Beyond Two and Twenty

By Mary Kuusisto — 11 years ago

You can download a PDF of this article, with footnotes, here: Beyond Two and Twenty.pdf Victor Fleischer, Associate Professor of Law at the University of Illinois, has written a draft article entitled Two and Twenty: Taxing Partnership Profits in Private Equity Funds, that has received significant attention from Congress, tax practitioners, the trade press and the […]

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Tax Change: Fair but Unfair

By Eric Weissmann — 11 years ago

The proposal to change the tax rules for carried interest is unfair not per se, but it is unfair because it singles out fund managers for tax discrimination. Proponents of treating carried interest as “compensation,” taxable at high ordinary income rates, do have a good argument to a point. The carried interest is obviously compensation […]

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5 Reasons to NOT Change Carried Interest Tax

By Jason Klein — 11 years ago

There are several problems with raising the Carried Interest Tax: 1. Ultimately, this tax will be borne by many middle-class folks, as is usually the case with raising taxes. As long as there is a favorable capital gains treatment, financiers who are in the business of making capital gains will find a way to get […]

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The Tax Man Cometh: Carried Interest, Risk, Fees, and Taxes

By Bill Burnham — 11 years ago

This is the first in a series of Vox Populi posts on the carried interest taxation issue. It first appeared on Bill’s blog.   So there’s a move afoot by some within Congress to tax all carried interest as ordinary income instead of capital gains. In case you aren’t familiar with the term, carried interest is the […]

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The Road Less Traveled

11 years ago

Summer is an interesting time in the recruiting cycle. Newly minted MBA’s are looking forward to their new careers. Summer interns bring their fresh, eager faces and enthusiasm to offices across the country. Even senior-level candidates are still actively looking for their next opportunity, because we’re not so far yet into the year that leaving a […]

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Hedge Funds, Private Equity and Side Pockets

By David Tom — 11 years ago

In my last post (Searching for Alpha), I commented on how applying hedge fund metrics to private equity fund performance creates unique complications. Recently another phenomenon in the convergence of alternative assets has emerged as a hot topic—hedge funds making investments in illiquid private companies. In a large buyout deal announced earlier this year, KKR […]

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Day in the Life of a VC-Backed CEO

By Danny Gillespie — 11 years ago

[Ed: Last week I posted something called Day in a VC Life. Here is reader Danny Gillespie’s take, from a different perspective.] 3:45 am – Wake up in cold sweat, pray that the rising star CFO that VC1 brought to the company doesn’t mis-forecast $3MM in cash like he did last quarter. 4:14 am – […]

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A Whole New Ballgame

11 years ago

Yesterday I attended the ACG M&A Conference in Boston, and was  looking forward to the luncheon comments of Michael Lewis. His previous book – Liar’s Poker – was an interesting read and I’ve suggested it to more than a few folks who wanted to know what investment banking would be like if they jumped in as […]

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My SOX Testimony

11 years ago

What follows is the prepared statement I gave at a House Small Business Committee hearing yesterday, on the subject of proposed reforms to Sarbanes-Oxley. Specifically, I wanted to talk about whether or not the new standards would lower compliance costs for small companies: Chairwoman Velazquez, Ranking Member Chabot and Members of the Committee, my name is […]

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Searching for Alpha in Private Equity

By David Tom — 11 years ago

I was at a private equity conference last week focused on issues of interest to Limited Partners. One of the things that struck me was several Limited Partners who described investing in private equity as “the search for alpha.” While in the past I have heard many Limited Partners talk about alpha, I have found […]

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From the Colbert Report to Attributor

By Marco DeMiroz — 11 years ago

In a recent New York Times article, Viacom CEO Philippe Dauman sounded exasperated: “Every day we have to scour the entirety of what’s available on YouTube, so we have to look for our stuff,” and added, “It is very difficult for us and places an enormous burden on us.” This overt frustration is not limited […]

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The Tax Man is Coming

11 years ago

Hold on to your wallets. Several tax changes have been bandied about recently aimed at raising revenue under new PAYGO rules adopted by the 110th Congress. One of them is the focus of a New York Times article, which would eliminate the offshore exemption for Unrelated Business Taxable Income (which is commonly dyslexically called “UBIT”) […]

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Breaking up is hard to do (with a General Partner)

By David Tom — 11 years ago

In a recent article in The Financial Times, Harvard Business School Professor Josh Lerner closed his discussion on the performance of portfolios of private equity partnerships by noting: But a large portion of the differences [in the performance of private equity portfolios] seems due to simply superior decisions about funds to invest in, and which […]

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Stop! In the Name of Love, Before You Break My Heart…

By Bart Schachter — 11 years ago

Diana Ross may be fretting, but the Supremes are betting! Specifically, they are betting that their recent decision on patent protection won’t stifle innovation (as some critics have argued), but actually will increase the relevancy of intellectual property in the economy. The Supremes have recently issued four rulings which would seem to significantly narrow the […]

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Helping to Further Flatten the World, One Map at a Time…

11 years ago

In my debut blog for peHub, Dan has graciously provided me the forum to selfishly promote our newest investment at RedShift Ventures, a Series A funding for TerraGo Technologies. Gotta love these New Media-oriented reporters – thanks Dan!! TerraGo Technologies is focused on leveraging the Adobe platform to provide robust geospatial data to the masses… or […]

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3 Myths and 1 Reality about Early-Stage Investing

By Charles Beeler — 11 years ago

To paraphrase Mark Twain, reports of early-stage investing’s demise are greatly exaggerated. If the market holds true to form, there should be between $2 billion and $3 billion invested in first-round financings during the first half of 2007. But to many, the bloom is off the early-stage rose, with some VCs even going so far as to […]

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Trouble Brewing

11 years ago

As a security industry vet and one of a handful of guys who developed the Cisco PIX Firewall (PIX is everywhere – if you are reading this from a computer at work, the text you’re reading most likely just traversed one), I can say with certainty that I am unable to protect myself from this sort […]

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Private Equity — Investing in America’s Future?

By Amanda Duckworth — 11 years ago

Just as private equity dominates news headlines today, the masters of the Wall Street universe 20 years ago were an investment bank (Drexel Burnham Lambert) and a form of debt with which the firm had become inextricably linked (the junk bond). They were fabulously successful for nearly 10 years, but Drexel’s high yield empire didn’t […]

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