Sovereign wealth funds have stormed into the headlines for obvious reasons as of late. Here's a stunning prediction: A Morgan Stanley economist says that the wealth these funds control just might exceed official country reserves. Clearly, they are a force to be reckoned with in the financial markets. They seem poised to take globalization to a new level. Financial News Online notes Russia launched a $32 billion fund recently. Japan is poised to setup a fund that likely will be the world's largest. Is it inevitable that these funds become tools of state? In some cases this may be a benign occurrence; consider the Norway fund. But in others, people aren't so sure.  

For more:
- here's the Financial News Online article

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