[h=1]TEMASEK NOT A LONG TERM INVESTOR AS CLAIMED BUT A SPECULATOR[/h]
<!-- /.block --> <style>.node-article .field-name-link-line-above-tags{float: right;}.node-article .field-name-ad-box-in-article {float: left;margin: 15px 15px 10px 0;}.node-article .field-tags{clear: both;}</style> Post date:
15 Sep 2014 - 2:07pm
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Temasek’s transactions need to be scrutinised by Parliament because it is not the long-term investor as claimed.
According to a 2011 Bloomberg article, “Temasek Holdings spends $2.8 billion for shares in China Construction Bank”, Temasek bought the same shares it had sold only 8 weeks earlier. (see chart below)
Buying and selling within 8 weeks is considered long-term investing or punting?
According to the same article, “Temasek said after the sale that it remained “bullish” on CCB”. Temasek’s sale of CCB contradicts its statement because when one is bullish on a stock, one does not sell but buy.
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Temasek said the sale was part of its “portfolio rebalancing”. A “portfolio rebalancing” would have required Temasek to invest in companies unrelated to CCB in non-banking sectors.
Temasek’s statements were therefore nonsensical at best.
Parliament must not continue to allow billions of our reserves to be transacted by Temasek at its whim. Temasek was clearly not investing for the long term in the above CCB transaction and appears to be speculating.
PS. According to the New York Times, “Temasek’s chief, Ho Ching, likes to take risks”.
Phillip Ang
*The writer blogs at http://likedatosocanmeh.wordpress.com/
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15 Sep 2014 - 2:07pm
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Temasek’s transactions need to be scrutinised by Parliament because it is not the long-term investor as claimed.
According to a 2011 Bloomberg article, “Temasek Holdings spends $2.8 billion for shares in China Construction Bank”, Temasek bought the same shares it had sold only 8 weeks earlier. (see chart below)
Buying and selling within 8 weeks is considered long-term investing or punting?
According to the same article, “Temasek said after the sale that it remained “bullish” on CCB”. Temasek’s sale of CCB contradicts its statement because when one is bullish on a stock, one does not sell but buy.
<ins id="aswift_1_expand" style="margin: 0px; padding: 0px; border: currentColor; width: 336px; height: 280px; display: inline-table; visibility: visible; position: relative; background-color: transparent; border-image: none;"><ins id="aswift_1_anchor" style="margin: 0px; padding: 0px; border: currentColor; width: 336px; height: 280px; display: block; visibility: visible; position: relative; background-color: transparent; border-image: none;"><iframe name="aswift_1" width="336" height="280" id="aswift_1" frameBorder="0" marginWidth="0" marginHeight="0" scrolling="no" vspace="0" hspace="0" allowfullscreen="true" style="left: 0px; top: 0px; position: absolute;" allowTransparency="true"></iframe></ins></ins>
Temasek said the sale was part of its “portfolio rebalancing”. A “portfolio rebalancing” would have required Temasek to invest in companies unrelated to CCB in non-banking sectors.
Temasek’s statements were therefore nonsensical at best.
Parliament must not continue to allow billions of our reserves to be transacted by Temasek at its whim. Temasek was clearly not investing for the long term in the above CCB transaction and appears to be speculating.
PS. According to the New York Times, “Temasek’s chief, Ho Ching, likes to take risks”.
Phillip Ang
*The writer blogs at http://likedatosocanmeh.wordpress.com/
