Accordingly, a bill is now in the House of Representatives, filed by no less than the Speaker of the House and the presidential son. The bill aims to establish the said fund, which will put the Chief Executive himself as chair.
I am not against the creation of the investment fund, but I strongly disagree with the use of whatever funds coming from the GSIS to jump-start its creation.
As a GSIS pensioner, I agree with Ms. Cabaero that the pension fund “already has ways to make the fund grow” and make it sustainable to pay its members’ pension until a certain future time without exposing it to unnecessary risk.
The GSIS and SSS have their own investment portfolio that promises better returns, which they use in determining their actuarial life, meaning the period of time within which they are able to fulfill their obligations to their members.
As things are going, the GSIS doesn’t need any further intervention to make its fund grow and maintain sustainability, much less from politicians (no offense meant) who must have their hands full from managing the government’s affairs, including the myriad socio-economic problems and humongous record-setting debts.
The state pension fund will be in good hands if it is left in the hands of full-time economic or fund managers. It is too dangerous for it to be allowed to be experimented on in some untested ways and schemes or left to wander in an uncharted course. Not in these times when the world economy is in a downward spin.