About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   depositrates.co.nz  |   landlords.co.nz
Last Article Uploaded: Saturday, August 23rd, 4:58PM
rss
Latest Headlines

Greens put super on election menu: Cullen

Finance Minister Michaeal Cullen says the Greens decision not to back the Govt's super fund will put the super back into the political football field.

Sunday, June 3rd 2001, 12:00PM

"The Government has always said that if we cannot get a majority in this Parliament for our superannuation policy, we will be more than happy to campaign on it in the 2002 elections," Finance Minister Michael Cullen said today.

"That remains very firmly our position. The electorate is anxious to get

stability and security in this area and the New Zealand Superannuation Bill is by far the most robust and fairest product on offer."

Dr Cullen was responding to the Greens' announcement that they will vote against Part II of the Bill - the section which deals with the structure, governance arrangements and management of the Fund.

"Parties not faced with the hard decisions of government can opt for the easy course. I think the Greens have done that.

"They will vote for Part I of the Bill guaranteeing New Zealand Super' at current entitlements. But they will not vote for the mechanism to pay for it - and they have not put up a credible alternative.

"The net cost of NZS is now 4 percent of all activity in the economy. Within 50 years, that will have risen to 9 percent. Unless some forward provision is made to smooth those costs, future governments will have to either cut the pension [which the National Party supports but the Greens do not] or raise taxes [which both are ominously silent on.]

"And the 'solution' the Greens offer is vague. They talk about creating full employment, stronger communities, preventative health and combating climate change. All worthy goals and all being advanced by this Government. But they don't say how that will help face the problems of an ageing population.

"They want to spend the same dollar three times - on social services, on economic development and on holding debt. That is no more credible when they say it than it is when National says it.

"Just as individuals must save for their old age, so must societies. The demographics require that we run strong surpluses now, and build up assets. To go on a big spend-up is to gamble with our children's futures," Dr Cullen said.

"The Government shares the Greens' concern that the New Zealand Superannuation Fund should not participate in unethical investment. That is why the legislation requires that the Guardians of the Fund must invest in a manner consistent with avoiding prejudice to New Zealand's reputation as a responsible member of the world community.

"This instruction is buttressed by several other requirements," Dr Cullen said.

These included a requirement that the Guardians establish a formal set of investment policies, standards [including ethical standards] and procedures; that they review these annually and that they produce an annual statement certifying compliance.

This would ensure adequate scope for Parliamentary and public scrutiny of the Fund's activities.

"On top of this, the Bill also provides that there has to be an independent review at least once every five years of how effectively the Guardians are performing their functions and duties.

"But there is an important balance to be maintained between this and ensuring that the Fund is run without political interference and that it is allowed to remain focused on its purpose which is to secure New Zealand Superannuation at current levels into the future.

"To clutter it up with other objectives is to risk its ability to deliver on that objective and is also to invite government meddling in the Fund's day to day investment decisions - an outcome which nobody would want.

"The amendments sought by the Greens would clearly mean crossing the line in terms of political direction and control of the Fund. I am not prepared to do that," Dr Cullen said.

Greens oppose pre-funding - story here

To read Rod Donald's full speech CLICK HERE
Find out Michael Cullen's reaction
here

« Fund's rules present problemsAMP & Good Returns launch superannuation website »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
  • Van Eyk shareholder wants out
    “Feel a bit sorry for the dozen or so advisers that joined/ supported Van Eyk, hardly their fault but unlikely to be a brand...”
    21 hours ago by interested
  • van Eyk suspends fund redemptions
    “This event demonstrates the challenges in remaining an independent research house, when you're also a manager of money (assuming...”
    1 day ago by Pragmatic
  • van Eyk suspends fund redemptions
    “http://www.theaustralian.com.au/business/companies/further-strife-hits-van-eyk/story-fn91v9q3-1227031253622# quote- THE...”
    1 day ago by Hmmm
  • It's always the adviser's fault - not
    “How are we supposed to keep up with continually changing policy terms, conditions, wordings and exclusions? Then a new company...”
    1 day ago by Andy
  • It's always the adviser's fault - not
    “I am sure we have all had it at times a client will ask us to go through their policy document to highlight what they have....”
    1 day ago by Mark Ogden
Subscribe Now

