ONE OF THE City's most respected fund management activists has warned of the potential power of the new state pension fund envisaged in Lord Turner's proposals for reforming the retirement system, reports The Guardian .
According to the paper, Peter Butler, chief executive of Governance for Owners, believes Turner's National Pension Savings Scheme (NPSS) would allow "nationalisation by the back door". Workers not in company pension schemes would automatically be enrolled in the NPSS. The scheme would have billions of pounds of pension fund contributions to invest, much of it being directed into the stock market. It would have large holdings in many corporations - and substantial shareholder voting power. The paper quotes Butler as saying: "Once politicians wake up to the power they could have it woul...
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