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Trump says ‘very dangerous’ for UK to do business with China, after Starmer hails progress in Beijing

US president warns Keir Starmer over closer ties with China during British PM’s trip to secure lower tariffs and better access to Chinese market

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Jan 29 • 11:32 PM EST • Business • theguardian.com
Basil Talbott Jr., legendary Chicago Sun-Times political editor, has died

Talbott, 89, was known for his dogged pursuit of the story, chronicling in depth the political fortunes of Jane Byrne, the city’s first female mayor, Harold Washington, Chicago’s first Black mayor and the run-ups to the Rev. Jesse Jackson’s presidential campaigns.

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Jan 29 • 9:20 PM EST • Politics • chicago.suntimes.com
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Trump reportedly says 'very dangerous' for UK to do business with China as Starmer looks to mend ties

Starmer is on a 4-day visit to China this week, the first trip by a British leader in eight years, signaling an attempt at resetting the bilateral ties.

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Jan 29 • 8:58 PM EST • Business • cnbc.com
Eugene business owners grapple with decision to open or close for Friday’s general strike

The general strike protesting federal law enforcement crackdowns leave business owners contemplating what action is best: close in solidarity or stay open to be of service.

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Jan 29 • 7:56 PM EST • Business • klcc.org
California Democrats help lead counter-offensive against Trump immigration crackdown

Democrats seized on a growing sense, shared by some Republicans, that the campaign has gotten so out of hand that the political winds have shifted heavily in their favor.

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Jan 29 • 7:04 PM EST • Politics • latimes.com
Senate Democrats and White House strike deal to avert shutdown, continue ICE debate

The deal could be approved by the Senate as early as Thursday night, but would still need House approval before midnight Friday to avert another government shutdown.

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Jan 29 • 7:02 PM EST • Politics • latimes.com
Google adds Video Overviews to NotebookLM app on Android, iOS

NotebookLM is adding Video Overviews support and the ability to customize Infographics to the Android and iOS apps.

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Jan 29 • 5:54 PM EST • Technology • 9to5google.com
Sam Raimi shares 'Doctor Strange 2' scene that made him want to work with Rachel McAdams again

Without 'Doctor Strange in the Multiverse of Madness,' 'Send Help' would've looked a lot different. Director Sam Raimi and star Rachel McAdams explained how Marvel was their stepping stone to the survival horror movie.

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Jan 29 • 5:53 PM EST • Entertainment • ew.com
Chicago business leader launches Bear Down Community Investment Group to spur regional economic development

Bear Down Community Investment Group will focus on housing, workforce training and economic development across the Greater Chicago region, with plans to eventually go nationwide.

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Jan 29 • 5:45 PM EST • Business • chicago.suntimes.com
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James Cameron was once asked to deal cocaine to film crew: 'What do I do with this stuff?'

James Cameron says that he was once asked to deal cocaine and amphetamines to a film crew: 'That was just how things were done.'

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Jan 29 • 5:34 PM EST • Entertainment • ew.com
Pitt launches $25M biomedical institute to bring space science from orbit to the operating room

The University of Pittsburgh officially launched a $25 million biomedical institute Thursday aimed at bridging human health on Earth and in space. The Trivedi Institute for Space and Global Biomedicine is one of the first dedicated institutes focused on applying insights from spaceflight to improve human health on Earth, according to Pitt.

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Jan 29 • 5:23 PM EST • Science • wesa.fm
Minnesota shooting blurs political lines around guns : The NPR Politics Podcast

Alex Pretti was carrying a permitted gun when he had a confrontation with federal agents who ultimately shot and killed him. While the Trump administration pointed to his gun as a reason for agents to fear for their safety, pro-gun groups argued Pretti had a right to carry. We discuss the rhetoric around guns and how marginalized communities in Minneapolis have been increasingly turning toward gun ownership.This episode: senior White House correspondent Tamara Keith, domestic extremism correspondent Odette Yousef, and senior political editor and correspondent Mara Liasson.This podcast was produced and edited by Lexie Schapitl and Bria Suggs.Our executive producer is Muthoni Muturi.Listen to every episode of the NPR Politics Podcast sponsor-free, unlock access to bonus episodes with more from the NPR Politics team, and support public media when you sign up for The NPR Politics Podcast+ at plus.npr.org/politics.

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Jan 29 • 4:15 PM EST • Politics • npr.org
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Science Community Weighs in on Federal Plans to Accelerate US Innovation

Science groups call for stable funding and streamlined regulations.

