SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Who knew?

Wednesday, Oct 17, 2012

* Last night, Gov. Mitt Romney said this in response to President Barack Obama’s claim that Romney had invested in some Chinese companies

“Any investments I have over the last eight years have been managed by a blind trust. And I understand they do include investments outside the United States, including in — in Chinese companies,” Romney said.

Romney then asked: “Mr. President, have you looked at your pension?”

Obama responded: “I don’t look at my pension. It’s not as big as yours so it doesn’t take as long.”

Romney then charged that Obama holds investments in companies based in foreign countries

“Look at your pension,” Romney said. “You also have investments in Chinese companies. You also have investments outside the United States. You also have investments through a Cayman’s trust.”

* From Fox News

Asked to substantiate the nominee’s claim, the Romney campaign pointed primarily to the president’s Illinois pension fund.

According to Obama’s latest financial disclosure form, the assets in that account are between $50,000 and $100,000. And the 2011 report from the Illinois State Board of Investment listed dozens of Chinese companies from China Mobile to China Oilfield Services.

It’s unclear how many of those Chinese firms are in Obama’s specific portfolio. The board estimates that across all its funds, 19 percent of the assets are in foreign securities.

What Fox doesn’t mention is that the “president’s Illinois pension fund” is via the Illinois General Assembly Retirement System. From the Washington Post

To our mind, there’s a qualitative difference between a pension-plan investment portfolio and earning returns from contemporary stock investments.

The Romney campaign explains that his point was that international investments are a crucial part of investing today — and that just as Obama has no control over the investments made by his pension fund, Romney has no control over investments made by funds that are part of his blind trust. The Romney campaign says that 19 percent of the Illinois pension fund’s investments are in foreign companies, including dozens of Chinese companies.

“Obama has a pension, managed by the IL Pension fund. He has no control over how they invest it, and they invest some of it in Chinese companies,” a Romney spokesman said. “Romney has a blind trust. He has no control over how the trustee invests it, and the trustee invests some of it in funds that invest in Chinese companies.”

So, will Democratic and Republican legislative challenges now start beating up incumbents for investing in China and having money in a “Cayman’s trust”? Stay tuned, campers.

That’s snark, of course.

Then again, the state House Democrats have been sending mailers blasting just about every Republican candidate for wanting to decimate Medicare and Social Security. At least the Chinese/Cayman claim is somewhat based in reality.

- Posted by Rich Miller        


26 Comments
  1. - Michelle Flaherty - Wednesday, Oct 17, 12 @ 3:51 pm:

    How about a law that prohibits any investment in China. That should put the nail in the coffin of the pension systems


  2. - MrJM - Wednesday, Oct 17, 12 @ 3:56 pm:

    “My opponent enjoys chicken lo mein so… you know…”

    – MrJM


  3. - OneMan - Wednesday, Oct 17, 12 @ 3:57 pm:

    If you own a mutual fund, invest in a 401K etc. odds are you are invested in China.

    Pure and simple..


  4. - J - Wednesday, Oct 17, 12 @ 3:59 pm:

    $20 says we see at least 1 pension fund investment related mail piece some time before election day.


  5. - Anon - Wednesday, Oct 17, 12 @ 4:09 pm:

    Senator Obama was one of the 4 elected members of the General Assembly Retirement System charged with making investment decisions.


  6. - Rich Miller - Wednesday, Oct 17, 12 @ 4:17 pm:

    Anon, he split in 2005.


  7. - Disconnect - Wednesday, Oct 17, 12 @ 4:39 pm:

    pretty funny to see Dems on this issue, like Bustos. Everyone with investments gets it pounded into them about diversification, including overseas. Hopefully this silly issue gets taken off the table in the future.


  8. - 47th Ward - Wednesday, Oct 17, 12 @ 4:39 pm:

    ===“You also have investments in Chinese companies. You also have investments outside the United States. You also have investments through a Cayman’s trust.”===

    Yep, these are exactly the same.

    You’d think a businessman with a Harvard MBA would understand that a $100,000 in a pension plan is different than $100,000,000 in a blind trust.

    I guess he missed that day in class or something.


  9. - John Galt - Wednesday, Oct 17, 12 @ 4:50 pm:

    Yep. It’s a silly argument. Pretty much anybody getting a pension–including people getting Social Security–have “investments in foreign countries”–likely China too.

    If anything, that’s a symptom of a bigger problem, not a problem in and of itself. Prudent investments means diversification of funds and investing in strong assets. If China is where it’s at for investment purposes, then so be it.

