{"id":4179,"date":"2023-07-21T00:05:32","date_gmt":"2023-07-21T00:05:32","guid":{"rendered":"https:\/\/www.godefy.com\/pluralistic-private-equity-ghouls-have-a-new-way-to-steal-from-their-investors-20-july-2023"},"modified":"2023-07-21T00:05:32","modified_gmt":"2023-07-21T00:05:32","slug":"pluralistic-private-equity-ghouls-have-a-new-way-to-steal-from-their-investors-20-july-2023","status":"publish","type":"post","link":"https:\/\/www.godefy.com\/pluralistic-private-equity-ghouls-have-a-new-way-to-steal-from-their-investors-20-july-2023\/","title":{"rendered":"Pluralistic: Private equity ghouls have a new way to steal from their investors (20 July 2023)"},"content":{"rendered":"<p>Today&#8217;s links Private equity ghouls have a new way to steal from their investors: Continuation funds are a multi-billion-dollar blackmail racket. Hey look at this: Delights to delectate. This day in history: 2008, 2013, 2018 Colophon: Recent publications, upcoming\/recent appearances, current writing projects, current reading Private equity ghouls have a new way to steal from their investors (permalink) Private equity is quite a racket. PE managers pile up other peoples&#8217; money &#8211; pension funds, plutes, other pools of money &#8211; and then &#8220;invest&#8221; it (buying businesses, loading them with debt, cutting wages, lowering quality and setting traps for customers). For this, they get an annual fee &#8211; 2% &#8211; of the money they manage, and a bonus for any profits they make. On top of this, private equity bosses get to use the carried interest tax loophole, a scam that lets them treat this ordinary income as a capital gain, so they can pay half the taxes that a working stiff would pay on a regular salary. If you don&#8217;t know much about carried interest, you might think it has to do with &#8220;interest&#8221; on a loan or a deposit, but it&#8217;s way weirder. &#8220;Carried interest&#8221; is a tax regime designed for 16th century sea captains and their &#8220;interest&#8221; in the cargo they &#8220;carried&#8221;: https:\/\/pluralistic.net\/2021\/04\/29\/writers-must-be-paid\/#carried-interest Private equity is a cancer. Its profits come from buying productive firms, loading them with debt, abusing their suppliers, workers and customers, and driving them into ground, stiffing all of them &#8211; and the company&#8217;s&#8230;<a href=\"https:\/\/pluralistic.net\/2023\/07\/20\/continuation-fraud\/\">Pluralistic: Private equity ghouls have a new way to steal from their investors (20 July 2023)<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Today&#8217;s links Private equity ghouls have a new way to steal from their investors: Continuation funds are a multi-billion-dollar blackmail racket. Hey look at this: Delights to delectate. This day&hellip; <\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[863,739,300,1989,151,2958,626,866,3222,72,811,975,641,12,416,1284,295],"_links":{"self":[{"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/posts\/4179"}],"collection":[{"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/comments?post=4179"}],"version-history":[{"count":0,"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/posts\/4179\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/media?parent=4179"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/categories?post=4179"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.godefy.com\/wp-json\/wp\/v2\/tags?post=4179"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}