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Jan 29 • 3:45 PM EST • Science • aip.org
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'New evidence' gives Jordan Chiles a chance to secure the return of her Olympic bronze medal

Switzerland's highest court has sent the case of Jordan Chiles' disputed bronze medal from the 2024 Paris Olympics back to the CAS based on 'new evidence' that might prove favorable for the U.S. gymnast.

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Jan 29 • 3:15 PM EST • Sports • latimes.com
Ohio political blog 'The Rooster' banned from X after criticizing DHS Secretary Kristi Noem

The blog's author, D.J. Byrnes of Columbus, wrote that Noem "will have to die in prison. No other way around it." The social media platform banned Byrnes for violent speech and abuse.

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Jan 29 • 3:10 PM EST • Politics • wosu.org
Dispute over the Olympic medal stripped from US gymnast Jordan Chiles goes back to Swiss court

A gymnastics medal disputed by the United States and Romania at the 2024 Paris Olympics is heading for a fresh legal review in a Swiss court.

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Jan 29 • 2:23 PM EST • Sports • cnn.com
Google gives Pixel Tablet another two years of Android OS updates

Google’s mostly-forgotten Pixel Tablet is getting a new lease on life, as the company is giving its one and only...

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Jan 29 • 2:22 PM EST • Technology • 9to5google.com
Cubs TV voice Jon 'Boog' Sciambi tops sixth annual Chicago sports media power rankings

I ranked the market’s talent exclusively on TV, radio and podcasts based on appeal, quality, longevity and personal preference. Well over 100 people were considered, and the top 20 follow, with last year’s rank in parentheses.

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Jan 29 • 2:20 PM EST • Sports • chicago.suntimes.com
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Medicare Advantage insurers face new curbs on overcharges in Trump plan

Federal officials have a plan that could curb billions of dollars in overpayments to Medicare Advantage plans. But will they follow through on it?

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Jan 29 • 1:58 PM EST • Health • npr.org
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Samsung’s confusing Galaxy S26 pricing raises base model cost, but makes Ultra cheaper

New reports reveal that Samsung is, in fact, planning to raise the price of the Galaxy S26 series, but only...

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Jan 29 • 12:54 PM EST • Technology • 9to5google.com
Mistakes family made visiting Puerto Rico for first time; travel tips

I made mistakes when planning and budgeting for our family's first trip to Puerto Rico. Here's what I'd do next time we visit the Caribbean island.

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Jan 29 • 12:11 PM EST • Business • businessinsider.com
Microsoft is working to rebuild trust in Windows

2026 is all about improving Windows

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Jan 29 • 12:00 PM EST • Technology • theverge.com
What happened when Starmer met Xi Jinping?

Pippa Crerar joins Kiran Stacey from Beijing as she follows Keir Starmer on his historic trip to China

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Jan 29 • 11:09 AM EST • Politics • theguardian.com
🙂 Positive (33%)
Hill Country floods are worsening mental health issues in Kerr County, report finds

In Kerr County, the July 4 flood is expected to quadruple serious emotional disturbances in children and more than triple adult PTSD cases this year.

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Jan 29 • 11:05 AM EST • Health • texastribune.org
Galaxy Z TriFold seemingly won’t allow trade-ins, as it briefly went up for sale early

Samsung announced earlier this week that the Galaxy Z TriFold would be available for purchase in the United States on...

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Jan 29 • 10:40 AM EST • Technology • 9to5google.com
This ring watch squeezes in heart rate, sleep, and fitness tracking

Put a ring on it.

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Jan 29 • 9:47 AM EST • Technology • theverge.com
Introducing Moltworker: a self-hosted personal AI agent, minus the minis

Moltworker is a middleware Worker and adapted scripts that allows running Moltbot (formerly Clawdbot) on Cloudflare's Sandbox SDK and our Developer Platform APIs. So you can self-host an AI personal assistant — without any new hardware.

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Jan 29 • 9:00 AM EST • Technology • blog.cloudflare.com
Stop killing your SSD: 6 must-do Windows 11 tweaks

Follow these tips for a long-lasting SSD!

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Jan 29 • 9:00 AM EST • Technology • pcworld.com
San José Mayor Matt Mahan, a Newsom critic and political moderate, is running to become California's next governor

San José Mayor Matt Mahan announced he is running for California governor, joining an already crowded field.

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Jan 29 • 9:00 AM EST • Politics • latimes.com
Amtrak coach vs. business class comparison: seats, perks, experience

Here's how traveling on Amtrak's Northeast Regional train in coach compares to an Acela business-class trip.

