Gosford Council could be $38 million better off if it had not invested in speculative instruments like Collateralised Debt Obligations (CDOs) in the market boom prior to the global financial crisis.
A returns on investments graph published on Gosford Council’s website on Thursday, February 4, shows that total capital losses from investments in unsecured instruments with Lehman Brothers, Blue Gum, Torquay, Scarborough, Parkes, Kakadu, Green and Esperance totalled $19.12 million. Only one CDO remains in the Gosford Council portfolio and it has a maturity date of June 2016.
Full details in Thursday’s paper