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RE: Investment of Trust Fund or PRA's in the Private Sector


As we conclude this informative dialogue, I would like to once again 
raise the issue of private retirement funding.  At a time when 
employer-sponsored defined benefit plans are in a stunning and steady 
decline, signficant inequities exist in employer-sponsored defined 
contribution plans and over 50 million American workers have no 
retirement plan at all it would seem we need to aggressively address 
this issue along with Social Security reform.  Social Security alone 
cannot be expected to provide adequate retirement funding for American 
workers, it is only a supplement to a sound private retirement plan.  
We must encourage and offer assistance and incentives to corporations 
to resume their social contract with their workers by providing decent 
pension plans.  We should also provide workers with every opportunity 
to increase their own personal retirement savings through equitable 
deductible IRA contributions, IRA payroll deductions and proportionate 
representation of rank-and-file workers on investment committees for 
defined contribution plans.

Finally, I would contend that investing is inherently somewhat 
political.  Even when investing in a broad-based index fund we are 
still investing in individual companies.  Investing in a company is a 
vote of confidence representing an endorsement of that company's 
products and/or services and policies.  As long as companies attempt 
to influence policy-making through lobbying and generous campaign 
contributions, in this country and throughout the world, it is 
disingenuous to suggest that investment has no political component.  
Additionally, how do we vote our shares without taking into 
consideration the "moral imperative" which we claim is driving our 
foreign policy?  Do we save Albanian refugees in Kosovo only to turn 
our backs on workers in Saipan?  Does fiduciary responsibility take 
precedence over moral issues?  Do we really want to blindly and 
silently invest millions of dollars in companies which utilize 
sweatshops, pay their CEO's 400-500 times the wage of their average 
worker, degrade the environment, or jeopardize the health and 
well-being of people throughout the world?  I think any discussion of 
investing the trust fund or establishing PRA's should include these 
concerns.

Thank you,

Luita Persyko


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