A few quotes, for those too busy to read - including some SWEET NUMBERS
"Six Gulf states - Abu Dhabi, Dubai, Kuwait, Oman, Qatar, and Saudi Arabia - account for nearly half of the world's sovereign wealth fund assets. They control some $1.7 trillion, as much as all of the hedge funds in the world and more than the $1trillion private equity industry - and Morgan Stanley predicts the total will grow by about $400 billion annually over the next sevaral years."
“The fund managers insist that Western businessmen and politicians have nothing to fear. Al Sa'ad ticks off a well-rehearsed list of reasons why CEOs should rejoice at the prospect of having Kuwait as a major shareholder. Reason 1: His fund will agree to multiyear lockups, providing long-term capital. Reason 2: Al Sa'ad expresses concerns to CEOs behind closed doors, not in the press. ‘If I were a CEO, I'd look for stability,’ he says. “
“Wall Street veterans worry in particular that Gulf funds are moving too far, too fast into private equity. Buying and running companies is vastly different from taking passive stakes in them. Even seasoned pros like Henry Kravis of Kohlberg Kravis Roberts have trouble managing a company when its industry hits the skids, debt payments become untenable, and key people jump ship.”
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