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Jan 29 • 8:43 AM EST • Business • businessinsider.com
🙂 Positive (50%)
Science Forum 1/29/26

The experts are back to take your science questions! Ray Graf hosts.

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Jan 29 • 8:42 AM EST • Science • wamc.org
CHOP celebrates placing of final beam for Roberts Children's Health expansion

On Wednesday, the Children’s Hospital of Philadelphia lifted the final beam of its new Roberts Children’s Health expansion into place.

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Jan 29 • 8:14 AM EST • Health • nbcphiladelphia.com
New study shows WVU, WVU Health System have huge impact on West Virginia

President Michael T. Benson and Albert L. Wright, Jr. share details from the Tripp Umbach Economic Impact Report.

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Jan 29 • 8:01 AM EST • Health • enews.wvu.edu
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More naming opportunities planned for Altru Sports Complex; first part of Phase 2 expected to bid in April

The Grand Forks Park District is looking at options for other naming rights in the facility to help fundraise for the project.

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Jan 29 • 8:01 AM EST • Sports • grandforksherald.com
Jake Bird’s adjustments could give him a second chance

The right-hander was awful for the Yankees, both in MLB and Triple-A, but has tons of room to improve.

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Jan 29 • 8:00 AM EST • Sports • pinstripealley.com
Should you update to the new Pages, Numbers, Keynote, and Freeform on Mac?

Yesterday’s launch of Apple Creator Studio (ACS) created a certain amount of confusion for Mac users not planning to subscribe....

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Jan 29 • 7:20 AM EST • Technology • 9to5mac.com
There won’t be a Nothing Phone 4 this year

CEO Carl Pei says there’s no new flaghip on the way, but teased improvements for the 4A series instead.

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Jan 29 • 7:16 AM EST • Technology • theverge.com
Innovators removing barriers to health care, accelerating impact on communities in need

DALLAS, Jan. 29, 2026 — Driven by an older, more diverse population and a significant increase in risk factors, at least 6 in 10 U.S. adults are projected to have some form of cardiovascular disease, causing related health care costs to triple.[1] That’s...

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Jan 29 • 7:00 AM EST • Health • newsroom.heart.org
Nearly 2,000 Products Recalled in 3 States After Being Exposed to Rodent Waste—FDA Issues Risk Warning

Diet Coke, Hershey's, and Tylenol are among the many popular products under recall. They were held in a facility with rodent and bird waste.

health.com logo
Jan 29 • 7:00 AM EST • Health • health.com
CU Athletics Announces Partnership with Sports Business Ventures to Launch 1:1 Sports Executive Mentorship Program - University of Colorado Athletics

The Scripps Student-Athlete Leadership and Career Development program is excited to announce a new partnership with Sports Business Ventures (SBV) to launch ...

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Jan 29 • 7:00 AM EST • Sports • cubuffs.com
CU Athletics Announces Partnership with Sports Business Ventures to Launch 1:1 Sports Executive Mentorship Program - University of Colorado Athletics

The Scripps Student-Athlete Leadership and Career Development program is excited to announce a new partnership with Sports Business Ventures (SBV) to launch ...

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Jan 29 • 7:00 AM EST • Business • cubuffs.com
Where Eagles' pending free agents rank on NFL-wide lists

The Eagles have some big-name free agents this year. Here’s a look at where they rank among the entire NFL.

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Jan 29 • 7:00 AM EST • Sports • nbcsportsphiladelphia.com
Women's sports fans will have a new place to hang out with opening of Level Sporting Club

Founded by former Northwestern basketball player Clarissa Flores, the bar will be near the heart of sports bars crowding around Wrigley Field.

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Jan 29 • 7:00 AM EST • Sports • chicago.suntimes.com
Friends talk politics for the first time: Alondra and Bailey take One Small Step

Alondra Rivas-Jimenez, 20, and Bailey Newcomb, 21, met in the spring of 2024 while interning at an advertising agency and built a friendship. The two sat down to talk politics for the first time in their friendship.

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Jan 29 • 6:31 AM EST • Politics • cfpublic.org
Trump directs team to beef up his public schedule to combat questions about his stamina

Vague descriptions of presidential signing ceremonies, policy meetings and industry executive sit downs — mostly behind closed doors — began peppering President Donald Trump’s public schedule at the end of last year.

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Jan 29 • 6:00 AM EST • Politics • cnn.com
Commentary: Farewell to Peter Duesberg, a godfather of scientific disinformation

Peter Duesberg squandered his scientific reputation by advancing a debunked theory about AIDS, but his influence on anti-vaccine activists lives on.

