22
WEDNESDAY, MARCH 21, 1990
MR YEUNG SAID HE COULD NOT AGREE THERE HAD BEEN A HIGH WASTAGE OF TEACHERS RECENTLY.
AS A
PERCENTAGE
"THE FIGURES DO NOT SUPPORT THIS CONTENTION. OF THE TOTAL NUMBER OF CONTRIBUTORS, THE FIGURES FOR WITHDRAWALS THE FUNDS HAVE AVERAGED 6 PER CENT ANNUALLY. SIX YEARS AGO THE WAS 6.16 PER CENT, THE PRESENT IS 6.92 PER CENT.
▬▬
FROM FIGURE
CENT
"AS A PERCENTAGE OF CONTRIBUTORS' BENEFITS, THE AMOUNTS
CONSTANT
PER 5.4 WITHDRAWN HAVE ALSO REMAINED FAIRLY
SIX ALARM, YEARS AGO AND 5.7 PER CENT NOW. CLEARLY THERE IS NO CAUSE FOR HE SAID.
+1
VESTED IN LARGELY
WERE MR YEUNG SAID FUND ADMINISTRATION AND CONTROL THE RESPECTIVE STATUTORY BOARDS OF CONTROL WHICH WERE MADE UP OF TEACHERS WHO WERE THEMSELVES CONTRIBUTORS.
AND OFFICIAL REPRESENTATION CONSISTED OF TWO MEMBERS OUT OF 11
CONTROLLED LARGELY 13 RESPECTIVELY. THUS MANAGEMENT OF THE FUNDS WAS BY TEACHERS THEMSELVES.
MR YEUNG SAID AS REGARDS FUNDING, TO MATCH TEACHERS' MONTHLY
DONATED CONTRIBUTIONS OF 5 PER CENT OF SALARY, THE GOVERNMENT
OF CENT, 10 PER CENT OR 15 PER CENT, ACCORDING TO THE LENGTH OF THE TEACHER.
5 PER SERVICE
FOR
1989, AND ANY PURPOSE OTHER
THE FUNDS STOOD AT OVER $7 BILLION AS AT AUGUST 31,
DEPLOYED THE UNDERLYING ASSETS HAD NOT BEEN THAN THOSE PRESCRIBED FOR THE FUNDS BY LAW.
THE
IS MANAGED BY "AS REGARDS INVESTMENT, THIS I UNDERSTAND TREASURER, WHO IS APPOINTED BY THE DIRECTOR OF ACCOUNTING SERVICES. THE MONEY IS INVESTED IN CERTIFICATES OF DEPOSIT, FIXED DEPOSITS, TRIPLE A RATED BONDS AND EQUITIES IN COMPANIES WITH TRUSTEE STATUS.
CLEARLY
"THE RETURN OVER THE LAST 10 YEARS HAS PRODUCED HEALTHY
14 PER CENT AVERAGE ANNUAL DIVIDENDS OF ABOUT
A VERY IMPRESSIVE TRACK RECORD," HE SAID.
TWO
ΤΟ YEARS
— T
CONTROL RESERVE
ΤΟ
"AS REGARDS LIQUIDITY, I UNDERSTAND THAT THE BOARDS OF HAVE TAKEN STEPS OVER THE PAST
INCREASE THE ACCOUNT OF EACH FUND FROM 5 PER CENT TO 7 PER CENT OF THE SUMS DUE CONTRIBUTORS.
THE "THIS HAS HELPED TO STRENGTHEN THE LIQUIDITY OF THE FUNDS.
HAVE ALSO TAKEN BOARDS OF CONTROL
THE STEPS TO RAISE
LEVEL OF A POSSIBLE INCREASE LIQUIDITY SO AS TO ENABLE THE TWO FUNDS TO MEET IN WITHDRAWALS
RECOURSE TO THE 'FORCED' SALE OF
WITHOUT HAVING
INVESTMENTS.
1990, COMPARED WITH ESTIMATED WITHDRAWALS OF 1989-90.
"THIS SHOULD RESULT IN $1.4 BILLION BFING AVAILABLE FOR PAYMENT AT THE END OF THE CURRENT
YEAR, I.E. AUGUST ABOUT $400
FINANCIAL
31,
MILLION
IN
/"THUS THE