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An International Normative Framework for Sovereign Wealth Funds?

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European Yearbook of International Economic Law 2011

Part of the book series: European Yearbook of International Economic Law ((EUROYEAR,volume 2))

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Abstract

Sovereign wealth funds are a fairly new name for something that’s been around for quite a while: assets held by governments in another country’s currency. All countries have foreign exchange reserves (these days, they’re typically in dollars, euros, or yen). When a country, by running a current account surplus, accumulates more reserves than it feels it needs for immediate purposes, it can create a sovereign fund to manage those “extra” resources.

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Notes

  1. 1.

    Johnson, Finance & Development 44 (2007) 3, available at http://www.imf.org/external/pubs/ft/fandd/2007/09/straight.htm.

  2. 2.

    Referring to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, Appendix I, see http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 7 et seq.; for more on that document see below, pp. 394 et seq., 624 et seq.

  3. 3.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 5.

  4. 4.

    Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 2; similarly Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, p. 4.

  5. 5.

    See Butt/Shivdasani/Stendevad/Wyman, Sovereign wealth funds: a growing global force in corporate finance, Journal of Applied Corporate Finance 20 (2008), pp. 73 et seq.

  6. 6.

    See Suzuki, The launch of China’s sovereign wealth fund: long-term implications upon the global monetary regime, Mizuho Research Paper 16, 2008.

  7. 7.

    See Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008; Gomes, The impact of sovereign wealth funds on international financial stability, Bank of Canada, Discussion Paper 14, 2008.

  8. 8.

    See Kern, Control mechanisms for sovereign wealth funds in selected countries, CESifo DICE Report (2008) 4, pp. 41 et seq.; Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, p. 1, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf.

  9. 9.

    See Schäfer/Voland, Staatsfonds: die Kontrolle ausländischer Investitionen auf dem Prüfstand des Verfassungs-, Europa- und Welthandelsrechts. Pecunia non olet?, EWS 19 (2008), pp. 166 et seq.; Klodt, Müssen wir uns vor Staatsfonds schützen?, Wirtschaftsdienst 88 (2008), pp. 175 et seq.

  10. 10.

    See also pp. 336 et seq.

  11. 11.

    See Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 6; see also Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, p. 858, and Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, pp. 4 et seq.

  12. 12.

    A somewhat different definition is found in Appendix I to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, p. 27, which refer to (1) ownership, (2) investments (at least partially in foreign financial assets) and (3) (macroeconomic) purposes and (financial) objectives.

  13. 13.

    As Appendix I to the Santiago Principles explains (see p. 27, fn. 41), the use of the word “arrangements” as an alternative to “funds” allows for a flexible interpretation of the legal arrangement through which the assets can be invested.

  14. 14.

    Background information on International Working Group of Sovereign Wealth Funds (IWG) member countries’ SWFs can be found in Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 31 et seq.; another rich source of information is the Web site of the Sovereign Wealth Fund Institute, http://www.swfinstitute.org/; for a brief outline, see also IWG Secretariat, Sovereign Wealth Funds – Current Operational and Institutional Practices, 15 Sept. 2008, p. 5.

  15. 15.

    See, e.g., the Exchange Fund of Hong Kong Monetary Authority , http://www.swfinstitute.org/fund/hongkong.php; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 9; Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 8 or the case of Saudi Arabian Monetary Authority, http://www.swfinstitute.org/fund/saudi.php.

  16. 16.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 6.

  17. 17.

    See Suzuki, The launch of China’s sovereign wealth fund: long-term implications upon the global monetary regime, Mizuho Research Paper 16, 2008; Heep, Chinas neuer Staatsfond: Organisation, Finanzierung und Investitionsstrategie der China Investment Corporation, Asien 108 (2008), pp. 51 et seq.

  18. 18.

    See Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, pp. 6 et seq.; Rozanov, Long-Term Consequences of the Financial Crisis for SWFs, in: Hoguet/Nugée/Rozanov (eds.), Vision: Sovereign Wealth Funds. Emerging from the Financial Crisis, 2009, p. 14; the power to invest “extra” resources is not mentioned by Hindelang, Direktinvestitionen und die Europäische Kapitalverkehrsfreiheit im Drittstaatenverhältnis, JZ 2009, p. 829.

  19. 19.

    See Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 4; Golding/Bassil, Australian Regulation of Investments by Sovereign Wealth Funds and State Owned Enterprises, 2008, p. 2.

  20. 20.

    In this sense see Appendix I to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, no. 3.

  21. 21.

    Appendix I to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, nos. 2, 4.

  22. 22.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 5.

  23. 23.

    For more details see Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, pp. 9 et seq.

  24. 24.

    See Foreign Asset Accumulation by Authorities in Emerging Markets, ECB Monthly Bulletin, Jan. 2009, pp. 76 et seq.

  25. 25.

