I am finding it difficult to respect you when you lie and treat them like they are idiots. But, in a nut house, "there is nothing that the GORTT is losing." Isn't that absolutely insane? I wrote in my Valentine's Day letter to Clico that the Government is making money from the Clico fiasco. There's too much money missing. And the more that's missing, the more incompetent the CBTT looks for allowing it to get that bad in the first place. It's all a big secret, but we can make some reasonable estimates. Incompetence notwithstanding, good fortune of buoyant asset values brings the thing on side: taxpayers are off the hook for CBTT incompetence. But it is good luck, not good management, and it could have gone the other way and still may unless gains are realised ASAP.
Inaction is not policyholders' problem.
This is part one of a two-part letter from the author, who is a former consulting actuary and chief executive officer at Clico. He is also the holder of an EFPA.