Forum Archive Index - July 2000

["David Reid" <aspex@ix.net.nz>]

The original thread of the discussion (Steve Moxham) related to the total malaise that the country may or may not be in. The NZSE and its shares are only a symptom of the problem.

Fortunately or not the information age and Globalisation reduce the investment question by way of the NZSE irrelevant.

Example. Is it better to have shares in Telecom or Vodaphone which has a capitalisation that is at least 30 times greater? Remember that although VOD is quoted in pounds it cash flow and profits come just as much from elsewhere (59 million customers in 25 countries )

In return the things that NZ could do to boost our employment etc could include blatant incentives for exportable production and preferably in non-physical goods.

It is probably heresy to suggest that NZ should offer a nil company tax to any company that can export a minimum 80% of its output consistently over time (Example only)

Who needs NZ owned companies provided New Zealanders place substantial parts of their investments overseas for their own and the country's ultimate benefit.

 

David Reid