    See Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, pp. 13 et seq.; for considerations to hire external asset managers ibid., p. 18; IWG Secretariat, Sovereign Wealth Funds – Current Operational and Institutional Practices, 15 Sept. 2008, p. 17; Kern, Staatsfonds – Staatliche Auslandsinvestitionen im Aufwind, DBResearch, 18 Dec. 2007, p. 5.

  26. 26.

    See IWG Secretariat, Sovereign Wealth Funds – Current Operational and Institutional Practices, 15 Sept. 2008, pp. 8 et seq.

  27. 27.

    See Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, pp. 10 et seq.

  28. 28.

    See Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, p. 858; O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 19; Kaufmann, Investoren als Invasoren, 2009, pp. 23 et seq.; Sauvant/Maschek/McAllister, Foreign Direct Investment by Emerging Market Multinational Enterprises, the Impact of the Financial Crisis and Recession and Challenges Ahead, OECD, Dec. 2009, p. 7.

  29. 29.

    See Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 13; Moran, Foreign Acquisitions and National Security: What are genuine threats? What are implausible worries?, Dec. 2009, http://www.oecd.org/dataoecd/31/23/44231376.pdf.

  30. 30.

    Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, p. 2, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 4; Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 314; see also Altorfer-Ong, Ein Schweizer Staatsfonds aus dem 18. Jahrhundert, Neue Zürcher Zeitung no. 67, 20 March 2008.

  31. 31.

    See Al Sa’ad, Overview on the Kuwait Investment Authority and Issues Related to Sovereign Wealth Funds, 9 April 2008, www.kia.gov.kw/En/About_KIA/Overview_of_KIA/Documents/FINA_SPCH_LUXEMBORG_APR_9_092.pdf); see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 38 et seq.; http://www.swfinstitute.org/fund/-kuwait.php; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 6.

  32. 32.

    See http://www.swfinstitute.org/fund/adia.php; see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 48 et seq.

  33. 33.

    See http://www.swfinstitute.org/fund/alaska.php; see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, p. 49; Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 12.

  34. 34.

    Temasek Holdings Pte Ltd; see http://www.swfinstitute.org/fund/temasek.php; see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 45 et seq.; O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 7.

  35. 35.

    Government of Singapore Investment Corporation Pte Ltd; see. http://www.swfinstitu-te.org/fund/gic.php; see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 44 et seq.; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 9; Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 12.

  36. 36.

    See http://www.swfinstitute.org/fund/brunei.php.

  37. 37.

    See http://www.swfinstitute.org/fund/norway.php; also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf. org/pubs/eng/santiagoprinciples.pdf, pp. 41 et seq.; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 10; Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 12.

  38. 38.

    Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 4.

  39. 39.

    Qatar Investment Authority, Investment Corporation of Dubai (which is separate from the now famous Dubai World, see http://www.dubaiworld.ae), Emirates Investment Authority; for more details, see Setser/Ziemba, GCC Sovereign Funds – Reversal of Fortune, CFR Working Paper Jan. 2009, pp. 9 et seq.

  40. 40.

    Alaska Permanent Fund Corporation, http://www.swfinstitute.org/fund/alaska.php, New Mexico State Investment Office Trust, http://www.swfinstitute.org/fund/newmexico.php, Alabama Trust Fund, http://www.swfinstitute.org/fund/alabama.php, Permanent Wyoming Mineral Trust Fund, http://www.swfinstitute.org/fund/wyoming.php.

  41. 41.

    Australian Government Future Fund; see http://www.swfinstitute.org/fund/australia.php (5 Jan. 2010).

  42. 42.

    National Pensions Reserve Fund; see http://www.swfinstitute.org/fund/ireland.php (5 Jan. 2010); see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 36 et seq.

  43. 43.

    Korea Investment Corporation; see http://www.swfinstitute.org/fund/korea.php (Jan. 5, 2010); see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 37 et seq.

  44. 44.

    New Zealand Superannuation Fund; see http://www.swfinstitute.org/fund/newzealand.php; see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, pp. 40 et seq.; Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 12, fn. 41.

  45. 45.

    See Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 4; also Reiche, Norwegen: Staatsfonds und Ethik, Blätter für deutsche und internationale Politik (2008) 11, pp. 111 et seq.

  46. 46.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 9; Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, pp. 4, 11.

  47. 47.

    Prominent examples of this type might be Australia, Ireland, New Zealand and Norway, but at least similar objectives were laid down for the Chilean Pension Reserve and Social and Economic Stabilization Fund, http://www.swfinstitute.org/fund/chile.php, and the Chinese National Social Security Fund, http://www.swfinstitute.org/fund/nssf.php.

  48. 48.

    See Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, pp. 9, 11; Kaufmann, Investoren als Invasoren, 2009, p. 21.

  49. 49.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 10; Kaufmann, Investoren als Invasoren, 2009, p. 25.

  50. 50.

    See Neary, Deindustrialization and Dutch disease, http://www.cepr.org/Pubs/bulletin/004/Neary.htm.

  51. 51.

    See Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, p. 3.

  52. 52.

    See Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 10.

  53. 53.