    The root problem is: “why is China the place to invest?” Investment decisions are lagging indicators of public policy. It’s true for when companies choose not to invest in Illinois, and it’s also true for why companies choose not to invest in the US & invest in China instead.

    So it really is a silly issue generally. But if it were to be considered seriously we ought to look at the root cause, not just the symptomatic effects.


  10. - Excessively Rabid - Wednesday, Oct 17, 12 @ 5:26 pm:

    Things that should go: legislative pension system. Social Security and a deferred comp match, that’s all, and the individual chooses the funds. Problem solved. You’re welcome.


  11. - Anonymous - Wednesday, Oct 17, 12 @ 5:42 pm:

    False equivilency.

    Most of Romney’s considerable wealth was made via off-shore accounts and companies entirely controlled by him, and by other investments directly made by him in companies he leveraged by selling assets and moving jobs to China — all BEFORE he set up the current blind trust.

    Of course that’s too complicated for some voters to understand.


  12. - Arthur Andersen - Wednesday, Oct 17, 12 @ 5:50 pm:

    Fox’s reporting is a bit off point.

    See 40 ILCS 5/2.153.

    GA members, or any participants in any State pension system, do NOT own shares of stock. They have an “undivided interest” in the assets of the fund.

    It’s in the eye of the beholder, I suppose, but that statute could be read to either support or refute Romney’s point.


  13. - western illinois - Wednesday, Oct 17, 12 @ 5:52 pm:

    Anon is right of course but there is a very good chance Obama is Bain ionvestory That is where the so called private equity firms get the equity


  14. - OneMan - Wednesday, Oct 17, 12 @ 6:05 pm:

    Most of Romney’s considerable wealth was made via off-shore accounts

    Ummm, you don’t make money in off-shore accounts, there is no secret bank for rich people on some island someplace paying 10% a year interest (a classic ponzi scheme btw to claim that).

    So anonymous, just for reference if someone comes and tells you they can make you money just like Mitt did by putting money in off-shore accounts, it is likely a scam.


  15. - Arthur Andersen - Wednesday, Oct 17, 12 @ 6:10 pm:

    Western, you have got to be kidding.

    Obama an investor in Bain Capital funds?

    Don’t you think we might have heard about that by now?

    Geez.


  16. - Leave a Light on George - Wednesday, Oct 17, 12 @ 6:25 pm:

    “Things that should go: legislative pension system. Social Security and a deferred comp match, that’s all, and the individual chooses the funds. Problem solved. You’re welcome.”
    ???
    I was in deferred comp for a lot of years. All the $ that went into it was mine. State didn’t match anything. I had to make the investment choices from among the available funds.


  17. - mushroom in the dark - Wednesday, Oct 17, 12 @ 7:02 pm:

    CAT in China

    http://china.cat.com/cda/layout?m=63735&x=7

    So if you own CAT stock…..

    QED


  18. - steve schnorf - Wednesday, Oct 17, 12 @ 7:21 pm:

    I don’t think the legislators on the GARS board make investment decisions, I think the State Board of Investments does, but I could be wrong


  19. - Arthur Andersen - Wednesday, Oct 17, 12 @ 7:41 pm:

    Steve, you are correct.


  20. - railrat - Wednesday, Oct 17, 12 @ 8:58 pm:

    dont pension funds have fiduciary responsability to its participants? vs. an agressive approach to making income/profit regardless of effect?


  21. - western illinois - Wednesday, Oct 17, 12 @ 9:26 pm:

    AA I was being snarky ….Pension funds provide most of the equity that Bain gets. I think Oregon was a big Bain investor. If Illinois were a Bain investor then Obama would be by the same logic that he is a China investor. Mitt Romney and all these PE guys get rich because they cant lose. They make their money by fees at every stage and get the debt and equity from others
    The State Pension funds are one of their biggest sources.


  22. - Excessively Rabid - Wednesday, Oct 17, 12 @ 9:42 pm:

    LALOG - Deferred comp plans commonly include some sort of match. Since I’m talking about an imaginary system that will probably never exist, I get to set the rules, OK?


  23. - mythoughtis - Wednesday, Oct 17, 12 @ 9:48 pm:

    Where would you suggest that the money is invested instead? It is not financially prudent to invest ALL of a portfolio in the USA.


