I refer to Chris Kuan’s “Singapore’s “funneling of CPF funds” no different from any first world country”.
A flaw in his assertion needs to be corrected.
When Chris says the government earns the “risk premium” which he defines as “the reward for taking risk” on behalf of CPF members, he has assumed the government to be a different entity. But the fact is the government is elected by the people, “for” the people. To be able to earn anything from us would mean it has to act ‘against’ our interests in the first place. Did it?
What happens if the government incurs investment losses? It could raise taxes, further delay CPF payouts, reduce social spending, etc. Whatever actions taken by the government, CPF members are screwed. Where is the logic?
The government is not a separate entity and therefore there’s no such a thing as taking risks on our behalf while rewarding itself the “risk premium” come rain or shine. The risk has always fallen on CPF members and we rightly deserve “the reward for taking risk”. Redistribution of confiscated CPF returns is no justification for the immoral act.