TY - JOUR
T1 - Temptation and the virtues of long-term commitment
T2 - the governance of sovereign wealth fund investment
AU - Clark, Gordon L.
AU - Knight, Eric R. W.
PY - 2011/6/14
Y1 - 2011/6/14
N2 - In this article we look at the governance of SWFs from the perspective of the competing political interests embedded in the sponsor-the domestic political claims on funds and the principles and practice of governance used to discipline those interests in favour of a long-term perspective that emphasizes the conservation of wealth and the intergenerational transfer of benefits. Using the case-study of the Australian SWF known as the Future Fund, we argue that SWFs can be used as legal instruments to promote the interests of future generations. In this way, it puts into action the principle of intergenerational equity which has been hereto notoriously difficult to substantively apply in international law. By invoking the intergenerational principle, we argue that the Australian government not only responded to the legal challenges of implementing intergenerational equity but also contributed to its currency as a customary norm.
AB - In this article we look at the governance of SWFs from the perspective of the competing political interests embedded in the sponsor-the domestic political claims on funds and the principles and practice of governance used to discipline those interests in favour of a long-term perspective that emphasizes the conservation of wealth and the intergenerational transfer of benefits. Using the case-study of the Australian SWF known as the Future Fund, we argue that SWFs can be used as legal instruments to promote the interests of future generations. In this way, it puts into action the principle of intergenerational equity which has been hereto notoriously difficult to substantively apply in international law. By invoking the intergenerational principle, we argue that the Australian government not only responded to the legal challenges of implementing intergenerational equity but also contributed to its currency as a customary norm.
UR - http://www.scopus.com/inward/record.url?scp=84855246285&partnerID=8YFLogxK
U2 - 10.1017/S204425131000007X
DO - 10.1017/S204425131000007X
M3 - Article
AN - SCOPUS:84855246285
SN - 2044-2513
VL - 1
SP - 321
EP - 348
JO - Asian Journal of International Law
JF - Asian Journal of International Law
IS - 2
ER -