  24. - Arthur Andersen - Wednesday, Oct 17, 12 @ 10:23 pm:

    Western, that would be hard to discern from your original post.
    Not that you are apparently overly concerned with facts.
    I am no apologist for Romney or Bain Capital, but I do like the correct information.
    Public pensions account for around 10% of the invested capital in Bain, far from a majority. FWIW, Oregon has never invested a dime with them. You may be thinking of another big PE firm that starts with “B.” Foundations and Endowments invested a larger slice, including a number of university endowments and AA’s personal favorite, The Oprah Winfrey Foundation.

    L


  25. - Arthur Andersen - Wednesday, Oct 17, 12 @ 10:27 pm:

    Oops.
    The sole Illinois public pension investment in a Bain fund was by the Illinois Municipal Retirement Fund through a “fund of funds” investment vehicle and totalled around $2 million.


  26. - Sideliner - Thursday, Oct 18, 12 @ 9:10 am:

    IL should be so lucky as to have Bain as a major component of the state pension systems investments.

    I don’t see where the IL GA on either side of the aisle can lay claim to any superior fiscal chops, but maybe IL has come roaring back and everyone missed it.


Sorry, comments for this post are now closed.


* "We need a little budget"
* Rauner: Legislative pay lawsuit a "stunning reminder of why we need term limits and real change"
* Todays graphic
* CPS board approves budget with $215 million hole, Republicans edgy about vote
* Question of the day - Golden Horseshoe Awards
* Our sorry state
* Could a legendary bipartisan pay for his Trump support?
* Where's your plan?
* Stop the presses!
* Paper: Forget the constitution
* Myerscough rules that Schock case will remain in Springfield
* Surprise! Moody's says Exelon bailout is "credit positive"
* Kennedy: "I'm in"
* ILGOP operative defends tracker involvement
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* *** UPDATED x2 - Cullerton responds *** Rauner won't schedule leaders meeting until Dems "are ready"
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............
<


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

  
* Microsoft Releases Office Diagramming App 'Visio Viewer' for iPad
* Gmail for iOS Updated With New Browser Preference, Multiple Message and Compose Options
* 2,000 Amazon Go stores? “Not even close. We are still learning.”
* You can schedule repairs at Apple-approved third parties direct from Apple support
* Conversational Actions for Google Assistant are now live for third-party services
* US Galaxy Note 7 won’t charge starting December 15
* RIP Pebble and Apple’s business post iPhone | #PNWeekly 230

* A tale of two Sox at Winter Meetings
* Other clubs' closer search may lead to Robertson
* White Sox add righty Covey in Rule 5 Draft
* White Sox steal show at Winter Meetings
* Hahn: Sox 'very pleased' with Meetings action
* In span of day, White Sox system skyrockets
* Justice: What should White Sox do next?

...............


Main Menu
Home
Illinois
YouTube
Pundit rankings
Obama
Subscriber Content
Durbin
Burris
Blagojevich Trial
Advertising
Updated Posts
Polls

Archives
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005

Syndication

RSS Feed 2.0
Comments RSS 2.0
WordPress

Loading


* Supporters tout benefits of new energy policy -.....
* Voice of The Southern: Thumbs up, thumbs down -.....
* Impasse Ruling On Hold - Alton Daily News..
* Budget Negotiations At A Standstill - FOX Illinois..


* 85-year-old Illinois woman still hunting deer since 1958
* Illinois man transforms himself from drug dealer to minister
* Chicago felon convicted by federal jury of selling firearms
* Road closures, camps closing for winter in Shawnee forest
* Elgin police to soon begin wearing body cameras
* Some Cook County probation officers to get body cameras
* Company in talks to buy, reopen Mitsubishi plant in Normal
* Stay or go? Tribe gives conflicting messages to protest camp
* Alleged Chicago gang boss denies ordering hit on informant
* Hearing set for Chicago man denied pardon by Pence

* $3M in emergency funds headed to Illinois community colleges
* Springfield-area veterans join pipeline protest
* Rauner asks Democrats for budget proposal, cancels meeting
* Comptroller: State employee bonuses on hold during impasse
* Rauner signs Exelon subsidy to spare 2 nuclear plants
* Rauner to sign Exelon subsidy to spare 2 nuclear plants
* Judge blocks administration from imposing contract on AFSCME
* State budget still elusive as leaders lash out
* Illinois budget still elusive as leaders lash out
* Killer of former central Illinois man sentenced to probation

* Grant Achatz a la carte: Roister reviewed
* The financial therapist will see you now
* Tronc exec Tony Hunter exits
* Trump's vow to control drug costs alerts another industry
* Health insurers willing to give up a key Obamacare provision


