Douglas Rediker in America.gov | 'How Welcome Is Investment by Sovereign Wealth Funds?'
Economic Growth Program, Global Strategic Finance Initiative
...In the United States, the due diligence process is already in place, says Douglas Rediker, a researcher at the New America Foundation.
“Our country is extraordinarily well protected by existing law and regulations” against any foreign investors driven by non-commercial intents, he told America.gov.
Other experts say more needs to be done to protect U.S. interests.
Peter Navarro, a business professor at the University of California, Irvine, proposed making strategic sectors such as telecommunications, ports, energy infrastructure and defense off limits to sovereign funds. He also proposed ownership caps and strict transparency requirements on their investments. Others called for limiting investment to nonvoting equity shares, suspending voting rights, or restricting funds to reciprocal arrangements.
Rediker himself, in a 2007 paper he co-authored, urged restrictions on control by or voting rights of sovereign wealth funds that invest in U.S. public companies.
But he changed his mind when Congress and the administration moved to make the review process for foreign investments in U.S. companies more predictable and comprehensible...LINK
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