Saudi oil is "actually quite important, particularly in the short-run," according to Chris Garcia, CEO of Vicar Financial and former deputy director of the US Department of Commerce under US President Donald Trump. "This is why when we look at some of the potential retaliation tactics that the Saudis have threatened, we have to take them seriously."[...]
"It's the short-run repercussions of the Saudis cutting [oil] output that would send shockwaves throughout the global economy, but I would say that's leverage that would diminish in the long run unless they diversify as the world continues to diversify itself from its energy resources," explains Garcia.[...]
Saudi's sovereign wealth fund is called the Public Investment Fund, which traditionally had a strategy of low-risk investments. But everything changed in 2016 when the kingdom's sovereign wealth fund invested $3.5bn in Uber, making it the largest single investment ever made in a privately-held company at the time.
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