* 37-year-old woman killed in Frankfort crash
* Man shot while playing dice in Lawndale
* 17-year-old boy shot in University Village
* Man dead, 6 wounded in city shootings Thursday
* Wife of 80-year-old man killed by snowplow sues company
* Ex-CPD sergeant gets 6 months for swapping police info for cash
* Dear Abby: Do ask doctors to wash their hands
* Georgia Nicols horoscopes for Dec. 9, 2016
* Trump picks fast-food executive Andrew Puzder for Labor secretary
* 17-year-old boy shot in Englewood


* Lincoln Park mansion for sale at record $50 million asking price
* 1 dead, at least 8 wounded in city shootings
* This is what happens when Donald Trump attacks a private citizen on Twitter
* Bulls end three-game skid with 95-91 victory over Spurs
* Alabama executes man convicted of killing store clerk
* Billy Corgan's true Cubs fandom emerges in documentary about World Series win
* At lead-tainted Indiana housing complex, inaction and missed warnings
* Why law enforcement can't get ahead of 'Pizzagate' and other online conspiracy theories
* Do Trump’s Cabinet picks want to run the government — or dismantle it?
* Thursday's matchup: Bulls lead Spurs 45-32 at halftime


The widget AQL4JYGHIY powered by Feed Informer does not exist.


* Our View: Thumbs Up/Thumbs Down for the week
* $3M in emergency funds headed to Illinois community colleges
* Springfield-area veterans join pipeline protest
* Bernard Schoenburg: Bustos gets leadership post, criticizes Rauner
* Our View: Lawmakers should withdraw their lawsuit over paychecks
* George Will: The sensitivity police strike again
* Eugene Robinson: The proliferation of fake news presents real perils
* Guest Column: The Trump Administration faces extremism/terrorism
* Rauner asks Democrats for budget proposal, cancels meeting
* Comptroller: State employee bonuses on hold during impasse


* Deloufleur opens new location in Crainville
* Dr. Jack Struck
* Virginia 'Ginger' Sanders
* Mikkell Sneddon
* Shirley Jones
* Steven Kelley
* Wendell Davis
* UPDATE: Tom Petty and the Heartbreakers coming to State Farm Center
* Thursday's highlights: Danville's Burton hits 1,000 points
* Ayodele, Chargers outlast Maroons in girls' hoops


* Why four new DuPage County tax increases could be in jeopardy
* Naperville teacher scores $100,000 to promote global learning
* Bartlett to switch to Lake Michigan water in 2019
* Man accused of molesting boy in Bartlett park charged in other cases
* Lovell remembers Glenn as mentor, 'Boy Scout of space program'

* House lawmakers overcome hurdle on key tra...
* Rodney Davis talks funding with Bloomingto...
* The agency that fought Illiana gets a new ...
* Rep. Dold takes educational cruise down Ch...
* Lawmakers decry high turnover rate of VA h...
* CBD Oil, and politics
* Simon considering state Senate bid
* Killer Congressman Tom MacArthur trying to...
* Shutdown? State may not notice
* Rep. Bob Dold

* US Lawmakers Rip DoD Over $125 Billion in ......
* US Lawmakers Rip DoD Over $125B in Waste -......

* Mark Kirk Says His Goodbyes From The Senat......

* A “Kennedy” for Illinois governor; is GOP taking notion too seriously?
* Rauner to sign Exelon bailout bill Wednesday
* Crowd cheers after Navy admiral blasts Kaepernick's national anthem protest
* Proposed Zoning Change For Vintage Building At Leland & Sheridan
* From and Chougule: Right-to-Work Zones in Deep-Blue Illinois?
* Trump campaign says nominee Scott Pruitt will reverse EPA's anti-energy agenda
* Akin: Downstate voters send clear message: Stop lawsuit abuse in Illinois
* Rauner repeats, "No budget. No pay"
* Blaming teachers. I am a “negative demographic change.” I ain’t dead yet.
* Living to0 long.


* Governor’s Export Awards Recipients Announced
* Governor Signs Legislation to Protect Jobs, Ratepayers and Taxpayers
* Give The Gift Of A Lifetime With A College Illinois!® 529 Prepaid Tuition Plan - College Illinois! can help limit or even eliminate future student loan debt
* Illinois Department of Veterans’ Affairs Hosts 75th Pearl Harbor Remembrance Day Ceremony
* IDHR Issues Reminder of Fair Housing Rights During Holiday Season - State law prohibits targeted, discriminatory restrictions on decorations and celebrations




      Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller