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Super fund loses money

Friday 1st of February 2008

The Government surplus was 28% lower than forecast in the five months to November due to a sharp reversal in the New Zealand Superannuation fund, Treasury said today.

The super fund has been hit by turmoil in world financial markets.

However, the Government's underlying accounts continued to perform better than forecast in last May's budget and even than in the December update.

The operating financial surplus for the five months was $1.284 billion, $506m or 28.3% below forecast.

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