CPF has safeguards

PUBLISHED : Sunday, 11 April, 1993, 12:00am
UPDATED : Sunday, 11 April, 1993, 12:00am

THE article, in particular the headline, ''Singaporeans cast caution to the winds'' (Sunday Money, March 28) is misleading.

The Singaporean Government has not discarded caution in respect of the Central Provident Fund (CPF). The aim of the liberalisation is to give CPF members a wider choice of ways to invest their savings, while maintaining the long-term objective of ensuring their financial security in old age.

Various safeguards have been built into both the Basic and Enhanced Investment Schemes to ensure Singaporeans' old-age financial security is not compromised in any way.

It is not the Singaporean Ministry of Labour's job to ''put some life into the Stock Exchange of Singapore'' as suggested. In fact, in announcing the liberalisation, the Minister for Labour cautioned and advised CPF members who were novices or inexperienced in the ways of equity markets, to be careful about such investment. ELAINE SWINN-TAN for the Singapore Ministry of Labour