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How come some TCs can recover over 50% of their original Minibonds losses, but I have not heard of individual investors recovering so much money if at all. Is TCs given favoured treatment? Are the banks who are issuing the Minibonds giving preference to TCs and screwing the peasants. If this is the case, I think there should be grounds for lawsuits against the sellers of minibonds. Pasir Ris-Pungol originally lost $4 million, but got back $2.3 million. Ahmad Magar still got the balls to say they will continue to manage their funds prudently, if he was so prudent in the first place, would he have lost $4 million?
Teo Ho Pin is even worse. I don't know how this asshole can come up with his economic theory. If he is indicative of the PAP MPs, than we are all screwed. This clown says his TC lost $1.32 million out of $3 million in series 3 notes, and than lost all $5 million in Jubilee series notes. That's a total of $6.32 million in losses. Than he says they made net $3.67 million and the investment recovers back to par. How can it recover back to par, unless total investment income was the net income of $3.67 million plus $6.32 million in losses. He must have net income of $9.99 million!! What about the lost interest income on the $6.32 million?
Town councils recover some investment losses
By Leong Wee Keat, TODAY | Posted: 12 November 2010 0639 hrs
SINGAPORE: Town council investments, which came under scrutiny and took a beating during the recent global financial crisis, have seen values recover in tandem with the financial markets. And those that invested in toxic structured products recovered some amounts recently.
The Pasir Ris-Punggol Town Council, which wrote off its $4 million Minibonds investments in the financial year 2008/09, recovered $2.3 million in February. This "represents a write-back" into its balance sheet, said chairman Ahmad Magad.
"While we're glad to have recovered part of our Minibonds investment, we would continue to manage our funds in a prudent manner," the Member of Parliament wrote in the town council's annual report.
The Holland-Bukit Panjang Town Council told MediaCorp it had recovered $1.68 million, or 56 per cent of the $3 million invested in Minibonds Series 3 Notes, during the last financial year.
As for its $5 million invested in Jubilee Series 3 Link Earner Notes, the town council said it "lost the full invested sum".
But it made a net investment income of $3.67 million when the global financial market recovered, said chairman Teo Ho Pin. "The value of our investment has also recovered to par or above par value."
The Sembawang Town Council, meanwhile, reported recovering the fair value loss in its investment income and made $20 million. The Ang Mo Kio-Yio Chu Kang Town Council achieved a similar rate of return: 6.2 per cent over the 2008/09 financial year.
The town council annual reports were submitted to Parliament on Sept 28. Some were made available on the town council websites in recent days, while MediaCorp requested for the others.
Their overall financial positions were healthy and most cited prudent financial management.
While Hougang recorded a $101,820 deficit in the last financial year, the rest achieved surpluses between $1.06 million and $7.35 million during the same period.
The Potong Pasir Town Council's $1.06-million operating surplus boosted its accumulated surplus to about $3 million. "Considering the size of our estate, the accumulated surplus is substantial," chairman Chiam See Tong wrote.
Some town councils flagged financial pressures to residents, though. Ang Mo Kio-Yio Chu Kang expects maintenance costs to rise in the future as the town installs more lifts, covered link-ways and other facilities, wrote chairman Inderjit Singh.
But the annual reports do not indicate if service and conservancy charges (S&CC) - the primary source of income - will increase. The town councils cited efforts to keep a lid on operating costs, with the installation of energy-saving lights as a common approach.
Arrears management was another area flagged by some town councils. West Coast, for example, has been "expending much effort in arrears management and rendering assistance to needy residents".
At the end of the last financial year, it was owed $1.21 million in arrears.
It has taken steps to recover arrears from residents who are not in any financial hardship by imposing late payment penalties and administrative charges and by initiating court action.
Better S&CC collection has helped Hougang to buffer its operating deficit. These efforts led to a 14-per-cent drop in arrears compared to the 2008/09 financial year, said town council chairman Low Thia Khiang.
He attributed its deficit to the demolition of six Housing and Development Board blocks for estate redevelopment, which meant a reduction of S&CC collected, and to higher operating costs charged by suppliers and service vendors.
While financial markets have recovered, town councils stressed they are being prudent in their investments, considering the markets' volatility.
