There's no free lunch woh! But they forgot to add that for the Peasants, not only dun they have free lunch, they still need to serve ant ass virtually for free. While the Familee would pay for the lunch of FTrash and for themselves using the Peasants' blood and coffin money! *Ptui*
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0><TBODY><TR>Say goodbye to investment 'free lunches'
</TR><!-- headline one : end --><TR>Investors wanting higher yields now have to bear greater risk: MAS official </TR><!-- Author --><TR><TD class="padlrt8 georgia11 darkgrey bold" colSpan=2>By Alvin Foo, Markets Correspondent
</TD></TR><!-- show image if available --><TR vAlign=bottom><TD width=330>
</TD><TD width=10>
</TD><TD vAlign=bottom>
The MAS will continue to safeguard Singapore's reputation as a premier fund management centre, says Mr Ong.
</TD></TR></TBODY></TABLE>
<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->THE days of investment 'free lunches' and high returns for little risk are over, according to the deputy managing director of the Monetary Authority of Singapore (MAS).
Speaking at the Investment Management Association of Singapore Conference yesterday, Mr Ong Chong Tee said that in the run-up to the financial tsunami, there were plenty of such investments.
These included money market funds with the same level of risk as bank deposits, but which offered higher levels of return.
He said: 'These free lunches are now a thing of the past - at least, I hope for a long while to come. A crucial lesson learnt by investors is that at the end of it all, there is no such thing as a free lunch.'
Mr Ong told the conference that investors wanting higher yields now had to shoulder a greater level of 'market, credit or liquidity risks'.
As for fund managers, they needed to generate real value-add via superior investment returns.
'This means a back-to-basics focus on creating value via good investment talent and a robust investment process,' he added.
The credit crisis had badly shaken investor confidence, he noted, as had the recent scandals involving Bernard Madoff and Allen Stanford.
Such cases showed what happened when asset managers did not adhere to principles of fairness, transparency and ethical conduct.
'The idea of allowing a fund manager to act as his own fund administrator and broker is absolutely ludicrous,' Mr Ong said.
He predicted that the financial services industry would put more emphasis on the safe handling of customers' money and assets, and the independence of fund administration and custodian functions would be stressed.
A key lesson gleaned from the crisis, he said, was that it was not just the size of a financial institution that mattered, but also how connected it was to others in the global system.
'We now know, for example, that Lehman Brothers' failure led to a run on US money market mutual funds, which in turn were the largest suppliers of US-dollar funding to non-US banks,' Mr Ong said.
'The banking problems, credit market problems, US-dollar funding issues and other financial stability concerns have taken on global dimensions.'
He admitted that getting the right level of supervision for the financial sector was going to be a challenge. But the MAS' stance was to fine-tune the level and intensity of supervision to 'foster sustained recovery in the short to medium term, and growth over the long term'.
Mr Ong said the MAS would continue to support the financial industry's development and safeguard Singapore's reputation as a premier fund management centre.
It will also boost the business environment for fund managers and encourage talent development by improving training incentives. [email protected]
<TABLE cellSpacing=0 cellPadding=0 width="100%" border=0><TBODY><TR>Say goodbye to investment 'free lunches'
</TR><!-- headline one : end --><TR>Investors wanting higher yields now have to bear greater risk: MAS official </TR><!-- Author --><TR><TD class="padlrt8 georgia11 darkgrey bold" colSpan=2>By Alvin Foo, Markets Correspondent
</TD></TR><!-- show image if available --><TR vAlign=bottom><TD width=330>
</TD><TD width=10>
The MAS will continue to safeguard Singapore's reputation as a premier fund management centre, says Mr Ong.
</TD></TR></TBODY></TABLE>
<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->THE days of investment 'free lunches' and high returns for little risk are over, according to the deputy managing director of the Monetary Authority of Singapore (MAS).
Speaking at the Investment Management Association of Singapore Conference yesterday, Mr Ong Chong Tee said that in the run-up to the financial tsunami, there were plenty of such investments.
These included money market funds with the same level of risk as bank deposits, but which offered higher levels of return.
He said: 'These free lunches are now a thing of the past - at least, I hope for a long while to come. A crucial lesson learnt by investors is that at the end of it all, there is no such thing as a free lunch.'
Mr Ong told the conference that investors wanting higher yields now had to shoulder a greater level of 'market, credit or liquidity risks'.
As for fund managers, they needed to generate real value-add via superior investment returns.
'This means a back-to-basics focus on creating value via good investment talent and a robust investment process,' he added.
The credit crisis had badly shaken investor confidence, he noted, as had the recent scandals involving Bernard Madoff and Allen Stanford.
Such cases showed what happened when asset managers did not adhere to principles of fairness, transparency and ethical conduct.
'The idea of allowing a fund manager to act as his own fund administrator and broker is absolutely ludicrous,' Mr Ong said.
He predicted that the financial services industry would put more emphasis on the safe handling of customers' money and assets, and the independence of fund administration and custodian functions would be stressed.
A key lesson gleaned from the crisis, he said, was that it was not just the size of a financial institution that mattered, but also how connected it was to others in the global system.
'We now know, for example, that Lehman Brothers' failure led to a run on US money market mutual funds, which in turn were the largest suppliers of US-dollar funding to non-US banks,' Mr Ong said.
'The banking problems, credit market problems, US-dollar funding issues and other financial stability concerns have taken on global dimensions.'
He admitted that getting the right level of supervision for the financial sector was going to be a challenge. But the MAS' stance was to fine-tune the level and intensity of supervision to 'foster sustained recovery in the short to medium term, and growth over the long term'.
Mr Ong said the MAS would continue to support the financial industry's development and safeguard Singapore's reputation as a premier fund management centre.
It will also boost the business environment for fund managers and encourage talent development by improving training incentives. [email protected]
