TIP663: The Truth About Private Equity w/ Ted Seides

  • Thread starter We Study Billionaires - The Investor’s Podcast
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We Study Billionaires - The Investor’s Podcast

Guest
On today’s episode, Clay is joined by Ted Seides to discuss his new book — Private Equity Deals: Lessons in investing, dealmaking, and operations from private equity professionals.

Over the past 20 years, the private equity industry has gone from a cottage industry to a powerful juggernaut that touches every corner of the global economy — now totaling over $6 trillion.

Ted is the former president and Co-CIO of Protege Partners, and prior to that, he was a senior associate, working under investing legend David Swensen at Yale. He is the host of the popular podcast — Capital Allocators.



IN THIS EPISODE YOU’LL LEARN:

00:00 - Intro

02:04 - What has led to the growth in private equity over the past few decades?

06:39 - Why David Swensen referred to private equity as a superior form of capitalism.

08:47 - Why private equity has outperformed public equities as an industry.

14:19 - How the lock-up period in private equity impacts returns.

18:03 - Ted’s take on why private equity has been given a poor reputation.

28:34 - The importance of pricing to the seller in a private equity deal.

30:17 - How interest rate hikes have impacted private equity.

32:17 - An overview of KKR’s “perfect private equity deal.”

38:27 - An overview of Apollo’s purchase of Yahoo in 2021.

49:34 - An overview KPS Partners’ purchase of TaylorMade.

57:24 - What types of investors should consider an allocation to private equity?

59:18 - Ted’s portfolio allocation.

And so much more!



Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences.



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