    National Welfare Fund, see http://www.swfinstitute.org/fund/russia.php; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 9; see also Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 10, fn. 14, and p. 12, fn. 38.

  54. 54.

    See Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 315; Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 4; Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, p. 2.

  55. 55.

    See http://www.swfinstitute.org/fund/cic.php; see also Appendix III to the “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, p. 36; Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 315; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, pp. 6 et seq.

  56. 56.

    See Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, pp. 5, 12.

  57. 57.

    Economist, 18 Sept. 2008; see also O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 5; Rozanov, Long-Term Consequences of the Financial Crisis for SWFs, in Hoguet/Nugée/Rozanov (eds.), Vision: Sovereign Wealth Funds. Emerging from the Financial Crisis, 2009, p. 15.

  58. 58.

    See Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, pp. 5 et seq.; Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, p. 1.

  59. 59.

    See http://www.adia.ae/ADIA_AE_structure.asp?navLoc=structure.

  60. 60.

    http://kic.go.kr/en/?mid=in0201.

  61. 61.

    Crown Entities Act 2004, sec. 86.

  62. 62.

    New Zealand Superannuation and Retirement Income Act 2001, secs. 64 and 58.

  63. 63.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 11.

  64. 64.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 12.

  65. 65.

    Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 12, fn. 18.

  66. 66.

    For determinants of investment policy, see Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, pp. 14 et seq.; see also Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, p. 12.

  67. 67.

    Foreign Asset Accumulation by Authorities in Emerging Markets, ECB Monthly Bulletin, Jan. 2009, p. 84.

  68. 68.

    Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 7; IWG Secretariat, Sovereign Wealth Funds – Current Operational and Institutional Practices, 15 Sept. 2008, p. 15.

  69. 69.

    See Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 12.

  70. 70.

    See Weltweiter Wettlauf um Agrarland in Drittweltländern, NZZ no. 134, 13–14 June 2009. For a case study (relating to Norway’s Government Pension Fund) see Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, pp. 21 et seq.

  71. 71.

    Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 8.

  72. 72.

    See Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, pp. 12 et seq.

  73. 73.

    See Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 9; Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, pp. 19 et seq.; Kaufmann, Investoren als Invasoren, 2009, pp. 52 et seq.

  74. 74.

    See Behrendt, Der neue Staatskapitalismus, Financial Times Deutschland, 8 Dec. 2009.

  75. 75.

    See O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 3; see also Chinas Staatsfonds hat wohl mehr als nur finanzielle Absichten, NZZ no. 225, 29 Sept. 2009.

  76. 76.

    COM(2009) 207 final of 29 April 2009.

  77. 77.

    Directive 2009/65/EC of 13 July 2009, OJ 2009 L 302, pp. 32 et seq.

  78. 78.

    Directive 2004/39/EC of 21 April 2004, OJ 2004 L 145, pp. 1 et seq.

  79. 79.

    These may be constituted in accordance with contract law (as common funds managed by management companies), trust law (as unit trusts), or statute (as investment companies), Art. 1 (3) of the UCITS Directive.

  80. 80.

    Defined in Art. 2 (a) of the UCITS Directive as “company, the regular business of which is the management of UCITS in the form of common funds or of investment companies”.

  81. 81.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008, p. 2.

  82. 82.

    In the same sense European Parliament resolution of 9 July 2008 on SWFs, OJ 2009 C 294E, pp. 41 et seq.: “The ownership structure of the SWFs places them outside the scope of EU financial market regulation”; Kern, Staatsfonds – Staatliche Auslandsinvestitionen im Aufwind, DBResearch, 18 Dec. 2007, p. 13.

  83. 83.

    See Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, pp. 10 et seq.; Fraktion BÜNDNIS 90/DIE GRÜNEN, Deutscher Bundestag, Drucksache 16/9612, 18 June 2008, pp. 3 et seq.; O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 10; Rozanov, Long-Term Consequences of the Financial Crisis for SWFs, in Hoguet/Nugée/Rozanov (eds.), Vision: Sovereign Wealth Funds. Emerging from the Financial Crisis, 2009, p. 18; Kern, Staatsfonds – Staatliche Auslandsinvestitionen im Aufwind, DBResearch, 18 Dec. 2007, p. 10.

  84. 84.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008, p. 3.

  85. 85.

    See Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, p. 66.

  86. 86.

    IMF Articles of Agreement, art-XII (1); A Guide to Committees, Groups, and Clubs, http://www.imf.org/external/np/exr/facts/groups.htm#IC.

  87. 87.

    See IMF press notices http://www.imf.org/external/np/sec/pr/2007/pr07267.htm; http://www.imf.org/external/np/sec/pr/2009/pr0944.htm.

  88. 88.

    Allen/Caruana, Sovereign Wealth Funds – A Work Agenda, http://www.imf.org/external/np/pp/eng/2008/022908.pdf; IMF press notice, http://www.imf.org/external/np/sec/pn/2008/pn0841.htm.

  89. 89.

    For earlier work, see IMF Annual Report 2008, pp. 31 and 35.

