The Private Equity for Families Blog
Insight for those interested in private equity or direct investment in privately-held businesses. The opinions expressed in the PE4Fams blog are those of Rob McCreary and not necessarily those of CW Industrial Partners or its employees.
In the late 1960s a large population cohort, the so-called “Baby Boomers”, had an existential choice between fear of loss and the hypnotic call from Woodstock. Here is the first verse of Joni Mitchell’s epic song ” Woodstock” that captured the moment: I came upon a child of GodHe
Just when you are about to give up on the American people’s ability to make sound financial decisions they surprise you. Conventional wisdom suggests when you win the lottery three times in a 12-month period you buy a car, a house, and a boat. That was what the economists
I am sure all of you have noticed man’s best friend is one of the most popular trades during the Pandemic. My brother’s family now has four dogs. My sister has three. My daughters have multiple pets. Research shows Gen Z and the Millennial cohorts are buying up pets
I am thrilled for the true believers in the Reddit crowd who have learned to manipulate the stock market. Their formula appears to be working well with notable successes like Hertz, GameStop and now AMC. In almost every case the cookbook recipe reads like this: Find an asset that
If you explore the history of money, you begin to understand why crypto currencies are beginning to compete with monopolistic monetary systems dominated by central banks. First Money Was Jack And the Beanstalk Model The first system was a “Jack and the Beanstalk” economy where a farmer could physically
Although the recent inflation message from Chairman Jerome Powell in response to Congressional inquiries is heartening, it does not jive with some really lopsided conditions I am seeing that remind me of the 1970s. Here is what Chairman Powell said on March 23, 2021 as he and Treasury Secretary
My winter experience in Southwest Florida included watching the “BMFR” index redline at levels of conspicuous wealth not seen in my lifetime. For those of you who do not visit the Naples area, the BMFR index is the number of Bentley’s, Maserati’s, Ferraris and Rolls Royce’s you see on
As we emerge from our Covid-19 caves and rejoin business, commercial and personal worlds, I have begun to wonder what institutions, interactions, professions, entertainment and lifestyles will be altered in a material way. For most of my life I have been on a hamster wheel of expected behaviors like
I have a friend who has spent most of his career upgrading the plumbing on Wall Street. He is not a pipe wrench plumber, but rather one of the architects of the programmatic trading platforms for some of the 40 providers of liquidity that comprise the US stock market.
If you think trying to understand Bitcoin (BTC) and its blockchain is difficult, wait until you have your first encounter with decentralized banking or insurance products. It will seem as daunting and risky as climbing Everest without a sherpa. Because I am not qualified to guide in this emerging
My generation’s interaction with money, wealth, art, music, communication, commercial real estate, credit, finance, personal real estate, insurance and social interaction has mostly been through trusted third parties like Chase Bank, Goldman Sachs, Fidelity, Sotheby, National Title, Experian, Moody’s, Berkshire Hathaway, Depositary Trust Clearing Corp, ASCAP, Facebook, Apple and
Someone’s investment gyroscope is completely out of whack. For most of my investment life I have tried to discover unseen gems among the trash heap of abandoned stocks. These might be stocks with good revenue growth, low debt, high cash flows, a defensible position relative to other competitors and
I wish I could join the throng of euphoric pundits who are now advocating Modern Monetary Theory (“MMT”). Most of them equate MMT with the ascendancy of central banks and their invincibility procuring worldwide prosperity even in the face of one of the swiftest business reversals in my lifetime.
Bitcoin looks like a juicy federal and state revenue source for 2020. Based on the chart shown from the buybitcoinworldwide.com website below, there has been approximately $304 billion of capital appreciation in the cryptocurrency since January 1, 2020. It is pretty much a guess about what portion of that
“Tell Her No” was a classic rock hit from a British rock group The Zombies. The 1965 lyrics should be exhumed and applied to the runaway market appreciation in those public stocks where operating earnings do not even cover the annual interest expense: “And if she should tell you
For the last three months we have been so fixated on red and blue states we hardly noticed how many “black and blue” states are struggling from the pandemic’s onslaught. Unlike the Federal system where money printing of all kinds and deficit spending are accepted monetary policy tools, states
Few people really understand how currencies work. It requires math to figure out how much more or less a cup of coffee (Starbucks), or a hamburger (Big Mac), costs in Boston versus the same products in Moscow, Shanghai or Hamburg. If we had a universal currency like Bitcoin or
The world has 10 major stock exchanges, three of which are either controlled or influenced by China. Here are those exchanges: Exchange Established Mkt. Cap New York Stock Exchange May 1792 $19.3T NASDAQ February 1971 $13.8T Tokyo Stock Exchange January 2003 $5.7T Shanghai Stock Exchange November 1990 $4.9T Hong
This is the time of year when you can actually find child like joy in your Major League Baseball (MLB) teams. Take the Cleveland Indians with their small market budget as an example. Not-withstanding, their loss of an important starter, Mike Clevinger, the Tribe has actually secured a playoff
I remember the Over-The-Counter Trading Desk at a regional securities firm called Prescott, Ball& Turben (PBT) where I was employed in the Mergers & Acquisitions group from 1987-92. Trading small stocks was an art with high commissions and limited liquidity. Good trading desks did not “position” securities by holding
For most politicians the US economy is a fable, like the magic coffee grinder in the story about “How the Sea Got Salty”. According to legend the owner of the coffee grinder was a poor farmer who first used the magic grinder to provide food and shelter for his
This blog represents the views of Rob McCreary and do not reflect those of CW Industrial Partners or its employees. This blog is not intended as investment advice. Any discussion of a specific security is for illustrative purposes only and should not be relied upon as indicative of such security’s current or future value. Readers should consult with their own financial advisors before making an investment decision.