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Jan 29 • 6:00 AM EST • Science • latimes.com
Doctors warn frostbite risk rising as dangerous cold grips the DC region

As extreme cold hits the D.C. area, experts explain how frostbite affects blood flow, early warning signs and what to do to prevent serious injury.

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Jan 29 • 3:57 AM EST • Health • wtop.com
Iconic sports bar in Palo Alto reopens and prepares for the Super Bowl

Businesses are getting ready for big crowds and watch parties; that includes an iconic spot in Palo Alto that just reopened in time for the Super Bowl.

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Jan 29 • 2:22 AM EST • Sports • nbcbayarea.com
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Matt Damon and Ben Affleck in ‘The Rip’
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Jan 28 • 9:34 PM EST • Entertainment • cnn.com
Convicted sex offender tried to rape a woman in a business, police said. They're searching for other victims

Convicted sex offender arrested for attempted rape inside DTLA business, captured in Skid Row

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Jan 28 • 7:24 PM EST • Business • latimes.com
Plain Talk: 'Politics is noise'

On this Plain Talk, we were joined by outgoing North Dakota House Majority Leader Mike Lefor and Democratic-NPL U.S. House candidate Trygve Hammer.

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Jan 28 • 7:02 PM EST • Politics • inforum.com
Older adults’ driving habits offer window into brain health, cognitive decline

Research Highlights: A study of over 200 adults followed for five years found that greater white matter damage in the brain was linked to decreased driving, fewer trips, repetitive routes and having more driving errors, especially in those who later ...

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Jan 28 • 7:00 PM EST • Health • newsroom.heart.org
Halide co-founder Sebastiaan de With is joining Apple’s design team

A new role for de With.

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Jan 28 • 6:59 PM EST • Technology • theverge.com
Windows 11 has reached 1 billion users faster than Windows 10

Windows 11 hits a big milestone

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Jan 28 • 6:17 PM EST • Technology • theverge.com
‘I touch the future. I teach.’: A science teacher’s quest to honor Christa McAuliffe

Former Goffstown High School science teacher Phil Browne recalls how he tried to preserve McAuliffe’s legacy with his students.

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Jan 28 • 6:11 PM EST • Science • nhpr.org
Seven things to know about how Apple's Creator Studio subscriptions work

For the Mac versions of pro apps, things aren't actually changing much (yet).

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Jan 28 • 4:53 PM EST • Technology • arstechnica.com
These two viruses may become the next public health threats, scientists say

Two emerging pathogens with animal origins—influenza D virus and canine coronavirus—have so far been quietly flying under the radar, but researchers warn conditions are ripe for the viruses to spread ...

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Jan 28 • 4:00 PM EST • Health • medicalxpress.com
Trump's response to Pretti killing upends Second Amendment politics : Here & Now Anytime

Alex Pretti was legally carrying a gun when a federal agent shot and killed him in Minneapolis last weekend. President Trump and other federal officials blamed his death on the fact that he had a gun, but Minnesota Gun Owners Caucus chair Bryan Strawser explains why he disagrees.And, after leading immigration operations in Minneapolis, Border Patrol Commander Gregory Bovino has returned to his previous job in California. CalMatters investigative reporter Sergio Olmos talks about Bovino’s record in California.

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Jan 28 • 3:57 PM EST • Politics • npr.org
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Internal review contradicts Trump administration on Alex Pretti shooting : The NPR Politics Podcast

An initial internal review into federal immigration officers’ fatal shooting of Alex Pretti in Minneapolis last weekend contradicts the description of the incident by Homeland Security Secretary Kristi Noem. We discuss President Trump’s shifting messages on immigration policy and how his administration’s efforts to restrict legal immigration pathways are changing the political environment. This episode: senior White House correspondent Tamara Keith, immigration policy correspondent Ximena Bustillo, and senior political editor and correspondent Domenico Montanaro.This podcast was produced by Bria Suggs and Lexie Schapitl, and edited by Rachel Baye.Our executive producer is Muthoni Muturi.Listen to every episode of the NPR Politics Podcast sponsor-free, unlock access to bonus episodes with more from the NPR Politics team, and support public media when you sign up for The NPR Politics Podcast+ at plus.npr.org/politics.

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Jan 28 • 3:34 PM EST • Politics • npr.org
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Nothing Phone (4a) Pro surfaces with bigger battery as launch nears

The Nothing Phone (4a) Pro has surfaced ahead of its launch, with a bigger battery seemingly in tow for the device.

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Jan 28 • 2:45 PM EST • Technology • 9to5google.com
Henry Cavill suits up for eternal battle in first look at long-gestating 'Highlander' reboot

After a long wait, Henry Cavill shares the first look at his turn as Connor MacLeod in Chad Stahelski's upcoming 'Highlander' reboot: 'This has been quite the journey for me.'

ew.com logo
Jan 28 • 2:10 PM EST • Entertainment • ew.com
Google confirms ‘Take a Message’ microphone bug, disabling on old Pixel phones

For a small number of users, the Pixel Phone app’s “Take a Message” feature inadvertently sent audio to the caller...

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Jan 28 • 1:52 PM EST • Technology • 9to5google.com
Everyone wants to copy the iPhone Fold; Honor developing its own ‘wide’ foldable too

The Android world is bracing for the debut of the first foldable from Apple, expected to be the “iPhone Fold.”...

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Jan 28 • 1:30 PM EST • Technology • 9to5google.com
Pixelmator Pro launches on iPad, here’s what the new app can do

Today Pixelmator Pro has launched on iPad for the first time, exclusive to Apple Creator Studio. Here’s what the app can do.

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Jan 28 • 1:27 PM EST • Technology • 9to5mac.com
Ray J says he has only a short time left to live after hospitalization: 'Heart is only beating, like, 25 percent'

Ray J says he was notified by doctors that he only has a short time left to live after his recent hospitalization: 'My heart is only beating, like, 25 percent.'

ew.com logo
Jan 28 • 1:15 PM EST • Entertainment • ew.com
Windows 11 will support resuming Spotify, web browsing, and other apps from Android

Microsoft might’ve ditched Android apps in Windows 11 a couple of years ago, but that doesn’t mean it’s abandoned cross-platform...

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Jan 28 • 1:13 PM EST • Technology • 9to5google.com
What is HRV? What the smartwatch and Oura ring metric can really tell...
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Jan 28 • 1:06 PM EST • Health • nypost.com
Disney Entertainment Television Unveils 2026 Directing & Writing Program Participants

EXCLUSIVE: Disney Entertainment Television has chosen its participants for the 2025-26 Directing and Writing Programs, talent development initiatives which connect emerging writers and directors with opportunities across DET’s scripted and unscripted television slate. “This year’s cohorts reflect the bold, original voices that will help shape the next era of television,” said Tim McNeal, senior vice …

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Jan 28 • 1:00 PM EST • Entertainment • yahoo.com
NFL Hall of Fame snubs Bill Belichick and sports world is gagged: 'I can't be reading this right'

Sports figures from Patrick Mahomes to LeBron James expressed shock and outrage after news broke that Bill Belichick failed to gain Hall of Fame election on his first ballot.

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Jan 28 • 12:25 PM EST • Sports • latimes.com
Searows: ‘Death in the Business of Whaling’ review

Searows' sophomore album Death in the Business of Whaling is an expertly crafted collection of songs. The album is sure to please fans of Phoebe Bridgers, Ethel Cain or Iron & Wine.

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Jan 28 • 11:52 AM EST • Business • iowapublicradio.org
Manu Ginobili among backers of new planned sports performance project in South Florida

Manu Ginobili is investing in South Florida’s potential with a new venture. The former San Antonio Spurs star is part of a group building the Sports Performance Hub in Homestead, Florida. It’ll be a next-generation sports, education and community development project. It will feature a 10,000-seat stadium for Miami FC, sports training facilities, a basketball facility, a boarding school and more. Groundbreaking is set for March, with plans to open in 2028. Ginobili, along with partners like Riccardo Silva and Juan Sebastian Veron, aims to connect sports training with academics. They believe Miami’s multicultural environment makes it an ideal location.

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Jan 28 • 11:36 AM EST • Sports • nbcmiami.com
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Google Pixel’s Tensor chip said to help weather a rocky smartphone market in 2026

A new report forecasts the smartphone chipset market through 2026, and claims that Google’s efforts in building Tensor for Pixel...

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Jan 28 • 11:05 AM EST • Technology • 9to5google.com
Here's what to know about the $50 billion states are getting for rural health

To satisfy Republicans opposed to last summer's cuts to health care, the Trump administration launched an ambitious 5-year initiative known as the Rural Health Transformation Program.

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Jan 28 • 10:47 AM EST • Health • npr.org
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Galaxy S26 Qi2 25W wireless charger is a MagSafe puck, hints you’ll still need a case

It’s no secret that the Galaxy S26 series is rumored to add Qi2 magnets to the device itself, but if...

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Jan 28 • 10:40 AM EST • Technology • 9to5google.com
Leak shows Google's new Aluminium OS in action for the first time

In screenshots and videos, we get a first peek at Google's new operating system that combines Android and ChromeOS.

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Jan 28 • 10:26 AM EST • Technology • pcworld.com
Apple Creator Studio launches today, and it's an incredible value

Two weeks ago, Apple announced its brand new Apple Creator Studio bundle, offering its suite of creative apps for a...

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Jan 28 • 9:19 AM EST • Technology • 9to5mac.com
Gemini details AI Plus limits, rolls out NotebookLM integration on iOS

Google brought the AI Plus subscription to the US yesterday, and here’s how it upgrades usage limits in the Gemini app.

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Jan 28 • 9:05 AM EST • Technology • 9to5google.com
Send Help is an ode to every worker who has had a bad boss

The scariest thing about Sam Raimi’s latest is how relatable it can feel.

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Jan 28 • 9:00 AM EST • Entertainment • theverge.com
Apple Creator Studio is now available for $13 per month: What's included and what it means for creators

Pay monthly or $129 annually for the new subscription bundle that includes a number of Apple's creative apps.

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Jan 28 • 8:00 AM EST • Technology • engadget.com
The White House’s shocking lies about Minneapolis

Never forget how this administration misled you.

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Jan 28 • 7:15 AM EST • Politics • vox.com
Barry Keoghan Is Nearly Unrecognizable with Long Hair in London, Plus Halle Berry, King Charles, Queen Camilla and More

Barry Keoghan is nearly unrecognizable with long hair in London, plus Halle Berry, King Charles, Queen Camilla and more. From London to Los Angeles, and everywhere in between, see what your favorite stars are up to.

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Jan 28 • 7:00 AM EST • Entertainment • people.com
What Happens to Your Body When You Take Vitamin D Supplements Every Day Long Term?

A daily vitamin D supplement can support bone strength, muscle function, and balance—especially in people who are vitamin D deficient.

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Jan 28 • 7:00 AM EST • Health • health.com
Leaker makes unlikely claim about improved iPhone 18 telephoto lens

A leaker better known for posting about Android smartphones has made a claim potentially pointing to improved telephoto performance in...

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Jan 28 • 6:56 AM EST • Technology • 9to5mac.com
As the U.S. bids adieu to the World Health Organization, California says hello

In the wake of the U.S. withdrawal from WHO, California is the first state to participate in the agency's disease monitoring network. Are others following?

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Jan 28 • 6:47 AM EST • Health • npr.org
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Windows 11’s ability to resume Android apps on your PC is getting closer

The feature is now in Release Preview testing

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Jan 28 • 6:18 AM EST • Technology • theverge.com
Why comedian Katherine Ryan won't make fun of her kids on stage: 'I don't wanna get Brooklyn Beckhamed'

The British-Canadian comedian says she steers clear of making any of her five children the punchline for fearing of stirring up Beckham-style family drama.

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Jan 28 • 6:00 AM EST • Entertainment • latimes.com
Expiration of federal health insurance subsidies: What to know in California

Thousands in California who rely on the state-run health insurance marketplace face premiums that are thousands of dollars higher as federal subsidies expire.

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Jan 28 • 6:00 AM EST • Health • latimes.com
Investment and Statecraft: The International Politics of Sovereign Wealth Funds - Georgetown Journal of International Affairs

In 1953, Kuwait established the world’s first sovereign wealth fund to invest the country’s oil revenues and generate returns that would reduce its reliance on a single resource. Since then, over 100 separate funds have been created to preserve national wealth and ensure long-term fiscal sustainability. Today, they manage over $10 trillion in global assets. In this discussion with GJIA, political economist Kathryn Lavelle explains the increasingly novel dynamics that surround fund behavior and what the world can come to expect from their growing presence in international financial markets. GJIA: When it comes to the roles sovereign wealth funds (SWFs) play in global markets and politics, what would you say makes them unique? Kathryn Lavelle: Sovereign wealth funds (SWFs) operate on behalf of governments as investors. That in itself is a strange relationship. Within them, a core contest takes place between the state’s interests (or sovereign) part of the dynamic, and the money interests (or wealth) part of it, and these two aspects are frequently in contradiction, serving fundamentally different goals. SWFs are also quite fascinating because when you talk to the people who manage these funds, they have an interest in convincing you that the decisions are made almost exclusively on a financial basis—they really will go to great lengths to differentiate their government owners and those who make the management decisions. At the same time, these people ultimately answer to someone in power. Therefore, for most SWFs, it remains deeply unclear who is actually making the investment decisions and for what purposes. Of course, it is not always clear how other vehicles, such as hedge funds and private equity make the decisions they do, but I think what a lot of people find particularly disconcerting about SWFs is that they seem to act on behalf of people who have a different identity from their own. People who could be trying to manipulate politics and markets in a way that would have a long-term effect on their own populations. Regular investors come and go at will, and they only share an interest in profit as far as most of us understand. However, SWFs have that extra “sovereign” part right behind them that obscures their true interest. GJIA: These funds can be found in countries all across the globe, in both authoritarian states and democracies. Would you say SWFs differ in their goals and structures between regime-type? KL: It is not necessarily regime type that makes the goals and structures of SWFs different. It has to do with their economies. Let’s look at a country like China. There’s going to be a debate about exactly how to characterize the regime, but it is a country with many different kinds of sovereign wealth funds, and a particularly opaque state connection to each. At one time, some of the state-owned Chinese oil companies created specialized investment vehicles listed outside Chinese markets that excluded parts of the firms that were more associated with human rights violations. At the same time, the China Investment Corporation (CIC)­—China’s largest SWF—draws a lot of concern, not necessarily because of its investment activities, but because of the dynamics of global politics. So, I wouldn’t really tie differences to regime types themselves in a wholesale way, but rather to how such funds are perceived and how they are structured. Saudi Arabia’s SWF is getting all kinds of attention for its involvement in Hollywood, and this takes me right back to when I was a student in the 1980s, when people were concerned about Japanese investment entities buying assets in Hollywood. They aren’t quite the same in financial terms, but it’s the same kind of concern about foreign investment that drives people to be suspicious, and the whole idea that “foreigners are influencing Hollywood.” This holds true across industries, and it reflects where politics are in places like the United States right now. One metric we can try to look at is transparency, where all the funds will tell you, “we are transparent.” The problem you’ll keep running into with this approach is how you value things. When trying to do comparative studies of equity markets, you’ll find that every country doesn’t use Generally Accepted Accounting Principles like we do in the United States. A fund may appear opaque politically and not want people to show what they’re invested in or what their intent with that investment is, but they could also just not be able to report it because of the way it was purchased, or the kinds of shares they purchased. There are some assets out there that really are difficult to put a monetary value on. GJIA: To what extent do domestic politics shape SWF behavior in both the investing “home” country and the recipient “host” country? KL: This depends on the type of fund present and also on the extent to which voters’ political views are able to influence the fund. For example, in a democratic home state like Norway, the SWF doesn’t invest in nuclear weapons or tobacco because of social concerns, but there is a continuing debate over whether it should invest in oil, even though that’s where most of the money comes from. The degree to which Norway will continue to make those investments, and whether they contradict the government’s overall climate goals, is an open question in Norwegian politics. Because of the way the fund’s governance is structured, it may not be easy to resolve. On the other hand, some people consider pension funds, like the State Teachers Retirement System (STRS) in Ohio, to be quasi-SWF. They have a very strict separation between the people who make up the management division and the fund owners. No teacher or professor would want to invest in things that may harm the future of their students. At the same time, a fund manager might see an opportunity in a diversified multinational corporation that offers a good return, despite it deriving part of its revenue from e-cigarettes. These contests are very apparent. Domestic politics can work in host countries too. A good example is Singapore’s SWF, Temasek, investing in Thailand’s telecommunications sector. If you study political economy, you already know that countries everywhere are uncomfortable with foreign ownership of their telecom sectors because a foreign entity could monitor or manipulate our communications with each other. In the case of Temasek, there was significant pushback from Thai citizens surrounding the deal, which went on to influence national political sentiment toward Singapore as a whole, underscoring the risks some SWFs may face with their investment choices. In this case, fund behavior led to the dissolution of the entire Thai government in 2006 and