  90. 90.

    Press notices: http://www.imf.org/external/np/cm/2009/042509.htm, http://www.imf.org/external/np/sec/pr/2009/pr09347.htm

  91. 91.

    http://www.g-8.de/Content/EN/Artikel/__g8-summit/anlagen/2007-06-07-gipfeldokument-wirtschaft-eng,templateId=raw,property=publicationFile.pdf/2007-06-07-gipfeldokument-wirtschaft-eng.pdf.

  92. 92.

    Message from the OECD secretary-general to the IMFC, 11 Oct. 2008, http://www.oecd.org/dataoecd/0/23/41456730.pdf, p. 1; see Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, p. 6, http://www.oecd.org/dataoecd/31/22/44231385.pdf.

  93. 93.

    OECD Declaration on Sovereign Wealth Funds and Recipient Country Policies, 4-5 June 2008, http://www.oecd.org/dataoecd/0/23/41456730.pdf; see Gordon, SWFs: OECD Guidance to Recipient Countries, 19 Feb. 2009, http://www.oecd.org/dataoecd/53/31/42204731.doc; see Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, pp. 73 et seq.

  94. 94.

    Message from the OECD secretary-general to the IMFC, 11 Oct. 2008, http://www.oecd.org/dataoecd/0/23/41456730.pdf, pp. 4 et seq; also Recommendation adopted by the OECD Council, 25 May 2009, http://www.oecd.org/dataoecd/11/35/-43384486.pdf.

  95. 95.

    2009 version, http://www.oecd.org/dataoecd/10/62/39664826.pdf.

  96. 96.

    2000 version, http://www.oecd.org/dataoecd/56/36/1922428.pdf; see also the consultation note on a possible update, http://www.oecd.org/-dataoecd/-32/62/44168690.pdf.

  97. 97.

    See below, pp. 773 et seq.

  98. 98.

    http://www.oecd.org/dataoecd/59/63/44080490.pdf; on tax issues in general see Malone, Should the United States tax Sovereign Wealth Funds?, Boston University Int’l. L.J. 26 (2008), pp. 143 et seq.

  99. 99.

    http://www.bis.org/events/con081124saa.htm; http://www.bis.org/events/prm.htm.

  100. 100.

    See, e.g., Gieve, Sovereign wealth funds and global imbalances, 14 Mar. 2008, http://www.bis.org/review/r080319d.pdf; Reddy, Forex reserves, stabilization funds and sovereign wealth funds – Indian perspective, 8 Oct. 2007, http://www.bis.org/review/r071009b.pdf.

  101. 101.

    Mattoo/Subramanian, Currency undervaluation and sovereign wealth funds: a new role for the World Trade Organization, 2008, Peterson Institute, WP 08-2, p. 16.

  102. 102.

    Mattoo/Subramanian, Currency undervaluation and sovereign wealth funds: a new role for the World Trade Organization, 2008, Peterson Institute, WP 08-2, pp. 9 et seq.

  103. 103.

    Mattoo/Subramanian, Currency undervaluation and sovereign wealth funds: a new role for the World Trade Organization, 2008, Peterson Institute, WP 08-2, p. 19.

  104. 104.

    See Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 321; von Rosenberg/Hilf/Kleppe, Protektion statt offener Märkte?, BB 2009, p. 834; Tietje, Beschränkungen ausländischer Unternehmensbeteiligungen zum Schutz vor “Staatsfonds” – Rechtliche Grenzen eines neuen Interventionsprotektionismus, Dec. 2007, p. 4, 9; Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, p. 7, http://www.oecd.org/dataoecd/31/22/44231385.pdf.

  105. 105.

    See Annex on Financial Services, nos. 1 (b) (iii) and 5 (c) (i), but also no. 1 (c) and (d) which are more specific and thus prior to the general provisions laid down in Art. I (3) (c) GATS.

  106. 106.

    In particular, lits. c) and f) of Art. XVI could be relevant; see Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 320.

  107. 107.

    Art. XXVIII (d) GATS; see Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, p. 7, http://www.oecd.org/dataoecd/31/22/44231385.pdf.

  108. 108.

    http://www.wto.org/english/thewto_e/acc_e/a1_russie_e.htm.

  109. 109.

    Press release: http://www.iwg-swf.org/pr/swfpr0801.htm.

  110. 110.

    Press release: http://www.iwg-swf.org/pr/swfpr0901.htm.

  111. 111.

    See the statement by Al-Suwaidi, 11 Oct. 2008, http://www.iwg-swf.org/pubs/eng/imfciwg.pdf.

  112. 112.

    Sovereign Wealth Funds. General Accepted Principles and Practices (GAPP), see “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, p. 4.

  113. 113.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008.

  114. 114.

    Treaty on the Functioning of the European Union, Consolidated Version, OJ 2008 C 115, pp. 47 et seq.

  115. 115.

    See, e.g., Hindelang, Direktinvestitionen und die Europäische Kapitalverkehrsfreiheit im Drittstaatenverhältnis, JZ 2009, pp. 836 et seq.

