Singapore's GIC says has no investment in CDO debtReuters - Tuesday, December 11,2007
(Corrects currency of writedown in paragraph 4 to U.S. dollars)
SINGAPORE, Dec 10 - The Government of Singapore Investment Corp. said on Monday that it has no direct exposure to collateralised debt obligations .
"We took a policy decision some time ago that we would not invest directly in CDOs. They are too complicated and we could not understand them enough," said Tony Tan, GIC Deputy Chairman and Executive Director at a news conference.
CDOs, backed by mortgages, have plummeted in value after the U.S. subprime mortage crisis, which has battered Western lenders such as Swiss bank UBS AG .
UBS said in an earlier statement that it was writing down $10 billion in subprime holdings, and that GIC will invest 11 billion Swiss francs(S$14 b) in the bank, and an undisclosed strategic investor from the Middle East will put up another CHF 2 billion.
2.
zao bao newszaobao.com,11.12.2007
This quotes Tony Tan said,GIC has been studying CDO for two years
and found it too complicated .GIC could not understand it.
The risk GIC facing to CDO is almost zero...
He does not expect sub prime will bring any loss to GIC.
3.I believe.Do u believe?
u think u shakespeare ah