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Private equity funds


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#1
Rybka

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Private equity funds have been politicized. Don't know if they are good or bad, or if they are taxed too low. I have no opinion of their worth to society and I have not had any business dealings with them. But they have become a symbol of the "evil" in capitalism, that is, from a socialist point of view.



#2
JBigjake54

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Private equity funds ... have become a symbol of the "evil" in capitalism, that is, from a socialist point of view.


I am no socialist, but IMO PEFs serve no public good.
They are the current robber barons.
We also need new anti-trust laws enacted and enforced.

We are good enough to beat the best teams, and bad enough to lose to the worst teams. 


#3
juberish

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Private investment funds arent inherently evil - they're just a way for rich people to make riskier investments based on the premise that they need less protection and regulation from the government because they are already rich.

 

We like to make boogey men instead of understanding root cause. The system is gamed for the billionaires, not the 300 thousandaires (or at least, not as much). Instead of blaming the Koch bros and Bloomberg and the politicians and lobbyists taking kick backs to enable them, we blame the investment products - lol.

 

Its like making the average person separate their recycling as some false act of contrition when the real responsibility lies with manufacturers and policy makers; they just outsource the burden and the guilt to the consumer instead of you know, just fixing the root cause. 



#4
JBigjake54

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Private investment funds arent inherently evil - they're just a way for rich people to make riskier investments


Here is where we differ.
IMO, PEFs are not making risky investments. They target & raid businesses, strip assets and see no need for corporate responsibility.
Also, merging two corporations for a big commission serves no public purchase.
Nor does fixing the tax laws, so their annual bonuses are taxed as capital gains, rather than ordinary income.

We are good enough to beat the best teams, and bad enough to lose to the worst teams. 


#5
juberish

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 They target & raid businesses, strip assets and see no need for corporate responsibility.

 

Just like any other facet of capitalism, without proper regulation things turn to shit. There's many anecdotes where PE would be beneficial to private business - I think you're more alluding to the problems with unchecked power and greed than you are a specific investment model. But for sure, PE can be a mechanism for some shitty stuff. 

 

Any time you introduce a system, someone will try to game it. PE is a good example of this, I think my point is just that focusing on one vector of bullshit like PE is just a distraction from the root cause - which is more in line with those tax law issues you referenced. 



#6
JBigjake54

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Not sure about this:
https://www.cnn.com/...lpon/index.html
Glad to see Wilpons going; 5 years is too long.
Not sure that a conniver will be an improvement.

We are good enough to beat the best teams, and bad enough to lose to the worst teams. 


#7
Rybka

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In theory, hedge funds and private equity are two different tools for the super-rich investor.

 

https://www.investop...equity-fund.asp

 

In any event, they attract big money from investors and institutions. As a result, the managers of either are willing and able to buy sports teams for their leisurely pleasure.

 

https://littlesis.or...s-teams/members

 

The above list does not show international teams. For example, John Henry is the principal owner of Liverpool FC.






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