  116. 116.

    See Council Regulation (EC) 139/2004, OJ 2004 L 24, pp. 1 et seq., Art. 21(4); also Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, pp. 56 et seq.

  117. 117.

    See Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 319 et seq.; Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, p. 863; von Rosenberg/Hilf/Kleppe, Protektion statt offener Märkte?, BB 2009, p. 832; Hindelang, Direktinvestitionen und die Europäische Kapitalverkehrsfreiheit im Drittstaatenverhältnis, JZ 2009, p. 838; Tietje, Beschränkungen ausländischer Unternehmensbeteiligungen zum Schutz vor “Staatsfonds” – Rechtliche Grenzen eines neuen Interventionsprotektionismus, Dec. 2007, pp. 5 et seq.; also Bundesregierung, Deutscher Bundestag, Drucksache 16/7668, 3 Jan. 2008, pp. 2 et seq.

  118. 118.

    See Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 316; Schmid/Bürki, Die Bedeutung von Staatsfonds für die Schweiz, Die Volkswirtschaft 2008, p. 24.

  119. 119.

    See Krolop, Schutz vor Staatsfonds und anderen ausländischen Kapitalmarktakteuren unter Ausblendung des Kapitalmarktrechts?, ZRP 2008, p. 41; Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 322; Fraktion BÜNDNIS 90/DIE GRÜNEN, Deutscher Bundestag, Drucksache 16/9612, 18 June 2008, pp. 5 et seq.; but also see Kaufmann, Investoren als Invasoren, 2009, pp. 12 et seq.

  120. 120.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008, p. 6.

  121. 121.

    See Krolop, Schutz vor Staatsfonds und anderen ausländischen Kapitalmarktakteuren unter Ausblendung des Kapitalmarktrechts?, ZRP 2008, p. 43; Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, pp. 318 et seq.; Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, pp. 862 et seq.

  122. 122.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008, p. 7.

  123. 123.

    See below, pp. 429 et seq.

  124. 124.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008, p. 8. For some transparency rankings see Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, pp. 15 et seq.

  125. 125.

    A common European approach to Sovereign Wealth Funds, COM(2008) 115 final, 27 Feb. 2008, p.10.

  126. 126.

    Mandelson, Putting sovereign wealth in perspective, http://ec.europa.eu/commission_barroso/speeches_articles/sppm196_en.htm; see also Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 8.

  127. 127.

    13. Gesetz zur Änderung des Außenwirtschaftsgesetzes und der Außenwirtschaftsverordnung, 18 April 2099, BGBl. I, 770 pp. et seq.; see von Rosenberg/Hilf/Kleppe, Protektion statt offener Märkte?, BB 2009, pp. 831 et seq.; Seibt/Wollenschläger, Unternehmenstransaktionen mit Auslandsbezug nach der Reform des Außenwirtschaftsrechts, ZIP 2009, pp. 833 et seq.; Müller/Hempel, Änderungen des Außenwirtschaftsrechts zur Kontrolle ausländischer Investoren, NJW 2009, pp. 1638 et seq.; Krolop, Schutz vor Staatsfonds und anderen ausländischen Kapitalmarktakteuren unter Ausblendung des Kapitalmarktrechts?, ZRP 2008, p. 40.

  128. 128.

    Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 316; Müller-Ibold, Foreign Investment in Germany: Restrictions Based on Public Security Concerns and Their Compatibility with EU Law, EYIEL 1 (2010), p. 103; Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, p. 857; Wirtschaft kritisiert deutsche Abschottung, Börsen-Zeitung, 21 Aug. 2008; von Rosenberg/Hilf/Kleppe, Protektion statt offener Märkte?, BB 2009, p. 831; Voland, Freitag, der Dreizehnte – Die Neuregelungen des Außenwirtschaftsrechts zur verschärften Kontrolle ausländischer Investitionen, EuZW 2009, p. 519; see also Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, pp. 17 et seq.; O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, pp. 12 et seq.; Malone, Should the United States tax Sovereign Wealth Funds?, Boston U. Int’l. L.J. 26 (2008), pp. 172 et seq., referring to the US Foreign Investment and National Security Act of 2007.

  129. 129.

    Kern, Staatsfonds – Staatliche Auslandsinvestitionen im Aufwind, DBResearch, 18 Dec. 2007, p. 18; but also Raphaeli/Gersten, Sovereign Wealth Funds: Investment Vehicles for the Persian Gulf Countries, Middle East Quarterly, Spring 2008, pp. 45 et seq.

  130. 130.

    See, e.g., the list of German BITs, http://www.unctad.org/sections/ditepcbb/docs/bits_Germany.pdf; for more general information, see http://www.unctadxi.org/templates/Startpage____718.aspx.

  131. 131.

    For a proposal of a (new) multilateral agreement on investment see Fraktion BÜNDNIS 90/DIE GRÜNEN, Deutscher Bundestag, Drucksache 16/9612, 18 June 2008, p. 1.

  132. 132.

    See Das/Lu/Mulder/Sy, Setting up a Sovereign Wealth Fund: Some Policy and Operational Considerations, IMF Working Paper, August 2009, WP/09/179, p. 18.

  133. 133.

    On “investment protectionism” see Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, pp. 4 et seq., http://www.oecd.org/dataoecd/31/22/44231385.pdf.

  134. 134.

    For a “soft” solution see Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, pp. 41, 82.

  135. 135.

    See Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, p. 858, quoting Lawrence Summers; Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 14.

  136. 136.

    In the same sense see Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, pp. 10 et seq.

  137. 137.

    See Dolzer, For a Multilateral Investment Treaty: An Agenda for the Future, Sept. 2004, http://www.kas.de/proj/home/pub/37/1/year-2004/dokument_id-5281/index.html; Kläger, Einführung in das internationale Enteignungs- und Investitionsrecht, JuS 2008, p. 972.

  138. 138.

    See Sauvant/Maschek/McAllister, Foreign Direct Investment by Emerging Market Multinational Enterprises, the Impact of the Financial Crisis and Recession and Challenges Ahead, OECD, Dec. 2009, p. 13.

  139. 139.

    See Kläger, Einführung in das internationale Enteignungs- und Investitionsrecht, JuS 2008, p. 972; Krajewski/Ceyssens, Internationaler Investitionsschutz und innerstaatliche Regulierung, AVR 45 (2007), pp. 186 et seq.

  140. 140.

    Although there is evidently a “network” of multilateral as well as bilateral economic agreements concluded by various individual EU countries with third states, one might ask whether a solution at the supranational level would be more effective since this would also prevent distortion of competition between EU members; see Krolop, Schutz vor Staatsfonds und anderen ausländischen Kapitalmarktakteuren unter Ausblendung des Kapitalmarktrechts?, ZRP 2008, p. 44.

  141. 141.

    Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, p. 8, http://www.oecd.org/dataoecd/31/22/44231385.pdf; Houde, Novel Features in Recent OECD Bilateral Investment Treaties, quite similarly under primary EU law, in: OECD, International Investment Perspectives, 2006, pp. 149 et seq.; Yannaca-Small, Definition of Investor and Investment in International Investment Agreements, in: OECD, International Investment Law: Understanding Concepts and Tracking Innovations, 2008, pp. 38 et seq.; see Weller, Ausländische Staatsfonds zwischen Fusionskontrolle, Außenwirtschaftsrecht und Grundfreiheiten, ZIP 2008, p. 863; Hindelang, Direktinvestitionen und die Europäische Kapitalverkehrsfreiheit im Drittstaatenverhältnis, JZ 2009, p. 835; in respect of Australian law see Golding/Bassil, Australian Regulation of Investments by Sovereign Wealth Funds and State Owned Enterprises, 2008, pp. 6 et seq.

  142. 142.

    Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, p. 8, http://www.oecd.org/dataoecd/31/22/44231385.pdf; Kläger, Einführung in das internationale Enteignungs- und Investitionsrecht, JuS 2008, p. 973.

  143. 143.

    Draft Convention on the Protection of Foreign Property, http://www.oecd.org/dataoecd/35/4/39286571.pdf.

  144. 144.

    Draft Consolidated Text of April 1998, http://www1.oecd.org/daf/mai/pdf/ng/ng987r1e.pdf.

  145. 145.

    On the reversal of global capital flows see Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 7; on issues of legitimacy Sauvant/Maschek/McAllister, Foreign Direct Investment by Emerging Market Multinational Enterprises, the Impact of the Financial Crisis and Recession and Challenges Ahead, OECD, Dec. 2009; Sauvant/Maschek/McAllister, Foreign Direct Investment by Emerging Market Multinational Enterprises, the Impact of the Financial Crisis and Recession and Challenges Ahead, OECD, Dec. 2009, pp. 22 et seq.

  146. 146.

    See Terhechte, OPEC und europäisches Wettbewerbsrecht, 2008, pp. 46 et seq.

  147. 147.

    Published at http://www.iwg-swf.org/mis/kuwaitdec.htm.; see Nugée, SWFs’ Coming of Age: Unrivaled Titans to Uncertain Mortals, in: Hoguet/Nugée/Rozanov (eds.), Vision: Sovereign Wealth Funds. Emerging from the Financial Crisis, 2009, p. 7.

  148. 148.

    See Declaration, http://www.iwg-swf.org/mis/kuwaitdec.htm, Fn. 5 to D. – Structure of the Forum.

  149. 149.

    The same question was asked, but a different answer was given by Chalamish, Protectionism and Sovereign Investment post Global recession, OECD, Dec. 2009, p. 10, http://www.oecd.org/dataoecd/31/22/44231385.pdf.

  150. 150.

    See above, pp. 481 et seq.

  151. 151.

