Connecting the Dots
George Soros recently announced the closing of his hedge-fund and his plans now to focus on running his own family office. A public philanthropist, Soros has donated over $8 billion within the last 30 years, a significant portion to the nonprofit MoveOn.org. MoveOn.org is funded solely by individuals and is recognized for its support of progressive causes (its website says “we work together to realize the progressive promise of our country”). A component of that agenda includes lobbying for more and better laws/regulations to protect consumers. The 2010 Dodd-Frank legislation incorporated a host of regulatory actions, including greater oversight on hedge funds.
What is most ironic is that Soros, in closing his hedge fund (which will result in job losses), cited the burden of increased regulation as the catalyst for his actions. Think about that for a moment, in the context of the job situation in the United States. Then consider the impact across all other industries. Connecting the dots is unsettling.
We welcome all comments.
Robert M. Bilkie Jr., CFA