a subsequent coup d’état. GJIA: To address some of this unease, the Santiago Principles were established in 2009 to ostensibly promote trust and transparency. From your perspective, have these mechanisms actually changed fund behavior? KL: In international relations theory, we always like to have a clear set of norms and best practices­—the orientation we want the proverbial ship to be going in. In that regard, the Santiago Principles at least got the discussion going about which direction SWFs should take at a time when people were very skittish about the growing size of these funds. Nobody wanted them to be out there and potentially destabilizing economies, so talks about disclosure, conditions for withdrawal, and the independence of managers were helpful when initiated. The biggest stumbling block was that there wasn’t exactly a good way to measure compliance with the Principles, let alone how to hold funds to them. If you read the Principles, they’re overall quite vague. In general, a fund doesn’t want to reveal how and why they make certain investment decisions because that information is proprietary—a fund makes money off of how and why it makes decisions—so how do you reconcile that with loosely-defined ideas of openness? Some decisions might have a political purpose. The bottom line is that trying to figure out and assign a score to compliance is not easy, and it is therefore the reason why the Santiago Principles never really got off the ground to the point where they could truly direct fund behavior. GJIA: Many emerging markets are looking to build their own SWFs from mineral and oil revenues. Historically, have funds shaped development trajectories in these countries? KL: I think the big story in international emerging markets investment is that the investment is increasingly no longer unidirectional. In the past multinational corporations of primarily Western background were the main form of foreign direct investment in a country. That has changed dramatically, to the point where you have companies from so-called “developing countries” taking over companies in the United States. Therefore, the landscape of international investment has changed, and I think SWFs are certainly a possibility to be the next step in the game. Historically, you didn’t need an entire financial vehicle to reinvest commodity revenues in your country, but as emerging markets get more financially sophisticated, their capacity to operate such funds has increased. SWFs would allow treasuries to move from relying on holding foreign exchange assets like cash or government bonds to having broader financial markets and targeted growth areas, while easing pressure on welfare expenditures. GJIA: With their increasing financial weight, do you see the presence of SWFs being a factor in the political choices leaders will have to make with regard to domestic and foreign policy? KL: It will depend on just how big the funds get. One of the reasons people are already apprehensive is because of their scale, and if certain SWFs in certain countries achieve a large-enough size, the presence will absolutely be cause for concern. The other factor political leaders will have to consider are their objectives. It’s not always clear how to define a SWF, or even where its activity is concentrated, but it is certainly a worry from the perspective of national security of opaque external investment. More than that, I think one of the most interesting questions going forward is whether the United States, the home to the world’s largest financial markets, will develop its own fund, for which the Trump administration announced a plan. There have also been several proposals in Congress. Were it to come into being, it would have tremendous weight. At the same time, one of the hallmarks of U.S. capitalism is a lack of government ownership of shares, so it would not be clear how such a fund would be received in domestic politics, or which direction it would take. Given how politically fragmented the country is, a Democratic administration would likely be concerned about different sectors of the economy, such as healthcare, and want investment there, rather than a Republican administration, which might prefer defense industries. No investment vehicle could thrive under conditions of such instability. Moreover, it remains unclear where the money to fund a theoretical U.S. SWF would come from. It would be a fundamentally different entity depending on whether it is financed with debt, economic surplus, commodities, or the sale of state companies, as in the case of Singapore. If it is debt, or government borrowing of some form, then the fund would have to outperform whatever the cost of that debt is, which is not an easy thing to do. I think our political leaders have enough on their plate. Our system has worked well keeping political and investment functions generally separate. We have seen different forms of business rise and fall, and even the perception of different countries, all of which funds are tied to. Unless a major SWF either starts—like in the case of the United States—or collapses—an issue that concerns the Saudis, I don’t see any political tsunamis on the horizon. . . . Kathryn Lavelle is the Ellen and Dixon Long Professor of World Affairs at Case Western Reserve University in Cleveland, Ohio. Her research explores the exchange between domestic and international and political institutions with a particular emphasis on political economy and multilateralism. Dr. Lavelle’s first book, The Politics of Equity Finance in Emerging Markets, explored the political circumstances that surround large issues of stock in the developing world. After being granted tenure at Case Western, she was awarded an American Political Science Association Congressional Fellowship and named the William A. Steiger fellow, a designation given to the most promising political scientist in her class of fellows. While in Washington during 2006-2007, she worked on the staff of the House Committee on Financial Services on issues related to domestic and international monetary policy. Dr. Lavelle holds a PhD in political science from Northwestern University; an M.A. in government and foreign affairs from the University of Virginia; and a bachelor’s degree in international economics from Georgetown University. She is a permanent member of the New York Council on Foreign Relations. This transcript has been lightly edited for clarity and length. Interview conducted by Sid Mehrotra. Image Credit: Jason Leung, Unsplash Content Licenses, via Unsplash

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Jan 28 • 6:00 AM EST • Politics • gjia.georgetown.edu
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