underscoredpodcasts

@underscoredpodcasts

2 clips · 1 follower

Follow
Tag:liquidityClear

The 80 or 90% of the assets shareholders don't change hands. It's that 5% of the margin that's deciding the price. And if that 5% is in the state where they're they're levered up 3x or 4x as we heard uh SALP is uh was a 4x levered fund, which is that's a lot of leverage. You know, a 25% draw down takes you out of business.

TBPN
1mo ago

The nice thing about buying things in private markets is you can buy a business at eight times earnings that a public market might price at 20 times earnings, and that gap represents the opportunity. The issue is the information set you're working with is much worse, the liquidity is much worse, and the alignment between you and the people running the business is often much worse.

2mo ago

Underscored — save the words that stop you in your tracks.

Start saving quotes →