Sovereign wealth funds from Abu Dhabi and China have become the year’s economic boogeyman. Every time one of them helps bail out a U.S. financial institution, someone is there to warn that their motives aren’t pure (i.e., ROI-only). The official explanation is that these SWFs transparent like longer-term players like Norway, but the real concern is rooted in xenophobic politics.
As if to prove the point, Gao Xiqing agreed to an interview last night on 60 Minutes (watch video after the jump). He is the American-educated head of China Investment Corp., who insisted that investment returns are his driving motivation. He added that CIC will produce an annual report that will rival Norway for transparency. It would have done so sooner, he suggested, except that CIC hasn’t yet celebrated its first anniversary.
Translation: You Americans have nothing to fear.
Here’s the video: