SIFMA Applauds White House Statement On The Importance Of Foreign Investment

The Securities Industry and Financial Markets Association (SIFMA) applauded the White House statement on open investment policies and free trade released today.

"America’s tradition of global leadership in support of open and fair trade and investment has benefited Americans at home and has helped promote greater transparency, freedom and democratic ideas abroad,” said Marc Lackritz, SIFMA president and CEO.

SIFMA is mindful of the signal importance to America and to the world of thriving global trading relationships. These relationships have greatly benefited America, with foreign-owned companies in the US employing more than 5 million Americans, bringing new and innovative ideas, technology, products and practices to the US economy. Foreign investment also helps to finance the US current account deficit, and keeps interest rates lower than would otherwise be the case, thereby supporting a higher standard of living for Americans. US investment abroad also benefits the US economy, enhancing the global competitiveness of US firms and generating substantial demand for US exports.

Lackritz added, “We believe that a pro-active trade policy to reduce and eliminate the barriers faced by financial services firms is of critical importance and serves both American firms in search of new markets and the global community which benefits from American capital and expertise.”

The Doha Round, and the Administration’s other bilateral and regional free trade initiatives are important tools in providing a level playing field for financial services firms. The US financial services industry accounts for 5 percent of private sector jobs and contributes $1 trillion, or more than 8 percent, to America’s GDP.

The health and future of the US economy, and US jobs, rest on open markets and the free flow of capital. Moreover, investment and security are not opposing forces. We urge policymakers to keep America’s markets open even as it protects America’s security. SIFMA stands ready to work with the Administration and Congress in meeting these goals.