Invest in review of Crown corporations

The investment performance of our Crown corporations needs to be reviewed every year by an independent group of experts.

Once again a major Crown corporation reports a significant loss and blame sits poor investment performance.

WorkSafeBC reported a drop of over $500 million in 2011’s investment income. The chairman, George Morfitt, said that their investments fluctuate by up to$300 million per year “because of the valuation of our investments” and that WorkSafeBC has about $12 billion in assets.

These statements do not make any sense unless this public body is speculating in a big way (a 25-per-cent fluctuation in value). Although Mr. Morfitt said that they have only a one-per-cent exposure to Europe, the European financial crisis has still affected stocks worldwide. This would have no bearing on investment income if these massive public funds had been invested in first-rate companies (large cap, market dominators) that consistently pay out real cash every year in the form of dividends.

Just what types of investments have been made to produce these huge losses? If my financial advisors had produced this type of performance, I would be changing them very quickly.

There appears to be an urgent need to have the investment performance of our Crown corporations reviewed every year by an independent group of experts (and the details made public) to see if we are getting good value.

As Mr. Morfitt was previously a B.C. auditor general, who “oversaw accountability initiatives in the public sector,” I am sure he would welcome this greater level of transparency.


Herb Spencer


Just Posted

White Rock Renegades ‘04 named national champs

Girls went undefeated at national tournament in Calgary

South Surrey woman promotes exercise to help fight Parkinson’s disease

‘This keeps me strong’ says Liz Holroyd Campbell, organizer of the 2019 Parkinson Superwalk

PHOTOS: Supercars parade to White Rock

More than a dozen cars were on display for the Drive Project

QUIZ: How much do you remember about Woodstock?

Weekend music festival in Bethel, New York, was held 50 years ago

Advocates ‘internationalize’ the fight to free Raif Badawi from Saudi prison

Raif Badawi was arrested on June 17, 2012, and was later sentenced to 1,000 lashes and 10 years in jail for his online criticism of Saudi clerics

Canadian entrepreneurs turning beer byproduct into bread, cookies and profits

Some breweries turn to entrepreneurs looking to turn spent grain into treats for people and their pets

Canada ‘disappointed’ terror suspect’s British citizenship revoked

Jack Letts, who was dubbed “Jihadi Jack” by the U.K. media, has been detained in a Kurdish prison for about two years

Chrystia Freeland condemns violence in Hong Kong, backs right to peaceful assembly

There have been months of protests in the semi-autonomous region

B.C. VIEWS: Log exports and my other errors so far in 2019

Plastic bags, legislature overspending turn out differently

Most Read