Govt super fund return up 11.6%
The Government Superannuation Fund has returned an after tax surplus of $335M for the year ended 30 June 2011, an 11.6% return.
The Government Superannuation Fund has returned an after tax surplus of $335M for the year ended 30 June 2011, an 11.6% return.
This was up from $285M in 2010.
The annual reports of the Government Superannuation Fund and the Government Superannuation Fund Authority, tabled in Parliament this afternoon, show returns from the fund were ahead of target for the period.
However, Government Superannuation Fund Authority Board chairman, Keith Taylor, said they remained behind the authority's 10-year rolling measure, due to the global financial crisis and the earlier decline in global equity markets between 2000 and 2003.
Mr Taylor cautioned that the outlook was more uncertain than usual for 2012.
“Since the start of the new financial year, there have been declines in global equity prices and the value of the New Zealand dollar.
“These falls are a reaction to weakening growth in the US and Europe, coupled with a loss of confidence in policymakers’ capacity to fix the debt crisis overhanging the developed economies, he said.
“We believe the investment risks are higher than usual and it’s unlikely they will reduce significantly until the debt problem is addressed credibly,” he said.
Colin Williscroft
Tue, 04 Oct 2011
Tue, 04 Oct 2011
© All content copyright NBR. Do not reproduce in any form without permission, even if you have a paid subscription.
Govt super fund return up 11.6%
17205