Category Archives: Private equity

CalPERS Abandons One Part of Private Equity Scheme, Lies About the Rest, but Addled Business Press Continues to Get the Story Wrong

CalPERS is flailing about with its private equity “new business model.”

Our New York Magazine Article: “Fake ‘Unicorns’ Are Running Roughshod Over the Venture Capital Industry”

Fake unicorns are a real problem for the venture capital industry.

CalPERS Self-Dealing: Board and Staff Grift at CalPERS Expense Via Grossly Underpriced Liability Waiver; Fiduciary Self-Insurance Policy “Invalid on Its Face” Due to Lack of Reserves

CalPERS board members and staff have violated state conflict of interest rules to a degree that appears to be criminal.

Only Fools Rush In: CalPERS’ Utterly Barmy Governance Structure for New Private Equity Vehicles Creates Irresolvable Conflicts of Interest

CalPERS’ new PE business model embodies major corporate governance flaws– yet another reason to question Marcie Frost’s competence as CEO.

CalPERS CEO Marcie Frost Describes Her Intent to Leave the CalPERS Board Holding the Bag for Flawed Private Equity Scheme She’s Pushing Them to Approve

CalPERS CEO Marcie Frost is totally out of her depth, but as drowning people often do, she’ll pull other people down to save herself. In this case, it’s the CalPERS board.

CalPERS Stakeholder Groups Refuse to Run CEO Marcie Frost’s Misrepresentations About Its Reckless, Unjustified Private Equity Scheme

CalPERS CEO Marcie Frost continues to damage her already-tarnished name by flogging a hare-brained private equity “new business model” for which she cannot provide a coherent justification.

How Private Equity Bankrupted Seven Major Grocery Chains for Fun and Profit

Grocery chains as yet another example of private equity looting, and what policymakers should do to stop that.

How $14 Billion Private Equity Firm Abraaj Went Bust

The remarkable tale of the biggest private equity fund insolvency evah, Abraaj.

Toys ‘R’ Us to Come Back from the Dead

Toys ‘R’ Us will be back, albeit in a skinnied down form.

Widely-Reported Study on Uber, Lyft Driver Economics Misses Fundamental Deterioration

Once again, some Uber and Lyft data that ought to generate more questions instead gets a free pass from the press.

More Evidence that Private Equity Funds Fail as Investment: No Outperformance v. Stocks, Higher Volatility

Yet more data confirming that private equity is not what it is cracked up to be unless you do it in house.

Wolf Richter: Here Comes the Second Wave of Big Money in the “Buy-to-Rent” Scheme

PE firms are paying prices at the peak of the market, amid ceaseless complaints that there isn’t enough inventory of homes for sale,

CalPERS to End Direct Investments and Separately Managed Accounts, Limit Co-Investment as CIO Whinges About Difficulty of Putting Money to Work

CalPERS is about to take another great leap backwards in private equity.

Oxford Professor Phalippou: Since 2006, Private Equity Has Produced Only S&P 500 Returns While Reaping $400+ Billion in Fees

Oxford professor Ludovic Phalippou gives a decisive debunking of the claim that private equity outperforms.

Some Public Pension Funds Give KKR a Wet Noodle Lashing Over Toys ‘R’ Us Collapse

Not surprisingly, action in the wake of private equity investors Bain, KKR and Vornado stiffing Toys ‘R’ Us workers of their severance have generated more press than restitution. But some of the ideas bruited about would have real teeth.