As companion to the post below, "Unions Hate Private Equity, but They Love Its Profits", here's another angle to the private equity story. PE is the least intellectually challenging field of investment, a smart monkey with a spreadsheet and long lines of credit can do it in the right circumstances. In the current environment it is much tougher but its practitioners are ill-equipped for the higher order stuff e.g. distressed debt/company investing à la Wilbur Ross, so they keep trying. Or they come public for one last cash out.
Why do I think of the Bain & Co. (the consultancy) senior partners doing their $200 mil. recap?
From The New Yorker: