CFIUS issues final regulations on national security review of foreign investments in the United States under FIRRMA: broader reach, mandatory filings, and limited exceptions

2020 ◽  
Vol 21 (2/3) ◽  
pp. 143-149
Author(s):  
Sonali Dohale ◽  
Kara M. Bombach ◽  
Cyril T. Brennan ◽  
Renée A. Latour ◽  
Axel S. Urie
Keyword(s):  
United States ◽  
Foreign Investment ◽  
The United States ◽  
Investment Risk ◽  
Due Diligence ◽  
Content Type ◽  
Foreign Acquisition ◽  
Potential Applicability ◽  
Risk Review ◽  
Practical Implications

Purpose The article examines the sweeping changes to the review process undertaken by Committee on Foreign Investment in the United States (CFIUS) as a result of the Foreign Investment Risk Review Modernization Act of 2018 (FIRRMA). The Article specifically reviews the long-awaited final sets of regulations, effective as of February 13, 2020, and analyzes their impact on the CFIUS process, as well as considers the implications of FIRRMA for parties to foreign acquisition, control, and investment transactions. Design/methodology/approach The Article begins with an overview of the CFIUS framework and a general explanation of FIRRMA. It then moves to an analysis of FIRRMA and the resulting changes to the prior CFIUS regime. The Article concludes with general considerations and provides recommendations for parties who may find themselves analyzing the potential applicability of CFIUS to foreign acquisition and investment transactions. Findings FIRRMA resulted in significant changes to the existing CFIUS regulatory framework. Practical implications Parties should learn the CFIUS changes as a result of FIRRMA, including the new mandatory filing requirements as well as implications for non-controlling investment transactions. Parties should include CFIUS analysis and planning in the earliest stages of deal planning and due diligence. Originality/value The article provides an in-depth review of the changes to CFIUS resulting from FIRRMA. The changes to the existing CFIUS landscape have resulted in new mandatory filing requirements and expanded jurisdiction over non-controlling investment and real estate transactions, which are discussed in the article.

US-bound investment will get more difficult for China

2018 ◽  
Keyword(s):  
United States ◽  
Foreign Investment ◽  
The United States ◽  
Investment Risk ◽  
Content Type ◽  
Chinese Investment ◽  
Advanced Technologies ◽  
Greenfield Investments ◽  
Risk Review ◽  
Trump Administration

Subject Chinese investment in the United States. Significance The Foreign Investment Risk Review Modernization Act (FIRRMA) enacted on August 13 expands the remit of the Committee on Foreign Investment in the United States (CFIUS), which reviews incoming foreign investment deals for possible national security implications. China is the implicit target. Since its peak of 46 billion dollars in 2016, Chinese direct investment in the United States has steadily declined, falling to 29 billion dollars in 2017 and dropping another 90% year-on-year in the first half of 2018. Impacts Uncertainty regarding new US regulations will hold some Chinese investors back from entering the market. Chinese businesses will face greater pressure from US policymakers and regulators to clarify their relationship with the Communist Party. Chinese investments in ICT, semiconductors and other advanced technologies will come under sustained scrutiny from US regulators. Chinese greenfield investments might increase as investors seek ways around tariffs and the Trump administration seeks to create jobs.

Governance implications of CFIUS reform for US investment funds with foreign investors

2019 ◽  
Vol 20 (1) ◽  
pp. 36-39
Author(s):  
Michael Leiter ◽  
John Caccia ◽  
Heather Cruz ◽  
Michael Hoffman ◽  
James Schnell ◽  
...  
Keyword(s):  
National Security ◽  
Foreign Investment ◽  
Design Methodology ◽  
The United States ◽  
Investment Risk ◽  
Investment Funds ◽  
Foreign Investors ◽  
Content Type ◽  
Practical Guidance ◽  
Risk Review

Purpose To explain how corporate governance is likely to be affected by drastic changes to national security reviews by the Committee on Foreign Investment in the United States (CFIUS), especially for US funds with foreign investors. Design/methodology/approach The article summarizes the Foreign Investment Risk Review Modernization Act of 2018 (FIRRMA) and then details the pilot program and how to qualify for exceptions. Findings While many questions and considerations remain, including how FIRRMA will play out across various industries, we concluded that there will be an increase in CFIUS filings. Originality/value Practical guidance from experienced national security and CFIUS lawyers.

