she may have strings to pull on beholden thus remains unscathed....
-
Originally posted by iveco:
GIC can't disclose the value of its assets because they may be involved in illicit deals for all we know.
A side note, the CEO of UBS resigned. At least there is someone who is willing to take responsibility like a man and fall on his own sword.
Are you referring to CEO of Temasek, whose investments fared badly and still, remains in the top job there.
-
there are many people employed under the GIC....just look at the no. of voters'...need we say more?
-
What about other SWFs? Wonder if they disclose. Where CPF money is at stake, I find it quite unacceptable.
-
this shows the significant portion of the national economy tying up with the machinery...corporate governance and transparency subject to national and political risks of being exposed....
justification against justification equals no justification needed...
-
when its comes to investing, these bureaucrats cannot lar, cos they have no experiences in it. I know the CEO relied on advisors in GIC to advise her investments. but it is proven that those so called advisors know shit about investing despite their impressive academic credentials. so the buck should stop at CEO.
-
tryin not to show how screwed up they are
-
The old man will say: "You want to know the truth, can you handle the truth ?"
What if the truth collapsed the whole nice pictures that they have been painting so far, who is going to handle the loss in value in every thing ?
You ask for the truth, will you regret if you know the truth ?
Will you bear the responsibility of the possible consequences of the truth ?
If you sack all the elites in the board, who will be their replacement ?
Can you provide the answer ?
Think carefully before you ask or you may live to regret.
-
GIC linked to the government in power, if they refuse to disclose the public has no way to force them to.
That is the result of voting by the 60.1 percent.
-
does other SWF disclose their assets, revenue and performance per se?
-
Originally posted by iveco:
GIC can't disclose the value of its assets because they may be involved in illicit deals for all we know.
A side note, the CEO of UBS resigned. At least there is someone who is willing to take responsibility like a man and fall on his own sword.
Well, our GIC chairman also resigned ya, but he make sure he become President of Singapore first. -
Originally posted by Rooney9:
does other SWF disclose their assets, revenue and performance per se?
With MIW and also a former govt Investment arm chairman being the President now, do you think they will disclose it to you?? neh neh long long....And even if they will to disclose, it is going to be a full disclosure or make to believe??
