US Pension Funds to Israel – Guaranteed by US Govt

US Pension Funds invested in Israel – Guaranteed by US Government. 




California pension fund reveals vital info on Israeli VCs

… The California state employees pension fund CalPERS issued an investment report over the weekend after repeated demands from members and the press, and the report offered a first look at the usually secret investment reports of private Israeli venture capital funds in which CalPERS is invested.

The report is based on fund managers’ reports through September 30, 2002. Fund managers guard the confidentiality of the figures zealously, some, apparently for good reason. … 


American pension funds look to Israel for investment.

… Among the participants in the delegation were: Alan Hevesi, Comptroller for New York state; Massacussetts State Treasurer Tim Cahill, Daniel Kurtzer, former US ambassador to Israel; as well as heads of CalPers, (California Public Employees Retirement System) CalSTRS, (California State Teachers? Retirement System), Pennsylvania Public Employees, Virginia Retirement System, and Stanford Management Co.

The visit was initiated by the World Pension Forum (WPF), which provides a forum for discussion and educational opportunities for the senior members of US pension funds.

“The WPF is sort of a governing body of state pension funds – they hold conference four times a year and provide educational tools for the state pension funds,” explained Applbaum, who has extensive business dealings in Israel. …^l1353&enPage=BlankPage&enDisplay=view&enDispWhat=object&enVersion=0&enZone=Culture& 


>>> Note: Most of these funds appear to be managed by persons loyal to Israel.

… At Berkeley, the hot topic was a bill in the California state legislature to permit state employees’ and state teachers’ pension funds to invest in Israeli bonds guaranteed by the U.S. government. At that point the bill had been passed by the California State Assembly, and the Senate was expected to take up the issue sometime in September. It is only one part of an effort by the government of Israel’s lobby in the United States to move some of the ever-increasing aid to Israel out of the federal budget, where it is becoming a real issue, into investments in Israel bonds by the huge state government pension funds. By turning such funds, from many different U.S. states and cities, into a major source of aid to Israel, its U. S. Lobby hopes to defuse a potentially explosive issue. …

Whether or not this effort will succeed will depend on the amount the American public learns about the purchase of Israeli bonds by the widely scattered pension funds. Already, some 12 states have authorized this new means of financing Israeli deficits, which are mounting and are no more likely to be repaid than Israel’s direct debts to the U.S. government. (Israel has never repaid a loan from the U.S. government. All, eventually, have been forgiven by the U.S. Congress.)

Since in the end these bonds issued by Israel will be the responsibility of the American government if Israel is unable to repay them, it makes little difference whether the aid to Israel is voted by Congress or authorized by the state legislatures, which control state pension funds. Either way, U.S. taxpayers ultimately will foot the bill. …

No other country has such access to U.S. pension funds, and Israel is hardly the best risk.

Japanese, German or other bonds from industrialized nations have had far better in vestment ratings. But the key to Israeli access to the funds has been that these formerly extremely risky Israeli bonds now are guaranteed by the U.S. government. No U.S. state or municipal bonds carry such U.S. government guarantees, of course.


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8 Responses to “US Pension Funds to Israel – Guaranteed by US Govt”

  1. worzzz Says:

    I find it interesting that these corruptive practices involving Israel are kept put of pubic view.

    The media and all levels of government are in cahoots. — wearing US flags on their lapels pretending patriotism.

  2. worzzz Says:

    More than $1.5 billion in private US funds also go to Israel every year, comprising some $1 billion in tax-deductible donations and around $500 million invested in Israeli bonds. The US treatment of Israel as a charity of tax-deductible status is not granted to any other state.

    Among the major donors to the Israeli cause are US trade unions. Some 1,500 US labor bodies have ploughed at least $5 billion of union pension funds into Israeli bonds. The AFL-CIO affiliate pension funds alone have more than $300 million invested.

    In their staunch support for Israel, US unions are now anomalous in the global labor movement. This is a product of the shameful history of US labor leaders walking lock step with the State Department, the Pentagon and US imperialism. In July 2007, top officials of the AFL-CIO and Change to Win issued a statement condemning British unions for even considering the nonviolent campaign for boycott, divestment and sanctions against Israel.


    U.S. Financial Aid To Israel: Figures, Facts, and Impact

    Direct aid to Israel, as reported in the US budget, is but the tip of a very much larger iceberg. Since 1978 the annual figure has hovered around $3 billion per year, partly military “loans” and partly economic or budgetary support. It has added up. That cumulative cost, even though it is only part of the whole story, is $250 billion.

    Theoretically Israel was to have repaid much of the money, but the loans were forgiven when Israel could not pay, so that technically Israel has never defaulted, even though the monies were never repaid.


