peHUB Second Opinion 12.23

Shock Value: !?!Could Google, Microsoft and Yahoo be the next Ford, GM and Chrysler!?! The comparison, based on M&A history. (Dealbook)

Blackstone: A fund that invests in Blackstone Group and other public private equity firms got named one of the worst funds of the year, according to Morningstar.

Q&A: What PE can teach the government about rescue investing? Even though their interests aren’t aligned, this is an interesting question and good interview by Deal Journal with Lynn Tilton, the founder of Patriarch Partners (which purchased the elusive AriZona Iced Tea earlier this year).

Your Favorite Start-Ups: Much Easier than picking a favorite kid I’m sure. Not many kids have balance sheets. (BusinessWeek)

Catching Up: A new survey supports what PE pros have been cramming down our throats for years. “It’s not about leverage and financial engineering.” Often key phrases like “operational expertise” and “partnering with management” are used. Anyways, here’s an uplifting survey comparing board members on public companies and PE-backed entities. (Recent contradicting quote from a unnamed PE source: “Boards? Why would we have a board? We don’t need a board, we’re a private equity firm. That’s why we’re private!“)

Why Infectious Greed is Great: A link, a compliment, a quote and a rant. Paul Kedrosky on the NYT behemoth of a Madoff story. (11 bylines?)

How To Resuscitate PE: Ft Columnist Charles Martin says the numbers don’t match reality in the PE industry. Meaning, they look at lot better than the way things are.

Air Bernie: You can lease the jet Bernie Madoff traipsed around in. Looks like some of his victims might even get to see a little money from the sale of it. (Cityfile)

Sneaky: Ways investors try to trick clients at the end of the year. (WSJ)

Ha: Tim Geithner’s to-do list:

1. Find new house in D.C.
2. Fix unholy mess that is Wall Street.
3. Ditto for Securities and Exchange Commission.
4. Restore faith in global finance system.
5. Housing?

(Moneybox)