Politics Should Australia set up a sovereign wealth fund?

[Killer eagle]

As of the 31th od dec 2011 it was valued at 573 Billion US. It's projected to be double by 2019.

60% is invested on the Stockmarket. It holds 1% of the worlds Equity Markets. 1.73% of the Euro Markets. 50% exposure to Europ, 15% asia, 35% Americas and Africa ..... Id say it doing pretty well.

Each man women and child has 1,000,000 US sitting in the fund for the furture of ALL Norwegians.... Sounds terrible.

What do we get from our natural resources??? Mr Forest, Gina, and a constent flow of cash to overseas investors.And blinded greedy twits who sit all day on the computer hoping to get some crumbs at the expense of Australia long term future.

What year are we in the mining boom now??? 15 years????20 years????...30 years??? What have we got to show for it???? Over priced Housing sector.... people living beyond their means.... and a country the is 100% reliant on the income generated from China.... We live and breathe because of China. If China slows we slow and the snow ball effect will be enormous... the housing prices will fall, the unemployment rate will sky rocket.

Norway is now able to invest in other industries and spread the risk from the eventual loss of Oil revenue. Apparently this is stupid???? Are you people serious.
Do we hope that the ethical minds of Gina and Mr forest will help us through the bad times??? yer right.

I support the minning tax..... but I would rather the revenue put in a SWF.

Quality post!!

 

[Scotland]

Wouldn't be a sovereign wealth fund thread without nut crapping on and on and on about Norway...

 

[The_Reaper]

What do we get from our natural resources??? Mr Forest, Gina, and a constent flow of cash to overseas investors.And blinded greedy twits who sit all day on the computer hoping to get some crumbs at the expense of Australia long term future.


I support the minning tax..... but I would rather the revenue put in a SWF.

What do you mean by yours?

WA is going to get a SWF for our resources and I guess QLD can do something similar and possibly SA.

 

[nut]

Wouldn't be a sovereign wealth fund thread without nut crapping on and on and on about Norway...

Well I didn't bring it up..lol. And we are talking about a SWF so I guess a resource rich country like ours could model it's SWF on Norways.... what I find funny is that Norway has excluded Rio Tinto from it's portfolio due to un ethical practises...

 

[nut]

What do you mean by yours?

WA is going to get a SWF for our resources and I guess QLD can do something similar and possibly SA.

I lived on Perth for six months.... So happy I dont now with the attitude of twits like you.

So you agree with a SWF as long as you dont have to share it???lol.... pure gold.

 

[Monniehawk]

I heard keating speak on lateline last summer...he wanted that huge superfund (2nd biggest saving pool in the world apparantly) to fund afforable morgages for Australians...

LOL.
The 'affordable mortgages' ultimately helps increase the market price (land supply being another) by inflating demand and puts the cost even further out of range of its supposed target demographic. The $15k subsidy proved that beyond doubt. We now have the most expensive housing on the planet.
The big winners are property developers and investors who prey on such situations.
The first home buyer is to often the big loser.

(From the "8th Demographia Housing Affordability Survey. 2012)

As housing affordability has deteriorated, there has been a tendency on the part of housing industry and financial market analysts to "cheer on" abnormally high house price increases as if housing were a commodity market, like gold.

.... it is fair to say that a growing number of people who have looked at the figures have tended to agree that a good many well-meaning policies involving housing may be pushing up prices to such an extent that the negative side-effects are more harmful than the problems the policies were intended to correct.

These observers have also noted that measures that restrict land supply, slow growth in the immediate area where the policies are in place and push up housing prices can be very attractive to individuals who already own their own homes.

 

[Hill2Pav]

Terrible idea must not do.

 

[medusala]

Well I didn't bring it up..lol. And we are talking about a SWF so I guess a resource rich country like ours could model it's SWF on Norways.... what I find funny is that Norway has excluded Rio Tinto from it's portfolio due to un ethical practises...

Why would you do that?

It is madness to have a SWF whilst maintaining such high tax rates.

The return on cutting taxes is far greater than that of a SWF.

Utter madness (and thats before you consider what the Norwegian fund is actually invested in)

 

[Marcel Proust]

Another Fannie Mae. What a brilliant idea.

As for the Norwegian SWF I am sure its massive EURO exposure will all work out wonderfully well.

Trillions of dollars..

 

[blackcat]

Trillions of dollars..

This <narrative-talking-point> is contiguous to Rudd's pet-project of AustraliaSydOxfordStreet being the Blackrock for the Asian(see:Sino) monies... my intuition is akin to Singapore/&Hongkers, Asiantigers build their own uni's/&colleges (see:Hongkers/Singapore/+Beijing) and the finance centres of Singapore and Hongkers... So my intuition which may indeed be incorrect, building finance 'wish' and centre is akin to the KevinCostner baseball film Field of Dreams (steveVizardwesterndistrict×JohnEmburyVicMarks) and quote 'build it and they will come' was it a McKinsey conceit^² about our <time-zones> fuxsake

medusala picking winners BlackrockFidelityVanguardStatestreet+Berkshire*