From Zero to Sixty on Hedge Funds and Private Equity 2.0 Quotes

“HTT avoids walking the same tightrope that KKR did by seeding their deals across all their funds. Assuming that their LPs are not invested in every fund the firm offers, the brunt of any losses is dispersed across the many LPs in all the firm’s offered funds.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“These buyers are not going to flip their purchase so they can pay more than a financial buyer, who wants a price that lets them make a profit.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“This way, they add the purchased company’s old customers, can squeeze profit from economies of scale (cutting costs and sharing duties), or acquire some new product that compliments their current offering.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“Since the customers are getting saturated with product and there are no more to convert, one of the few remaining options for these large companies to maintain their previous growth is to buy another company in that same space.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“If you know ahead of time that an asset class is about to get “overweighted” by the institutions, then you can make a bunch of money by owning it before they make their move.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“Large retail banks that take in deposits from everyday folks have to pay interest on those deposits, especially if they are held in savings accounts that yield some amount of interest. Often times these banks would fund these payments through the interest revenue that they collect on mortgages, credit cards, and small business loans that they make to customers.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“A portion of China’s sovereign wealth fund - named China Investment Corporation, Ltd - has been used to invest in China’s state-owned banks, African infrastructure ventures, and other foreign resources.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“A company failing under the weight of its corporate pension can simply declare bankruptcy and then throw off those obligations in bankruptcy. The provider of a public pension is often a city or state government, which makes the bankruptcy option either untenable or disastrous.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“the smaller hedge funds tend to do better performance-wise than the large funds. Their management fees are not enough to keep the doors open so they have to make good returns and take those incentive fees, creating a sort of Darwinian eat-what-they-cook situation. And it is just easier to invest a tiny fund (again, just ask Warren Buffett).”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“Warren Buffett complains about it every year; it is a lot harder to manage billions than millions. The investable market is much smaller.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“Probably the most expensive piece of equipment is the Bloomberg terminal, a desktop computer that brings financial types a wealth of up-to-date facts and figures. People swear by it and thanks to their cost (thousands of dollars a month!) they make great status symbols.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“Hedge and private equity funds do not care about the market and are not judged by the market. Their clients have very high expectations; they want their investments to grow in value every year without fail.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do

“A private equity transaction can be called as such if it involves the purchase or sale of securities that are not publicly traded on the market.”
― Jonathan Stanford Yu, From Zero to Sixty on Hedge Funds and Private Equity 2.0: What They Do, How They Do It, and Why They Do The Mysterious Things They Do