REPORT: RI Public Pension Reform - Wall Street’s License to Steal
Friday, October 18, 2013
The report entitled, "Rhode Island Public Pension Reform: Wall Street's License to Steal" secured by GoLocal, charges that the investment strategy led by Rhode Island General Treasurer Gina Raimondo (D), is a "lose-lose: alternative investments both reduce returns and increase risk."
READ THE SLIDES BELOW OF THE MAJOR FINDINGS AND SEE THE FULL REPORT BELOW
Siedle was hired by AFSCME three months ago to review the Employee Retirement System of Rhode Island. The report alleges a number of failures of oversight, illegalities tied to nondisclosure and heightened risk as a result of the policies and investment strategies developed by Raimondo.
Siedle's work was developed by his company Benchmark Financial Services, which has conducted other investigations in other cities and states, and with private pension funds, including the State of Alabama Personnel Board; Fairfield County, Connecticut; Cities of Nashville, Chattanooga and Burlington, Vermont; and Orange County Sheriff’s Office.
Siedle says that one of the most disturbing findings, from a regulatory and public policy perspective, is that the General Treasurer’s practice of withholding information and intentionally providing incomplete disclosures regarding ERSRI’s investments results in: (1) misleading the public as to fundamental investment matters, such as the true costs and risks related to investing in hedge, private equity, and venture capital funds; (2) understating the investment expenses and risks related to ERSRI; and (3) misrepresenting the financial condition of the state of Rhode Island to investors.
READ THE FULL REPORT
RI Public Pension Reform: Wall Street’s License To Steal
Key Finding: The Employee Retirement System of Rhode Island has secretly agreed to permit hedge fund managers to keep the state pension in the dark regarding how its assets are being invested; to grant mystery hedge fund investors a license to steal, or profit at its expense using inside information; and to engage in potentially illegal nondisclosure practices.
So-Called Pension Reform Scheme Permanently Reduces Benefits To Retirees
"Whether retirees receive any COLA will depend upon both ERSRI’s funding level and the Fund’s actual investment returns—both of which are volatile, unpredictable and subject to manipulation by elected officials and others. The manipulation of both of these key goalposts has already begun. "
SEC Should Investigate ERSRI’s Failure to Disclose Skyrocketing Investment Expenses
ERSRI Agrees To Be Kept In The Dark, Grants Mystery Investors Licenses to Steal and Consents To Potential Nondisclosure Illegalities
SEC Should Investigate Questions Surrounding ERSRI’s Point Judith Venture Investment
Rhode Island Ethics Commission Opinion And “Blind Trust” Fail to Address Conflicts Regarding Point Judith Investment
SEC Should Investigate ERSRI Investment Consultant Conflicts, Payments From Money Managers
“Pay To Play” Placement Agent Abuses at ERSRI
- MINDSETTER™ Ted Siedle: News from the State Pension is All Good
- NEW: Siedle Blasts Raimondo for Withholding Hedge Fund Info
- Exclusive: Rolling Stone’s Taibbi Responds to Raimondo Comments
- Matt Taibbi’s Deceptive Hatchet Job on Gina Raimondo
- State Pension System to be Investigated by Siedle
- Ted Siedle: Hedge Fund Industry Loves RI Pension—For Good Reason
- EXCLUSIVE: RI Pension Investment in Raimondo’s Pt. Judith Had Steep Losses
- Experts Score Rhode Island Pension Battle
- Forbes Columnist: RI Will Be Blown Away by Pension Investigation
- Former Teachers Union Head Blasts Raimondo’s Pension Investments
- INVESTIGATION: Despite Reform, Pensions Will Cost RI More in 2013
- In Case You Missed It: Raimondo’s Pension Investments
- LISTEN- Pensions Will Cost RI More in 2013 Despite Reform
- LISTEN- Rhode Island Pension Battle: Who are the Players?
- LISTEN- State Pension Fund Pays $570,000 to Raimondo’s Former Firm
- LIVE STREAM- RI ACLU Press Conference- Youth Suspension Implications
- Lisa Blais: RI’s Budget—State Pension, Tolls + The Big Win
- NEW: SEC Closes Rhode Island Pension Investigation
- Providence Pension Projection Data Raising Questions
- Providence Pension Return Projection Flawed
- RI Pension Fund Lost out on $700M in Potential Revenue
- Rhode Island Pension Battle: Who are the Players?
- State Pension Fund Pays $570,000 to Raimondo’s Former Firm
Enjoy this post? Share it with others.
Commenting is not available in this channel entry.