Soros the Investor, the Philosopher

Like many people my age, the first I learned of George Soros was reading one of John Train's "Money Masters" books some years ago. My recollection is that Train's profile of Soros was favorable, as it should have been since Soros has always been a successful investor. He is something of a master in matters of global finance, by any objective measure IMHO.

I also saw Soros profiled on the old "Adam Smith" show on PBS, probably back in the early 1990s. Again favorable.

Soros, of course, has received some unfavorable coverage the past few years. Almost entirely because he's stepped into the political arena via his comments and donations. Most, if not all, of the criticism he's received is because his politics are left of center, and he's been a vocal opponent of the Iraq war. Those facts along with the fact he's filthy rich makes him a target.

Some of the criticism may be valid. But some has been embarrassingly stupid. I heard one talking head, who should know better, say some years ago that Soros and Warren Buffett were trying to bring down the US Dollar.

And he uttered this nonsense as though they had the power to do so.

I think another cable talking head has used the word "evil" to describe Soros. Whether this person really believes that or not I don't know. Personality-driven news and made-up threats are good for ratings, because the dumbed-down, reality-show, MTV kind of programming works for 24-hour news channels. And casting Soros as a villain -- wealthy and with an accent right out of a 007 thriller -- makes for a narrative that sells in some circles.

I'm no expert on Soros. I get the impression he's more of an enthusiast for the Welfare State than me, but perhaps I'm wrong. I will say, though, that his efforts to persuade public policy in the direction of ending the insane War on Drugs should be applauded. And, in my view, worthy of the Presidential Medal of Freedom.

I got to thinking about George Soros today when reading Matthew Lynn's spot-on Spectator piece on the man:

‘I have been fortunate in making a lot of money and spending it well,’ Soros writes. ‘But I have always wanted to be a philosopher, and finally I may have become one.’ In a sense that’s true. Just not a very good one. And, as Soros himself appears to sense, if it weren’t for the money, no one would be very interested in the philosophy.

Like I said, spot on.

Comments

[abe]

He strikes me as a politically active Mark Rich, I am on board with ending the "War on Drugs." But Soros gets in deep water as a foreigner financing some very questionable domestic activist groups. Evil is stretch, but I do not like the man nor do I trust his motives.

[me]

"as a foreigner financing some very questionable domestic activist groups."

I just wonder how that is different than the US government doing the same thing? Palestine, Iraq, Iran, Pakistan for starters?

[John]

abe: I may be wrong, but I believe Soros is a US citizen and has been for a long, long time. I don't care for some of his politics, either. I just don't think he's a big threat to anyone.

me: Good point.

[Davy Bui]

As a former political hack, I always find the intersection of finance & politics interesting. I'd gather that most people interested in stocks and such tend to be more "conservative." I've always thought it peculiar coming across comments implying that while "liberal" richie riches like Warren Buffett or George Soros may know how to play the markets, this money-making ability exists DESPITE their supposedly ill-informed political views. Nevermind their stellar records as macro-investors (yes, even Buffett, who's always kept an eye on the big picture despite being bottoms-up) suggest that maybe their less overtly-ideological views gives them an advantage over other investors.

The kicker of all this is that Soros has developed this reputation among "conservatives" as a commie, Move-On loving meddler because of his overriding opposition to one of the worst presidents in American history, George W. Bush. Really, all Americans, conservative or liberal, should rue the fact that he failed. Soros' political activity before GWB was minimal.

[John]

Davy: That Soros' political activity prior to GWB is consistent with my memory. I believe he's been involved in charitable activities and broader political issues not related to specific politicians (as in GWB).

Again, persuading others of the failure of the War on Drugs, which aligns Soros with the late William F. Buckley Jr. and Milton Friedman.