     The Power of Israel in the United States. Excerpts by James Petras

    Page 43 … Rank and file trade union members might have been surprised to learn that their pension funds had been invested in Israel Bonds with below normal rates of return and higher risk. Despite the poor investment quality of Israel Bonds, some of the largest US trade unions, employee pension funds, and major multi-national corporations have collectively loaned billions of dollars to the Israeli regime. In all cases, the decisions to purchase a foreign government’s bonds were made by the trade union bosses and corporate fund managers without consulting the membership or stockholders.” …

    Many of the trade unions, which are purchasers of Israeli bonds, are controlled or influenced by the Mafia. The Teamsters Union is the biggest purchaser of Israel Bonds; it is also the union which has seen more senior officials indicted for Mafia ties, illicit use of union funds, and massive robbery of membership pension funds. In this case the trade union Mafioso were buying favorable propaganda from the mass media and support from the “respectable” Jewish organizations via the purchase of Israel Bonds. …

  3. worzzz Says:

    Israel bonds are marketed by a U.S. firm, the Development Corporation for Israel (DCI).

    unlike most bonds, State of Israel securities are not easily converted into cash. The institutional bonds cannot be traded on the open market, and can only be sold to pension funds, charities or other non-profit organizations.

    Israel bonds not only pay a poor return, they carry a high risk as well. Although Israel bonds, like other privately placed securities, are not given a credit rating, if they were they would almost certainly be considered a poor investment.

    … Purchasers now include more than 1,700 labor unions, over 1,800 foundations, and numerous states, municipalities, corporations, insurance companies, associations, union pension funds, banks, financial institutions, universities, synagogues, and private investors. Over 70 state and municipal public employee pension and treasury funds have invested more than $1 billion in the bonds.

    … State statute allows for the purchase of foreign bonds as long as they are guaranteed by the full faith and credit of the government as to the principal and interest. …

    Pensions for Israel.

    Israel bond sellers also have sought the retirement dollars of teachers, police and other public employees. The pension funds for these workers are among the largest sources of institutional investment capital in the country.

    Diaspora Bonds: Israel and India have raised $35-40 billion using these bonds.

    diaspora bonds and the U.S. government guaranteed debt make up the bulk of Israel’s
    total external indebtedness;

  4. worzzz Says:

    Israel has been very successful in dominating the US government, banking, commerce, the media, pension plans, worker unions, politics, and the law. – How do they do it?

    A Strategy of Power Grabs executed by this tight knit Clan.

    1) Analyze which organizations are strategically useful and vulnerable to a power grab.

    2) Carefully choose the target to influence and maximize leverage.

    3) Plan the takeover in great detail and secrecy.

    2) Generously fund the power grab.

    3) Select a staff of trusted confidants. – Eliminate competitors.

    4) Act inconspicuously. Hide your true motives.

    5) Grasp control of the organization’s purse strings.

    6) Control opinions. – If needed, invoke anti-semitic victimhood.

  5. worzzz Says:

    A Ponzi Game?

    I have a strong suspicion that investing American pension funds in Israel is a Ponzi game much larger than that of Mr. Madoff.

    Reason: 1) Poor oversight, 2) Secrecy, 3) Insider dealings. … and Uncle Sam’s underwriting any resulting losses (Guarantied are principal and interest by the full faith and credit of the US government).

    Israeli bonds are poor investments (Low return, high risk. They cannot be traded on the open market)

    Remarkable is the Zionists’ skill of extracting huge sums from the American taxpayer, and to do it clandestinely. Even more remarkable is their lack of shame.

    It seems no politician wants to get involved in investigating these schemes for fear of harvesting the wreath of the Israel Lobby.

  6. worzzz Says:

    9 Israelis suspected of scamming millions from U.S. Pensioners.

    The Tel Aviv police fraud squad arrested on Sunday nine Israelis on suspicion of netting millions of dollars from U.S. pensioners in a so-called Nigerian scam. …

  7. worzzz Says:

    California pension fund reveals vital info on Israeli VCs

    Israeli venture capital funds Pitango, Gemini, Apax Israel, Israel Seed, JVP and Carmel, among the most prominent funds in Israel’s venture sector, have collectively written off $212 million over the past three years.

    This constitutes about one-third of their collective portfolios, as they have invested about $640 million in startups.

    The California state employees pension fund CalPERS issued an investment report over the weekend after repeated demands from members and the press, and the report offered a first look at the usually secret investment reports of private Israeli venture capital funds in which CalPERS is invested.

    CaIPERS is the largest state public pension system in the United States, with approximately $180 billion in assets. We manage retirement benefits and health insurance on behalf of nearly 1.6 million members.

    In 2008, CalPERS lost 27% in nominal terms, or 30% in inflation-adjusted ones.

    For the last three years, CalPERS presents an accrued negative return of 2.5%. Its accrued return for the last five years works out at 3%. But long-term savings mustn’t be judged through the prism of a single year, certainly not a crash year like 2008. That is why I have appended some bar charts to this article, showing CalPERS over the last 25 years.

    CalPERS 2008 Annual Report

  8. worzzz Says:

    … one has to be wary of the loan guarantees one also has to be wary of the huge issuance of “Israel bonds” in American markets. Often such bonds enter the pension funds of ordinary Americans, and thus future of Israeli and US policy impinge on the welfare of ordinary Americans.

    Scrutiny of the policy pertaining to the inclusion of such bonds in pension funds is something ordinary Americans should be concerned about.

    One often hears that Irving Moskowitz, the “bingo parlor” magnate, transfers funds from his California operations to pay for the development of illegal settlements. In the process, he obtains various US tax advantages because the funds putatively go to humanitarian projects. Why should such funds disappear in Israel without paying the requisite US taxes? …

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