Sovereign Wealth Funds Raise Questions At SEC

Law360, New York (February 7, 2008, 12:00 AM EST) -- Sovereign wealth funds participating in U.S. capital markets may prove difficult for U.S. officials to regulate, the U.S. Securities and Exchange Commission's top enforcer told a bipartisan panel Thursday.

Linda Chatman Thomsen, SEC enforcement division director, said sovereign wealth funds, which are controlled by a foreign government, could find it relatively easy to engage in insider trading or other market abuses.

As government entities, sovereign wealth funds may have access to information not publicly available, and would then be able to use that knowledge to engage...
To view the full article, register now.