"We manage our funds as a diversified portfolio with risks that are well spread," Holland-Bukit Panjang's Dr Teo told MediaCorp.
"Whilst it's not possible to avoid short-term diminution ... we aim to provide long-term healthy returns for our residents." - TODAY
Teo Ho Pin is even worse. I don't know how this asshole can come up with his economic theory. If he is indicative of the PAP MPs, than we are all screwed. This clown says his TC lost $1.32 million out of $3 million in series 3 notes, and than lost all $5 million in Jubilee series notes. That's a total of $6.32 million in losses. Than he says they made net $3.67 million and the investment recovers back to par. How can it recover back to par, unless total investment income was the net income of $3.67 million plus $6.32 million in losses. He must have net income of $9.99 million!! What about the lost interest income on the $6.32 million?
Town councils recover some investment losses
By Leong Wee Keat, TODAY | Posted: 12 November 2010 0639 hrs
SINGAPORE: Town council investments, which came under scrutiny and took a beating during the recent global financial crisis, have seen values recover in tandem with the financial markets. And those that invested in toxic structured products recovered some amounts recently.
The Pasir Ris-Punggol Town Council, which wrote off its $4 million Minibonds investments in the financial year 2008/09, recovered $2.3 million in February. This "represents a write-back" into its balance sheet, said chairman Ahmad Magad.
"While we're glad to have recovered part of our Minibonds investment, we would continue to manage our funds in a prudent manner," the Member of Parliament wrote in the town council's annual report.
The Holland-Bukit Panjang Town Council told MediaCorp it had recovered $1.68 million, or 56 per cent of the $3 million invested in Minibonds Series 3 Notes, during the last financial year.
As for its $5 million invested in Jubilee Series 3 Link Earner Notes, the town council said it "lost the full invested sum".
But it made a net investment income of $3.67 million when the global financial market recovered, said chairman Teo Ho Pin. "The value of our investment has also recovered to par or above par value."
The Sembawang Town Council, meanwhile, reported recovering the fair value loss in its investment income and made $20 million. The Ang Mo Kio-Yio Chu Kang Town Council achieved a similar rate of return: 6.2 per cent over the 2008/09 financial year.
The town council annual reports were submitted to Parliament on Sept 28. Some were made available on the town council websites in recent days, while MediaCorp requested for the others.
Their overall financial positions were healthy and most cited prudent financial management.
While Hougang recorded a $101,820 deficit in the last financial year, the rest achieved surpluses between $1.06 million and $7.35 million during the same period.
The Potong Pasir Town Council's $1.06-million operating surplus boosted its accumulated surplus to about $3 million. "Considering the size of our estate, the accumulated surplus is substantial," chairman Chiam See Tong wrote.
Some town councils flagged financial pressures to residents, though. Ang Mo Kio-Yio Chu Kang expects maintenance costs to rise in the future as the town installs more lifts, covered link-ways and other facilities, wrote chairman Inderjit Singh.
But the annual reports do not indicate if service and conservancy charges (S&CC) - the primary source of income - will increase. The town councils cited efforts to keep a lid on operating costs, with the installation of energy-saving lights as a common approach.
Arrears management was another area flagged by some town councils. West Coast, for example, has been "expending much effort in arrears management and rendering assistance to needy residents".
At the end of the last financial year, it was owed $1.21 million in arrears.
It has taken steps to recover arrears from residents who are not in any financial hardship by imposing late payment penalties and administrative charges and by initiating court action.
Better S&CC collection has helped Hougang to buffer its operating deficit. These efforts led to a 14-per-cent drop in arrears compared to the 2008/09 financial year, said town council chairman Low Thia Khiang.
He attributed its deficit to the demolition of six Housing and Development Board blocks for estate redevelopment, which meant a reduction of S&CC collected, and to higher operating costs charged by suppliers and service vendors.
While financial markets have recovered, town councils stressed they are being prudent in their investments, considering the markets' volatility.
"We manage our funds as a diversified portfolio with risks that are well spread," Holland-Bukit Panjang's Dr Teo told MediaCorp.
"Whilst it's not possible to avoid short-term diminution ... we aim to provide long-term healthy returns for our residents." - TODAY
