Too much local autonomy and power a bad thing now?

It is more fun criticizing

The recent trend has been for the local execs to wield more power and authority under the local code which allowed them to do so.

It is common to see the return of local powerful chiefs who are all mighty  You see them competing with locall businesses or terrorizing them Or worse as in the case of a representative in an island province allegedly  behind the hit of a governor.   Or so it seems

The ordinances and resolution in favor of new businesses requires zillions CIA

God bless them

#Preneed companies are #predestined to have #turstfund deficiency and thus fail

It is more fun criticizing

Only 20 pre need companies are in good health

There were more than a hundred pre need companies at SEC.  However, at OIC only 20 remain.  The last to be closed by OIC were Permanent and Prudential Life.

And we begin to wonder.  Why?

After examining the Pre Need Law RA 9829 or the the Pre Need Code of the Philippines; and examining the Trust Fund requirements:

5% on the first year

15% on the second year

70% on the 3rd to 5th year, the total trust fund contribution is only 46% and with returns of only 0.5 to 3.0% there is a great impossibility of building the fund requirement to meet the financial obligation

It will take a great deal of financial genius to recover the 54% fund deficiency.   And if the pre need company does not have a genius, then it is bound to have trust fund that is deficient and can be closed down by OIC.

The law and formula are defective, dont you think so?