Global Fund Management-US Hegemony and Bail-Out Strategies

Today's tribe of global fund managers claim that they can beat the market and flaunt their expertise in sophisticated asset-allocation and risk-return strategies. Yet puzzlingly, in several countries over the past few years the fund managers have continued to pour in funds, ignoring the disturbing signals about the state of these economies that were coming out Clearly, the global fund managers could not have behaved as they did unless they were sure that they would be protected against the consequences of their miscalculations and misjudgments. To extend such protection is the purpose of the rescue packages and bail-out strategies so that the near-default crises in the borrowing countries and the imposition of conditionalities provide a bonanza for the global investment hankers and the fund managers who can go on playing their games as they have always played them, safe in the knowledge that they would be rescued, if and when necessary.