FGV shares would have tanked if not for EPF
YOURSAY ‘I did not invest in Felda shares. Therefore, the Felda chairperson was correct to say that there was no cause for concern.'
MrBlanc: Another BN blunder is to have Felda Global Ventures Holdings (FGV) listed.
No wonder, PM Najib Razak keeps on procrastinating on the date for the next general election, he knows very well that Felda settlers can influence 52 parliamentary constituencies.
He will continue to give them goodies to fish for votes, such as the most recent - prefabricated houses.
Felda settlers, take the ‘bait' as the money belongs to the nation and ultimately it belongs to all the rakyat. There is no need to feel guilty that you have to return the favour with your votes.
Be wise and look at the bigger picture, especially on how the BN government is handling corruption, good governance, education and crime prevention.
Anonymous #59599842: If not for Employees Provident Fund (EPF) intervention, FGV share price would have dropped to below RM4 a long time ago. EPF is buying at high prices with its contributors' money.
CAT lover: It was expected that the FGV share price would collapse. We will see government funds, such as EPF, being mobilised to raise the price for political reasons. Many investors know that such orders come from "the top" and have little to do with economic viability.
We still don't know exactly what happened to the RM6 billion that Felda borrowed from EPF a few years back. Was it fully repaid with interest?
FGV is planning to expand "big" in political hotbeds, and places such as Mindanao in the Philippines and Burma, Liberia, Papua New Guinea, Cambodia and Cameroon have been mentioned.
These plans are all bound to fail to make money for Felda settlers, firstly because there is a lot of replanting to do in Malaysia, secondly most profits will go to the biggest shareholders and thirdly because the proceeds of grabbing land in foreign countries are likely to be captured by local elites.
So in the end, the people who save for their pensions with EPF will suffer, along with the Felda settlers.
Yenna Tamby: Why does FGV have weak earnings? A profitable company will have profits, and the description of "weak earnings" is well said and good use of the language. Actually it could mean virtually no profit.
GXFC: Usually plantations have 10-20 percent young trees, 60-70 percent mature trees and 10-20 percent old trees. FGV has 10-20 percent young trees, 20 percent mature trees and 60-70 percent old trees.
Most private plantations are owned by the management and they make sure every year they must be profitable. FGV is managed by those seconded by the government and profit or loss by the company is none of their concern as their salaries are going to increase every year.
Wira: I wonder for how long they can keep buying the settlers' votes with money from FGV? Until after the general election? That is surely a promise we believe BN will not keep.
Hermit: Settlers, don't spend the last instalment of the RM5,000 received. If the share price keeps on declining, the bank has no choice but to force sale the shares.
I wonder whether the RM5,000 would be enough to top up the decline in share price. Don't worry, another RM500 is on the way.
Longjaafar: But the ones who were given large chunks and immediately cashed out upon listing are smiling in their new Mercedes/BMW/Audis all on their way to their Umno branch meetings.
Blind Freddo: This is yet another of those unattainable promises fed to the settlers. "No cause for concern... things will work out in a few months' time."
Cantabrigian: Father builds, son destroys. Makin botak kepala Najib lepas ni.
Does Isa Samad care about this? Hell no, as FGV chairperson he got the shares for free, so he won't feel the pinch.
He is rich enough to bribe people for political support. Bye-bye, BN, we will do the Dappan to commemorate your death after the 13th general election.
Fair Play: I did not invest in Felda shares. Therefore, the Felda chairperson was correct to say that there was no cause for concern.
Kgen: But the EPF has come to the rescue (with our money).
The above is a selection of comments posted by Malaysiakini subscribers. Only paying subscribers can post comments. Over the past one year, Malaysiakinians have posted over 100,000 comments. Join the Malaysiakini community and help set the news agenda. Subscribe now.