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Ryan Bridge: Something's not adding up with business investment in this country · Early Edition with Ryan Bridge

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  Speaker 1: Something doesn't really add up on business investment in this country.
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  Speaker 1: If the post is to be believed this morning, the
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  Speaker 1: government is considering a business growth fund, whereby some Crown
• 0:09
  Speaker 1: agency would pick winners and probably a few losers along
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  Speaker 1: with it, with financial backing. Charmers has did us in
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  Speaker 1: Australia big business Growth fund backed by the taxpayer. There
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  Speaker 1: was apparently a meeting in April between Willis and Chalmers
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  Speaker 1: to talk about us joining his fund. We're talking about
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  Speaker 1: minnos here revenue between one and ten million dollars unless
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  Speaker 1: a gas transition Garran tour was the start of some
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  Speaker 1: kind of paradigm shift in the way this government thinks
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  Speaker 1: about private enterprise. That investment decisions in the private sector
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  Speaker 1: would be left to well, you know, the private sector,
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  Speaker 1: then something is a miss. Venture capital funds and even
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  Speaker 1: key we savers should be doing this job. We have
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  Speaker 1: about five percent of KEI saver funds right now invested
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  Speaker 1: in private equities. The Aussies are apparently more like fifteen
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  Speaker 1: to twenty percent of their superfunds there for May last
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  Speaker 1: month said they expect more of this, but fund managers
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  Speaker 1: have been making noises about changes that are needed to
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  Speaker 1: help encourage investments like that. The obvious problem is, of course,
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  Speaker 1: with super funds investments, you need to have them quite
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  Speaker 1: liquid for a drawdown. But what's the chance that we
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  Speaker 1: all draw down ninety percent of our balances all at once.
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  Speaker 1: Very unlikely. The other unusual one this week was the
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  Speaker 1: Golden Visa. Apparently there aren't enough investment opportunities out there
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  Speaker 1: that we're now handing out passports based on how much
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  Speaker 1: dosh you can chuck at a dock walking track upgrade
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  Speaker 1: or a charity. Erica Stamford told me yesterday they're looking
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  Speaker 1: at broadening out the types of investments that would qualify you.
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  Speaker 1: So we either have too many investment opportunities and not
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  Speaker 1: enough capital, or not enough capital and too many opportunities,
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  Speaker 1: or we have regulatory settings that are stopping one from
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  Speaker 1: feeding the other, in which case government ought to cut
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  Speaker 1: through them before picking its own winners. For more from
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