News and information about KiwiSaver

Previous News

MORE NEWS»

Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
AMP Home Loans 7.24 5.99 6.39 6.65
AMP Home Loans $200k+ 7.14 5.89 6.29 6.55
AMP Home Loans LVR <80% - - 5.85 6.29
ANZ 6.74 6.05 6.49 6.65
ANZ LVR > 90 6.74 6.55 6.99 7.15
ANZ Special - - 5.99 -
ASB Bank 6.75 6.09 6.40 6.65
ASB Bank Special - - 5.99 -
BankDirect 6.75 6.09 6.99 6.65
BankDirect Special - - 5.99 -
BNZ - Classic - - 5.99 6.25
Lender Flt 1yr 2yr 3yr
BNZ - GlobalPlus 6.74 5.99 6.39 6.59
BNZ - Mortgage One 7.15 - - -
BNZ - Rapid Repay 6.74 - - -
BNZ - Std, FlyBuys 6.74 5.99 6.39 6.59
BNZ - TotalMoney 6.74 - - -
Credit Union Auckland 6.70 - - -
Credit Union Baywide 6.45 5.90 6.50 -
Credit Union North 6.45 - - -
Credit Union South 5.75 - - -
eMortgage 6.04 6.15 6.69 7.19
Finance Direct 6.10 6.45 6.69 7.10
Lender Flt 1yr 2yr 3yr
First Credit Union 6.45 - - -
General Finance 5.95 6.25 6.50 7.10
HBS Bank 6.15 5.85 5.99 6.25
HBS Special - - - 5.95
Heartland 6.45 6.75 7.00 7.60
Heretaunga Building Society 6.25 5.85 6.50 -
Housing NZ Corp ▲6.74 ▼5.99 ▼6.19 6.60
HSBC Premier 6.84 5.95 ▼5.95 ▲6.55
HSBC Premier LVR > 80% - - - -
HSBC Special - - - -
ICBC 6.75 5.99 6.39 -
Lender Flt 1yr 2yr 3yr
Kiwibank 6.40 5.99 6.39 6.65
Kiwibank - Capped 5.65 6.50 - -
Kiwibank - Offset 6.30 - - -
Kiwibank LVR > 80% - - 5.99 -
Liberty 5.64 - - -
Napier Building Society 5.80 6.00 6.70 -
Nelson Building Society 6.95 6.15 6.60 -
NZ Home Loans 6.85 6.09 6.40 6.65
Perpetual Trust 7.70 - - -
RESIMAC LVR < 80% 6.59 ▲6.35 ▲6.58 ▼6.77
RESIMAC LVR < 85% - - - -
Lender Flt 1yr 2yr 3yr
RESIMAC LVR < 90% - - - -
RESIMAC LW DOC - - - -
SBS Bank 6.15 5.85 5.99 6.25
SBS Bank Special - - - 5.95
Silver Fern 5.95 6.10 6.55 7.05
Sovereign 6.85 6.09 6.40 6.65
Sovereign Special - - 5.99 -
The Co-operative Bank 6.70 6.00 6.00 6.25
TSB Bank 6.74 6.00 6.19 6.60
TSB Special - - 5.80 -
Wairarapa Building Society 6.20 5.75 5.95 -
Lender Flt 1yr 2yr 3yr
Westpac 6.59 6.09 6.39 6.65
Westpac - Capped rates - 6.74 6.99 -
Westpac - Offset 6.59 - - -
Westpac Special - - 5.99 -
Median 6.64 6.03 6.39 6.65

Last updated: 22 August 2014 10:14am

News Quiz

Pathfinder's monthly commentary questions whether world equity markets are in bubble territory given the S&P500 has done what since "the grim days of early 2009"? Their answer is worth reading!

increased 139%

increased 93%

increased 39%

increased 19%

increased 193%

MORE QUIZZES »

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by PHP Developer and eyelovedesign.com