When Zhou Enlai, the former Chinese premier, was asked about the effect of the French revolution over 150 years after its conclusion, he replied: “It’s too early to say.” While few investors in 2008 have investment horizons of that duration, vestiges of this type of long-term thinking are displayed by the capital markets phenomenon of the first decade of the 21st century, the sovereign wealth funds. Western companies should embrace and reward the SWFs’ interest.

The past 25 years have seen dramatic advances in the development of the global marketplace. Companies are more global, capital is traded more freely and investing institutions can seek opportunities far outside their own borders. There are many tangible benefits.