    Basic rules on “sector members” are laid down in Art. 3(1),(3) of this international treaty, http://www.itu.int/net/about/basic-texts/constitution/chapteri.aspx.

  152. 152.

    “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, see http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, p. 5 (Structure).

  153. 153.

    Quite similarly, Schneider, Die Santiago-Principles – am Problem vorbei, EuZW 2009, p. 553.

  154. 154.

    For differing views see, e.g., Seibt/Wollenschläger, Unternehmenstransaktionen mit Auslandsbezug nach der Reform des Außenwirtschaftsrechts, ZIP 2009, pp. 839 et seq.; European Parliament resolution of 9 July 2008 on SWFs, OJ 2009 C 294E, no. 6; Fraktion BÜNDNIS 90/DIE GRÜNEN, Deutscher Bundestag, Drucksache 16/9612, 18 June 2008, p. 2; although it seems quite remarkable that sec. 7(2) no. 6 in combination with sec. 7(1) no. 4 of the German Reform Act refers directly to the relevant provisions of the EC Treaty (Arts. 46 and 58 [1], i.e. now Arts. 52, 65 [1] TFEU), this relationship might not lead to sufficient legal clarity; see Voland, Freitag, der Dreizehnte – Die Neuregelungen des Außenwirtschaftsrechts zur verschärften Kontrolle ausländischer Investitionen, EuZW 2009, pp. 521 et seq.; also Müller/Hempel, Änderungen des Außenwirtschaftsrechts zur Kontrolle ausländischer Investoren, NJW 2009, p. 1640; for a rather liberal approach, see the “principles guiding consideration of foreign government related investment in Australia” of Feb. 2008, see Golding/Bassil, Australian Regulation of Investments by Sovereign Wealth Funds and State Owned Enterprises, 2008, pp. 11 et seq; but theory and practice seems to differ rather widely; see O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, pp. 15 et seq.

  155. 155.

    Since 1 December 2009, “foreign direct investment” has been part of the EU common commercial policy under Art. 207 TFEU; see Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 321; Tietje, Beschränkungen ausländischer Unternehmensbeteiligungen zum Schutz vor “Staatsfonds” – Rechtliche Grenzen eines neuen Interventionsprotektionismus, Dec. 2007, p. 8.

  156. 156.

    See Krajewski/Ceyssens, Internationaler Investitionsschutz und innerstaatliche Regulierung, AVR 45 (2007), pp. 196 et seq.

  157. 157.

    See Nugée, SWFs’ Coming of Age: Unrivaled Titans to Uncertain Mortals, in: Hoguet/Nugée/Rozanov (eds.), Vision: Sovereign Wealth Funds. Emerging from the Financial Crisis, 2009, p. 7; Mezzacapo, The so-called “Sovereign Wealth Funds”: regulatory issues, financial stability and prudential supervision, 2009, p. 71.

  158. 158.

    “Santiago Principles” of the International Working Group of Sovereign Wealth Funds, Oct. 2008, see http://www.iwg-swf.org/pubs/eng/santiagoprinciples.pdf, p. 6.

  159. 159.

    See above, pp. 481 et seq.

  160. 160.

    See Weiss, WTO-Streitbeilegung, in: Tietje (ed.), Internationales Wirtschaftsrecht, 2009, pp. 770, 783 and 787.

  161. 161.

    For more details, see Reinisch, Die Beilegung von Investitionsstreitigkeiten, in: Tietje (ed.), Internationales Wirtschaftsrecht, 2009, pp. 810 et seq.; see also Houde, Novel Features in Recent OECD Bilateral Investment Treaties, quite similarly under primary EU law, in: OECD, International Investment Perspectives, 2006, pp. 145 et seq.; Yannaca-Small, Definition of Investor and Investment in International Investment Agreements, in: OECD, International Investment Law: Understanding Concepts and Tracking Innovations, 2008, pp. 59 et seq.

  162. 162.

    See Krajewski/Ceyssens, Internationaler Investitionsschutz und innerstaatliche Regulierung, AVR 45 (2007), pp. 211 et seq.

  163. 163.

    Art. 55; see Schreuer, The ICSID Convention: A Commentary, 2001, pp. 1146 et seq.

  164. 164.

    See Malone, Should the United States tax Sovereign Wealth Funds?, Boston University Int’l. L.J. 26 (2008), pp. 180 et seq.; also 11th (OECD) Roundtable on Freedom of Investment, National Security and “Strategic” Industries, 7 Oct. 2009, Summary, nos. 4 et seq.

  165. 165.

    See, e.g., (German) Federal Constitutional Court, National Iranian Oil Company, 12 April 1983, BVerfGE 64, pp. 1 et seq.; US Sup. Ct., Republic of Argentina vs. Weltover, Inc., 12 June 1992, 504 U.S. 607 (1992).

  166. 166.

    See Enderlein, Zur rechtlichen Selbständigkeit sozialistischer staatlicher Unternehmen in den internationalen Wirtschaftsbeziehungen, RIW 1988, p. 334; also Malone, Should the United States tax Sovereign Wealth Funds?, Boston U. Int’l. L.J. 26 (2008), pp. 183 et seq.

