It seems that Singaporeans (at least from the look of 'mainstream' media) are quite cool about losing (buckets load of) money in bad investments. Temasek has lost US$4.6 billion on a US$5.9 billion investment in their Merrill Lynch-turn-Bank of America stakes. Given the fact that Temasek professes itself as a long term investor (10, 15, 20 years), it is puzzling why they should choose to realise their loss at this moment. Ironically, BoA share price has risen to US$11.81 since last night.
The Straits Times wrote a mildly worded piece on the episode to act as damage control, but I shudder to think what the citizens of other countries will be saying if this has happened in their countries.
Kudos to Singapore government for pre-empting any salvo being fired though, by graciously orchestrating a stepping down for Ho Ching. Let's hope the new CEO Chip Goodyear can live up to his name, literally, by providing a very "good year" to the people's investments.
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