Fin24

Pension fund shrugs off Sanral concerns

2012-05-03 09:36

Johannesburg - The Government Employees Pension Fund, which holds 50% of the Sanral's issued debt, is not unduly concerned about the agency's potential debt servicing difficulties, Business Day reported on Thursday.

On April 28 the SA National Roads Agency Limited's plans to introduce e-tolling were halted by a last-minute court ruling.

According to the fund's acting principal officer John Oliphant, although the fund holds R15bn in Sanral bonds, this represents only 1.5% of its total assets.

Oliphant, with other senior executives, was briefing parliament's portfolio committee on finance on Monday.

The bond market had hardly responded to the e-toll ruling, the daily reported.

Leon Myburgh, Citi's sub-Saharan Africa strategist, told Business Day: "I don't think the market is paying too much attention.

"Because there is a government guarantee, I think the market looks at it and says, 'If Sanral doesn't pay up, government will'."

 

Comments
  • ianon.ym - 2012-05-03 09:43

    Not Concerned - WHAT? Oh I see, there is a Government Guarantee - it's called the Tax Payer. WOW SA be afraid, very afraid ...

      Alan - 2012-05-03 10:10

      Yep, us taxpayers will ultimately pay. It's just wonderful to have other people's money to play with, hey ANC? And who loses out? The poor, who will get even less service delivery than before from the ANC, due to depleted funds. And I suppose that they will actually vote for the ANC again? Ignorance knows no bounds.

      Andre - 2012-05-03 10:28

      Only 5 mil whites will pay the taxes, the poor will pay nothing.Keep the etoll so that everybody can pay , taxis included.

      Hugh - 2012-05-03 10:30

      5 mil people.....

      Martin - 2012-05-03 11:04

      fuel price increase, then everyone pays, from the overloaded toyota bakkie going to limpopo, to the taxis, trucks, government, industry every single person who owns an engine pays, keeps it down, nowhere near the capped 500 bucks a month

  • Msika - 2012-05-03 09:48

    Not government, but US taxpayers will pay for this.

  • Herman - 2012-05-03 09:49

    Oh yeah, government will pay??? I am as GATVOL as the next guy of this utter BS and thievery of the anc. African or rather South African Spring is not a too distant future, watch out anc

  • CharlesDumbwin - 2012-05-03 09:52

    Since when did the ANC think it was a good idea/good business practice, to gamble with South Africans' pensions??? What responsible government would do that in light of the global financial recession that the world is still reeling from ??? This ANC regime needs some financial management courses for their staff.

      Sam - 2012-05-03 10:20

      Wasn't the ANC or the government, sunshine. It was the trustees of the pension fund. And if you want to look at investment of funds as 'gambling', perhaps you'd like to come up with an alternative?

      alansmartSnr - 2012-05-03 19:35

      @ Sam.. any enterprise, whether a tuckshop or a large corporate is a "gamble" / risk which odds can be diminished by a scientific Risk Assesment exercise.. and you seem intelligent enough to understand that. That begs the question of whether this was done before the investment was effected. So..you're wrong when you don't consider a business venture / investment as not being a gamble of sorts.

      Sam - 2012-05-03 21:56

      Not sure what your point is, alansmartSnr. I didn't say investment isn't gambling... I was responding to CharlesDumbwin who seems to have a problem with the 'gambling' aspect of pension fund investment moneys. I was interested in what alternative he may have in mind, that wouldn't involve 'gambling'. I perfectly understand the principles and risks inherent in investing of funds in a business, thanks.

  • nicosmit - 2012-05-03 09:52

    wish I had a guarantee on my pension!!!

  • John - 2012-05-03 10:06

    so etoll might get stopped but we are still gonna pay for it ????

  • Dominic - 2012-05-03 10:22

    You know....sometimes I don't know what's worse about the ANC, the corruption or the fact that there must be some high-calibre people in there that choose to put their head in the sand. The DA and the rest of the parties need to keep chipping away at that ANC majority.

  • Piet - 2012-05-03 10:27

    Not government, the TAX PAYER,,again THE TAX PAYER WILL PAY!

  • Richard - 2012-05-03 10:30

    And when the Government has to honor the guarantee I assume that will introduce a new petrol levy called the "honor guarantee levy"

  • hheiriss - 2012-05-03 10:39

    In other words, it doesn't matter what way we look at it, taxpayers are going to end up paying...

  • Mike Purchase - 2012-05-03 12:45

    I am withdrawing cashing my pension in as a worked will invest it elsewhere.

  • Loo - 2012-05-03 14:29

    ONLY HOLDS 1.5% !!!! totaling R 15 Billion ... MR "Thick skinned animal with trunk" regardless of percentages .. its a huge amount of money to piss away in terms of US .. the taxpayers that has to REPLACE THE "MEASLY" R 15 Billion.

  • Wally - 2012-05-04 19:19

    Just one problem here...we are being taken for another ride and again another reason for the media to be silenced by the so-called Govt who seemingly is concerned with the ppl of this country. It was officially reported that the loans to SANRAL by the GEPF were actually NOT guaranteed! Will we ever get the truth from immoral leaders with no conscience and only covering up their mistakes and those of their comrades? TRANSNET pensioners are a case in point. They are earning pathetic pensions, receive very little increases, no bonusses - @ least to take note of - and their med aid has been dilluted into obscurity! Do they care about the Civil Servants? Think again. May God bless us with leaders of integrity; leaders who are responsible; leaders with conscience and moral and social integrity and value. Why would the pres be concerned? He is not only certain of a salary for life, but also secured the legislation that ensures that each one of his wives in his harem receives the full compliment of allowances and privileges afforded the first lady and those of the ex-first ladies. What a blatant disgrace. Poverty alievement...to whom?

      John - 2012-05-06 17:30

      2250 billion in assets and they treat the pensioners like that???????

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