It is hard not to recognize the speed within which various Country-run Sovereign Wealth Funds have run the rescue of the our nations largest banks and brokerage houses at fire sale prices. I recently read the 31 December Quarterly Report from Baron Funds and Ron Baron has done a wonderful job articulating what I think we are all sensing right now. I am paraphrasing here but he states that last year, Dubai, a member state of the United Arab Emirates was denied the opportunity to acquire a relatively small port operator due to national security concerns. Today the sovereign wealth funds of these nations are acquiring massive stakes in our largest banks with no political opposition at all. Ron cites the irony and underscores how critical our current economic state of affairs are. Going deeper into this, I'd like to ask - what has changed in the last year? Is it that we trust them more to rescue our banks than control our ports. Is it that people are less afraid of financial terrorism than they are of someone smuggling a dirty bomb into the country. I don’t know really but the attitude has certainly changed and I am curious to know your thoughts on why. From my perspective it is equally as dangerous to have a foreign nation (terrorist supporting or not) taking stakes in our financial institutions where they can exert influence on our homeland economy. Am I the only one concerned about this?
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