Understanding Carried Interest

January 12, 2016

When those in the private equity industry talk about carried interest, someone who is not in the know may not understand what is meant by the term, particularly since the word “interest” is generally understood to mean interest payments for a loan. With carried interest, the reality is much different. Carried interest has nothing to […]

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The Politics of Disposable Income

December 28, 2015

This past week saw one of the most well-known economic indicators – Disposable Personal Income – come in about in line with expectations. With the year almost over, and another presidency about to hit the road, now seems like a good time to take a look at how Disposable Income has performed by presidency. Before taking […]

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Playing Politics with the Federal Funds Rate

December 14, 2015

If things go as expected, on Wednesday Federal Reserve Chairwoman Janet Yellen will announce the first Fed rate hike in almost a decade (2006 was the last time the Fed increased the federal funds target rate). Since 2006, we’ve seen a peak in the housing market, a collapse in global financial assets, unemployment above 8%, […]

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What Is Going on with the American Consumer?

December 1, 2015

Every private equity professional – whether they want to admit it or not – is somewhat of an economist.  Private equity professionals must, by their very nature, follow demographic shifts, economic outlooks, and other economic forces. The force discussed here is the American consumer, typically considered the driving force of the American economy.  This presumption […]

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Could 2015 Mergers and Acquisitions Reach an All Time High?

November 16, 2015

Pitchbook recently released their accounting of mergers and acquisitions performance. Unless the fourth quarter of 2015 falls off the planet, 2015 is set to reach an all-time high in value terms.  Overall, if deal value climbs only by the amount it did in the first quarter of 2014, deal value in 2015 will reach about […]

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The 20 Top Cities for Global Finance

October 26, 2015

If you’re an observer of global finance, you know the financial world is becoming ever more competitive.  Among the many competitive forces is geography.  Finance firms move and shift employment for a number of reasons, including incentives, competitive wages, startup culture, and lots of other factors. With this as the background, which are the 20 top […]

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California Job Creation: Is the PE/VC Connection with Silicon Valley Responsible?

October 5, 2015

On usually the first Friday of every month, the Bureau of Labor Statistics (BLS) releases its estimate of net job creation (or destruction) for the nation as a whole.  The figures in the report are perhaps the most influential economic indicators in the world, including estimates on wage growth, unemployment, labor force, and industry job […]

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The U.S. Isn’t Number 1 in Venture Captial Investments

September 21, 2015

When you think of venture capital/private equity investing, what’s the first place that comes to mind? If you’re like most, you probably think of Silicon Valley’s tech companies or biotechnology in Massachusetts, as places with a strong venture capital base. You’d be right.  On an absolute dollar basis, venture capital in the United States is still the […]

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3 Reasons the Fed Might Raise Rates in September

September 7, 2015

Unless you’ve actively tried to avoid the conversation, if you work in the financial world, the topic of the  Fed raising rates in September is unavoidable. Everyone has an opinion, which range from relief that the Fed is actually doing something besides providing the spike to the party’s punch, to disgust that the Fed would consider a […]

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Are Private Equity Jobs Going Overseas?

August 24, 2015

Outsourcing of jobs is a common concern among workers in high cost areas such as America and Europe. Interestingly, that concern has become a mainstay among workers across the globe, with, for example, workers in China worrying that their manufacturing jobs might end up in a lower cost place like Vietnam, Cambodia, or India. With the […]

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