Difficult Month For Pensions
June 9
Difficult Month For Pension
Returns
May proved to be a difficult month
for Global Equities and hence impacted on pension fund
reuturns for the month. Markets were faced with a number of
negative issues most prominent being renewed concerns around
Euro-zone debt issues. A proposed mining tax for Australian mining
companies hit the basic materials sector and the Bank of Spain
announcement that is was taking over the savings bank CajaSur due
to property related lending losses raised concerns about the state
of other savings banks in Spain. The Euro fell 7.4% versus the US
dollar, with the Euro 750 billion bail-out package announced by the
eurozone countries unable to stem the losses in the currency.