Perceptions, reality and semantics: exploring perceptions of coaching and academic advising as distinct roles

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alicia Sepulveda ◽  
Matthew Birnbaum
Keyword(s):  
Higher Education ◽  
United States ◽  
Academic Advising ◽  
Distinct Type ◽  
The United States ◽  
Research Approach ◽  
Clear Understanding ◽  
Academic Coaching ◽  
Content Type ◽  
Practical Implications

PurposeCoaching in higher education has become increasingly common across the United States. Our qualitative study explores the perceptions of coaches and advisors, as they consider academic coaching as a role distinct from academic advising.Design/methodology/approachOur study adopts a qualitative research approach. Two focus groups were conducted with 14 coaching and academic advising professionals.FindingsOur findings identify at least three major themes when considering academic coaching as a role distinct from academic advising: (1) Potential role overlap, (2) Caseload disparities and (3) Philosophical differences. The indiscriminate use of the title of “coach” contributed to confusion, ambiguity and tension.Practical implicationsWithout a clear understanding of the coach role as a distinct type of support in higher education, confusion and ambiguity are likely to continue.Originality/valueNo studies have explored the perceptions of coaches and advisors, as they consider academic coaching as a role distinct in the United States.

Nicaragua election criticism will not shake Ortega

2021 ◽  
Keyword(s):  
United States ◽  
Foreign Investment ◽  
Bilateral Trade ◽  
The United States ◽  
Economic Hardship ◽  
Political Repression ◽  
Content Type ◽  
Run Up ◽  
Increased Pressure

Significance The outcome comes as little surprise, given the repressive tactics used by the Ortega administration in the run-up to the vote, which included the disqualification or imprisonment of numerous opposition candidates. The United States and other international actors are now poised to put increased pressure on the re-elected government. Impacts The prospect of extended sanctions will act as a further disincentive to foreign investment. Ortega’s efforts to boost regional support through increased alignment with Honduras may lead to greater bilateral trade. More undocumented Nicaraguan migration looks inevitable, whether due to continuing political repression or worsening economic hardship.

The future of maternity wear: Generation Z's expectations of dressing for pregnancy

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Elizabeth Anne Weigle ◽  
Laura McAndrews
Keyword(s):  
United States ◽  
Online Survey ◽  
The United States ◽  
The Body ◽  
Content Type ◽  
Longitudinal Approach ◽  
Shopping Experience ◽  
Physical Changes ◽  
Practical Implications

PurposeThe purpose of this paper is to investigate Generation Z's physical expectations of being pregnant and their outlook for maternity wear shopping.Design/methodology/approachFemales in this cohort (n = 207) participated in an online survey that included questions about perceptions of pregnancy, physical self-concept and forecasted shopping behaviors.FindingsResults indicated that this group is concerned with physical changes of pregnancy and expect to treat each area of the body in a different way. Women's expected physical concerns of pregnancy predict how much they anticipate accentuating their pregnant body. Gen Z anticipates wearing loose maternity garments and they envision a thoughtful, in-store shopping experience for styles that are equally fashionable and comfortable, such as dresses.Research limitations/implicationsThis study should be extended to future generational cohorts like Generation Alpha, along with Gen Z outside of the United States and women in the United States who are non-white. Further studies should take a longitudinal approach to gauge changes in this cohort's expectations as they progress through pregnancy.Practical implicationsThis paper provides maternity wear retail brands and designers a foundation for product development and marketing geared toward this large cohort.Originality/valueThe study is the first to inquire about Gen Z's outlook on pregnancy, specifically their envisioned changes to each body area and the role of maternity garments to fulfill needs and concerns.

Iran gas can diversify European supplies in long term

2015 ◽  
Keyword(s):  
United States ◽  
Foreign Investment ◽  
The United States ◽  
Gas Production ◽  
Gas Industry ◽  
Content Type ◽  
The Third ◽  
Un Security Council ◽  
To Come

Significance The deal reached between Iran and the P5+1 negotiating group (UN Security Council permanent members plus Germany) on July 14 promises to end most sanctions on the country, in return for suspension and monitoring of its nuclear programme. If ratified by all parties, it will create opportunities for an expansion of Iran's gas production and exports. Iran is the holder of the world's largest gas reserves, according to BP estimates. It is also the third-largest producer (after the United States and Russia, and probably having overtaken Qatar during 2015), and the fourth-largest consumer. Impacts Iran could increase gas exports by advancing projects stalled by sanctions, although most of these will take some years to come to fruition. Iran would seek to attract foreign investment into its gas industry to increase production and exports in the longer term. If this occurs, Iran will compete with other gas exporters, particularly Russia, into the 2020s.

How does abusive supervision hurt employees? The role of positive psychological capital

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
James B. Avey ◽  
Upasna Agarwal ◽  
Jadvir K. Gill
Keyword(s):  
United States ◽  
Psychological Capital ◽  
Negative Impact ◽  
Abusive Supervision ◽  
The United States ◽  
Content Type ◽  
Positive Psychological Capital ◽  
Working Adults ◽  
Practical Implications

PurposeThe purpose of this research was to understand the mediating role of employee positive psychological capital on the negative relationship between abusive supervision and employee outcomes.Design/methodology/approachThe research design consisted of a multi-wave study with a heterogeneous sample of working adults in the United States. Study variables included the independent variable of abusive supervision, the mediating variable of positive psychological capital and the dependent variables of psychological well-being, job satisfaction and general health.FindingsResults from 293 working adults in the United States suggest employee positive psychological capital is an explanatory mechanism as a mediator in the relationship between abusive supervision and outcomes. In other words, abusive supervisors reduce employee psychological capital leading to sub-optimal outcomes.Practical implicationsResults of this study suggest several practical implications, however one is primary. In sum, we found the deleterious effects of abusive supervisors occur through positive psychological capital. While it is often difficult to immediately terminate manager employment for abusive supervision, results here suggest firms can use psychological capital interventions to buffer the negative impact of abusive supervisors.Originality/valueIt is well understood that abusive supervision has a negative impact on employees. However, the underlying mechanisms of how and why this occurs is not well understood. While much research has speculated on why this happens prior to this study, few explanatory mechanisms have been subjected to empirical tests.

Iran deal's foreign investment impact would be limited

2021 ◽  
Keyword(s):  
United States ◽  
Central Bank ◽  
Foreign Investment ◽  
The United States ◽  
Fiscal Impact ◽  
Content Type ◽  
Access To Technology ◽  
President Elect ◽  
The Government

Significance Indirect negotiations with the United States over a mutual return to the 2015 nuclear deal are facing delays while the transition team of President-elect Ibrahim Raisi moves into place. Meanwhile, questions are mounting over the likely impact on foreign investment, even if most sanctions are lifted. Impacts The government will prioritise efforts to invite investment in sectors where it has inadequate access to technology. The government's reported use of frozen assets as central bank borrowing collateral would limit the fiscal impact of their release. If it remains unblocked, the Clubhouse app could increase popular involvement in economic debate.

What will happen to the “American Dream”? Four scenarios for opportunity in the United States to 2035

2016 ◽  
Vol 44 (2) ◽  
pp. 17-24
Author(s):  
Stephen M. Millett
Keyword(s):  
United States ◽  
Social Factors ◽  
Design Methodology ◽  
The United States ◽  
Alternative Possibilities ◽  
Central Question ◽  
Content Type ◽  
The Future ◽  
Political Economic ◽  
Practical Implications

Purpose – To further a dialog about the future of opportunities in America, this exercise imagines what life would be like in four alternative possibilities, or scenarios, emerging from now to the year 2035. Design/methodology/approach – The logical basis for these four possible futures is that technological, political, economic and social factors – and the decisions of voters and their leaders–will result in either many or few opportunities which will be available to many or few players. Findings – The central question is what scenario do we really want to live in and what decisions need to be taken to increase its likelihood of occurring? Conversely, which future is the most undesirable and what can we do to prevent it? Practical implications – The scenarios illuminate the choices that need to be explored now to better anticipate and react to the challenges of the future. Originality/value – By selecting just two ranges of conditions–opportunity and participation–the author is able to imagine futures that have elements of utopia and dystopia.

US government’s investment intervention will grow

2018 ◽  
Keyword(s):  
United States ◽  
Intellectual Property ◽  
Foreign Investment ◽  
The United States ◽  
Foreign Firms ◽  
Donald Trump ◽  
Foreign Investments ◽  
Content Type ◽  
The Us ◽  
Trump Administration

Subject Government intervention in foreign inward and outward investments and mergers. Significance The Trump administration is increasingly moving to control undesired foreign investments, as the March 12 presidential order blocking overseas-based Broadcom from merging with US-based Qualcomm showed. President Donald Trump was working on advice from the Committee on Foreign Investment in the United States (CFIUS). Since 1990, there have been only five cases where presidents have blocked mergers; two of these have been under Trump since his inauguration in January 2017. Impacts Foreign firms will face constraints on accessing US intellectual property and tech patents. Trump will impose new visa requirements for Chinese nationals working and studying in the United States. US vetoes of foreign investment and mergers could see other countries respond in the same way. The Broadcom-Qualcomm veto should help the US semiconductors industry maintain a global role in 5G technology. Foreign firms may sidestep the CFIUS by incorporating in the United States, as Broadcom hopes to do next month.

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