Honesty? When losing billions in Shin Corp call it long-term
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I had a rather lengthy exchange with some jiakbaboey in another website who persistently posted to the effect that GIC was right in investing people's monies in rescuing foreign banks e.g. UBS, Merryl Lynch, Barclay, Citibank (monies were paid on convertible bonds which would be as good as lost if citi share failed to come up to the conversion price within 2 years) taking a long-term view of such investment.
I said in effect without quibbling over the detailed technicality over choice of words or accuracy of the worlds "lost" such so-called long-term view is like "head I win tail you lose" double-talk with rebuttal to your further points that such long-term investment strateg was similarly adopted by Buffet.
I might not be very accurate in saying that we have lost monies in these foreign banks as GIC has not sold these shares though the capital values of UBS, Merryl Lynch, Barclay have come down drastically in the ensuing crisis.But I pointed out that after what has happened to Shin Corp debacle surely such thowing of good monies after bad cannot be that prudent or right. That is where jiakbaboey admitted that they (GIC perhaps) might not have got a good deal in UBS, Merryl Lynch and Barclay.
I was repeatedly challenged on lack of accuracy in saying GIC has lost billions and my use of the words like "lost".
I pointed out the billions invested in such foreign bank shares are public trust monies and it would be rash in rushing in at the onset of financial crisis to throw our good monies at some crisis-hit foreign banks as done previously in Shin Corp. At least our leaders like MM Lee, Dr. Tony Tan, Dr. Richard Hu should have some common sense and prudence after what has happened in the earlier Shin Corp debacle.
I gave you further examples of Bear Stearn which shares have been almost totally wiped out in subsequent fire-sale.
I was persistently challenged for long of accuracy in saying that there was no such thing as long-term investment for even Buffet who was given as example of long-term investors had quickly sold the Petrochina shares deemed long-term on others like Temasek for a quick gain of billions.
With my points debunking your persistent posts about GIC's adopting a long-term investment, I have denied GIC's claim of long-term investments whenever they make a poor judgment like in their recent foray into UBS, Merryl Lynch and Barclay.In terms of level of honesty and integrity do we have such quality in the highest level of government? Judge for yourself.
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do you have any idea how old are those investors over at GIC? they are only fresh graduates in their 20s, 30s.
they may be good in their studies, but that doesn't make the good stock market players.
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Originally posted by deathmaster:
do you have any idea how old are those investors over at GIC? they are only fresh graduates in their 20s, 30s.
they may be good in their studies, but that doesn't make the good stock market players.
So are "investors" in every other company..who ultimately do not make the decisions.
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I heard when Shin Corp was bought over, one of the satelites are lost and gone in the orbit. what a purchase of fixed assets by the scholars of GIC?