More 'Chicago Way' Politics from Obama
He neglected to mention that the head of one of these firms has been a key fundraiser for him over the years, that the firm's employees have given quite generously to his campaigns, and has allowed him to use company-owned jets (hasn't the New York Times attacked John McCain for using his wife's company's private jet?).
Obama claimed that the investment firms had excellent investment performances that justified the steering of funds to them. Well, time for a fact-check (Washington Post-time to step up to the plate). In fact, the major beneficiary of Barack Obama's efforts has been the Ariel Fund headed by John Rogers, whose mother is a power broker in Chicago and Illinois politics. The fund's investment performance among its various offerings have been sorrowful for years. The flagship fund-the Ariel Fund (ARGFX)-has a record of underperforming its peers and the market for years.
Morningstar, the premier mutual fund advisory firm, rates its return as being "Below Average". That is an understatement. Yet John Rogers and the firms employees have done quite well over the years regardless of how their investors have fared. He seems to have inherited his mother's power broker status, with a close friend headed towards the Democratic Presidential nomination. Family dynasties are a tradition in Chicago.