  167. 167.

    See 11th (OECD) Roundtable on Freedom of Investment, National Security and “Strategic” Industries, 7 Oct. 2009, Summary, no. 9.

  168. 168.

    Rachman, Do not panic over foreign wealth, Financial Times, 29 April 2008; see also Abu Dhabi beteiligt sich mit fast 5 Prozent an Citigroup and commentary titled Ein Hoffnungszeichen, NZZ no. 277, 28 Nov. 2007; Abu Dhabis Staatsfonds Adia verklagt die Citigroup, NZZ no. 293, 17 Dec. 2009; Aizenmann/Glick, Sovereign Wealth Funds: Stylized Facts about their Determinants and Governance, 2008, p. 20; O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 3.

  169. 169.

    See Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 315; Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, pp. 12 et seq.; Der Schweizer Finanzplatz weckt das Interesse ausländischer Investoren, NZZ no. 288, 11 Dec. 2007; Verluste beim Staatsfonds GIC. Singapur hält an UBS fest, NZZ no. 226, 30 Sept. 2009.

  170. 170.

    Arabischer Einstieg bei Daimler willkommen, NZZ no. 69, 24 March 2009; Dem Emirat Katar gehören 10 Prozent an Porsche, NZZ no. 203, 3 Sept. 2009; Conti flirtet mit Kuwait, Wirtschaftswoche, 20 July 2009; also Kaufmann, Investoren als Invasoren, 2009, pp. 27 et seq.

  171. 171.

    See also Libyscher Staatsfonds steigt bei Wienerberger ein, NZZ no. 213, 15 Sept. 2009; Allianz mit libyschem Staatsfonds, NZZ no. 176, 3 Aug. 2009.

  172. 172.

    Zunehmende Integration der Staatsfonds in das Finanzsystem, NZZ no. 191, 20 Aug. 2009; Baumberger, Macht und Ohnmacht von Staatsfonds, NZZ no. 47, 26 Feb. 2008; Die arabischen Staatsfonds in der Krise, FAZ, 5 May 2009; see also Jost, Sovereign Wealth Funds – Size, Economic Effects and Policy reactions, HAW Diskussionspapier 13, Jan. 2009, p. 11.

  173. 173.

    Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 14; Schaumann/Kündig, Staatliche Investitionsfonds – wichtig und unumgänglich, NZZ no. 107, 7 May 2008; Nugée, SWFs’ Coming of Age: Unrivaled Titans to Uncertain Mortals, in: Hoguet/Nugée/Rozanov (eds.), Vision: Sovereign Wealth Funds. Emerging from the Financial Crisis, 2009, p. 6; Kern, Staatsfonds – Staatliche Auslandsinvestitionen im Aufwind, DBResearch, 18 Dec. 2007, p. 23.

  174. 174.

    For a profound analysis of existing rules, see Yannaca-Small, Essential Security interests under International Investment Law, in: OECD, International Investment Perspectives: Freedom of Investment in a Changing World, 2007, pp. 93 et seq.

  175. 175.

    Quite similarly, see Martini, Zu Gast bei Freunden?: Staatsfonds als Herausforderung an das europäische und internationale Recht, DÖV 2008, p. 322; BDI/BdB/GDVW, Gemeinsame Erklärung: Investitionsfreiheit und ausländische Staatsfonds, 31 Oct. 2007, http://www.bankenverband.de/print.asp?artid=2215&channel=133810; Hesse, Regeln für Staatsfonds, Süddeutsche Zeitung, 19 Jan. 2008; Gnath, Die unbekannte Macht der Staatsfonds, DGAPstandpunkt, Oct. 2007, no. 7, pp. 1 et seq.; Beck/Fidora, The impact of sovereign wealth funds on global financial markets, ECB Occasional Paper 91, 2008, p. 24; FDP-Fraktion, Deutscher Bundestag, Drucksache 16/6997, 7 Nov. 2007, p. 4; O’Brien, Barriers to Entry: Foreign Direct Investment and the Regulation of Sovereign Wealth Funds, Sept. 2008, p. 25.

  176. 176.

    See Mandelson, Putting sovereign wealth in perspective, http://ec.europa.eu/commission_ barroso/speeches_articles/sppm196_en.htm; see also Hildebrand, The Challenge of Sovereign Wealth Funds, International Center for Monetary and Banking Studies, Geneva, 18 Dec. 2007, http://www.snb.ch/en/mmr/speeches/id/ref_20071218_pmh/source/ref_20071218_pmh.en.pdf, p. 8.

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    Ludwig Gramlich

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    Jörg Philipp Terhechte

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Gramlich, L. (2011). An International Normative Framework for Sovereign Wealth Funds?. In: Herrmann, C., Terhechte, J. (eds) European Yearbook of International Economic Law 2011. European Yearbook of International Economic Law(), vol 2. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-14432-5_3

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