PROVIDENT FUND.

Auckland Star, Volume LXIX, Issue 99, 29 April 1938, Page 8

PROVIDENT FUND.

FUTURE UNCERTAIN

EFFECT OF LEGISLATION

With funds totalling over £50,000 to their credit, the members of the Brett Printing and Publishing Company Provident Association decided at the annual meeting of the association yesterday to ask the Government for an early statement as to their position in connection with the proposed national superannuation fund.

It was reported by the association's trustees that representations had already been made to the special investigation committee, in the interests of members, but so far no information of the Government's proposals relating to provident funds had been received. The association had been advised that it was impossible to state what conclusion the committee would arrive at concerning the present superannuation schemes.

The chairman, Mr. E. Anderson, said the fund had been established for 11 years. The administration expenses were exceptionally low, and the investment position was sound. The return on investments for the year had been 3§ per cent, but the interest on the company's subsidy raised the return on members' contributions to 5J per cent. During the year the trustees had been granted permiseion by members to make investments in the fully paid shares of trading concerns, and the experience of provident associations with a similar investment policy in England had shown that the return over «, period of years was much higher than when investments were limited to gilt-edged securities. A tribute to the work of the trustees was paid by Mr. T. Clarkson, who said the steady increase in the fund during recent years, when investment yields wore abnormally low, was the best indication of the soundness of such a method or saving. The association hed been fortunate in the generous, support given by the proprietors, especially in the early stages of the fund. There was a prospect to-day that membcre would in time receive a considerable additional return through the capital accretion of investments made under the new policy. It would, therefore, be unfortunate if the inauguration of the national superannuation «cheme disturbed the stability of the fund.

Messrs. .T. A. Sherriff and A. Bullock were re-elected trustees, and Mr. T. L. Bieleski wa* elected as a new member of the board of trustees. The association recorded appreciation of the work of Mr. G. Lawson. who had been a trustee for a number of vears.