Deputy Finance Minister Othman Aziz said in this regard, the EPF had to make sure its investments were conducive and matched its business plan to ultimately benefit contributors in the form of dividends.
“EPF and Khazanah Nasional have long invested abroad, not just in the United States because it is part of their corporate strategy to maintain a balanced investment portfolio,” he said after visiting the Sungai Kelonchor/Anak Bukit flood mitigation project here today.
He was commenting on PPBM chairman Dr Mahathir Mohamad’s recent statement about the investments made by Khazanah and EPF in the US.
Prime Minister Najib Razak recently announced the EPF’s and Khazanah Nasional Bhd’s plans to increase their investments in the US, and Malaysia Airlines Bhd’s decision to buy 16 Boeing aircraft.
To date, the EPF has invested nearly US$7 billion in equity in the US, while Khazanah Nasional, which has an office in Silicon Valley, California, has invested about US$400 million in high-tech companies.
Othman said both agencies were shrewd in seeking investments locally, in Asean, and internationally which not only covered stock purchases but also mega project ventures and bond purchases.
He dismissed claims by certain quarters that Najib was only extending unnecessary help to the US through the EPF and Khazanah Nasional’s business moves.
“Who are we to help the US, certainly not with RM100 billion when its economy has reached trillions … what is important is that we seize investment opportunities that can bring good returns.
“On average, for instance, if the local returns (EPF) are 3-4%, and another 11% is then added from overseas returns … this is the amount that would be given back to contributors in the form of annual dividends,” he said.
Othman also slammed as gibberish, the claims by certain quarters that Najib was afraid to step on US soil for fear of being prevented by the Department of Justice from returning to Malaysia, and said these were created by resentful parties.
“They are simply jealous that the prime minister received a personal invitation from President Donald Trump,” he said.
He said Malaysia and the US had been strategic trade partners for years and shared a common goal in terms of security, investment and the economy.
He said as a responsible government, Malaysia tried to get as many foreign investors into the country as possible while making overseas investments as well.
“We have achieved 60 years of independence. Certainly we should not just wait for other people to invest in our country,” he said.