Democrats disappointed at Cullen’s lack of faith

The NZ Democratic Party’s Advocate for Seniors, Heather Marion Smith, today expressed disappointment at Dr Cullen’s apparent lack of faith in New Zealand investment options.

“The decision to invest 78% of the Cullen Super Fund in the paper assets of overseas companies and utilities instead of in our own country’s essential infrastructure is deeply disappointing,” said Ms Smith.

Ms Smith noted the high number of projects needing funding. “From road transport issues in Auckland to water treatment plants in Hamilton, there are many significant public works that need financial support.”

“But it appears instead that the off-shore investment strategy is nothing more than a clumsy exercise in attracting $US to pay for oil.”

“The Super Fund is based on the false assumption that savings in virtual wealth are an adequate proxy for savings in real wealth – the development of our social infrastructures can and should yield long-term benefits to us all,” Ms Smith stated. “An opportunity to salvage some ethical and economic good from the fund has been lost.”

The Democratic Party has expressed concern about the Super Fund since its inception.

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