“Our industry is undergoing an extraordinary transformation, fueled by greater access to private markets and growing interest from a new generation of investors."--Carlyle CEO Harvey Schwartz
A racing engine may be a good analogy for private equity underwriting (PEU). Ride it hard for long enough (maximum profitability and fee extrusion) and something blows. Weight makes a difference as does a heavy debt/interest expense burden.
Sports is the new way for PEUs to entice regular folk to put their retirement money into their vast array of products. They've tried to offer investment opportunities before to this group, but got little traction. That's changed with the Trump II endorsement of PEU holdings in 401(k)'s.
The greed and leverage boys are ready to hit the gas with your retirement funds. Beware the slick talking Carlyle fuel attendant. You know he will close with "Fill 'er up?"
