Private Equity Funds

“I have always thought about Berkshire as the vanguard of private equity funds. Like, it is essentially a no-fee private equity fund. You get to buy shares, and you don't pay fees and carry on it.”

“When LPs go to the biggest venture funds in the world, and private equity funds, and say, we're not investing in your next fund until you get liquidity in these names.”

“Private equity funds don't have enough money to write like, forty billion dollar checks in the companies.”

“We started with deeply distressed assets, which fit squarely into our private equity fund. We had a large private equity fund at the time. It had just been raised, so basically undrawn.”

“For VCs, you can attract them through a lot of online or digital presence on LinkedIn or X because they're more tech savvy, but you're not going to find much luck with you know, old school investment bankers or private equity funds who would, you know, who you…”

“The more co-invest you do, though, the harder the model gets, because you have to assume a sale of that co-invest, and it removes itself completely, unlike a private equity fund where you're calling down over time and you're distributing over time.”

“And by the way, the private equity funds, I think they're sitting on about three trillion dollars worth of companies that they have to sell. To pay off the investors.”

“Starting with when the leak occurred, we got a bunch of inbound calls from private equity funds saying, if this is true, we want in.”

“Whether it's banks or fund selling, we're going to see opportunities where venture capital and private equity funds are winding down. They're at their ten-year Limit. Maybe they can get another year. They're gonna have to sell things.”

“He said, while illiquid markets provide a much greater range of mispriced assets, private investors fare little better than their marketable security counterparts, as the extraordinary fee burden typical of private equity funds almost guarantees delivery of di…”

“We do, on average, 300 to 500 hours of due diligence on the average private equity fund, for example. So later in the due diligence, we learn that, but also from references. We do a ton of reference. Typically, 20 references”

“Now we have some, because we are profitable, which is very important nowadays, because as you can imagine in the last 12 months the words of VC changed completely, and we have some peace fund let's say asking to enter in the company with much, much bigger roun…”

“Absent capital C cause gross negligence, you can't remove a collateral manager. You can always sell your security. By and large, the vast majority of CLOs Have these ironclad contracts, which in a private equity fund or a hedge fund would not be tolerated.”

“Nobody, well, except the smallest funds, nobody has a fund that doesn't have a huge international component.”

“Okay, so now of those 1276 private equity funds, or growth funds, or crossover funds, how many do you think have actually managed to return more than 2.3 times the money? 22 of them.”

“So some of the leagues require that a fund have at least 10 years left in its term to be considered for approval.”

“Even then, if you look at like the total volume of residential sales across the U S that's still a fraction of the total market. So to say that, you know, larger state private equity funds are kind of dominating the U S home residential market, I think would b…”

“With a 120 trillion dollars, their capital flows out into the hedge funds, the mutual funds, the private equity funds, the venture funds.”

“I think there's a lot of investment professionals at these organizations that believe that if they reported it to the stakeholders wouldn't let them pursue the strategy that they believe in their heart of hearts is needed to meet the obligation of the plan. So…”

“My job before Harvard Business School was working for Prudential Insurance Company, and Prudential Insurance Company was the biggest institutional investor investing in the very first private equity funds.”

“So we allocate to 20 external hedge funds We allocate to over 90 external and private equity funds, and internally we have 28 portfolio managers and 17 kind of strategies or netting units”

“Organizational expenses have gone up. You know, you're seeing three million dollars for a fund for They've already done all the docs, and so now all of a sudden you're using private planes, you're using things like that.”

“There's a statistic that says that since 2000, there's 500 companies that have been owned consecutively by three or more private equity fund, which means that those company would continue to do really well in the private domain, have been owned now for 1215, 1…”

“I think there's more leverage in the market than people realize, and we just, no one has yet sort of cogently spoken about it, but there's, it's a lot of little things that actually together add up to a lot, and so, you know, like all this stuff with the, with…”

“And when they look to the traditional private equity funds or infrastructure funds to see if there are exciting products there, they don't see any because the fee structures are too high for the underlying assets. They won't, those assets won't support a two a…”

“It's much easier to do that if you invest in funds when they're small, when the alignment is high, when they can buy businesses more cheaply. If you're investing at fund five or six when there's a really stable business, often the life cycle on the strategy is…”