Comments on: Brazil’s love of equity http://blogs.reuters.com/felix-salmon/2011/03/29/brazils-love-of-equity/ A slice of lime in the soda Sun, 26 Oct 2014 19:05:02 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Davie http://blogs.reuters.com/felix-salmon/2011/03/29/brazils-love-of-equity/comment-page-1/#comment-25472 Wed, 30 Mar 2011 21:31:29 +0000 http://blogs.reuters.com/felix-salmon/?p=7757#comment-25472 leveraged buyout investing is a class of private equity. so is venture capital (assuming the VCs buy equity and aren’t making some sort of loan). private equity is just what it sounds like – equity that is not publicly traded.

“the idea of a private-equity shop without debt is fundamentally at odds with the genesis of the industry.” this is not true. the idea that PE in Brazil is done with no/very little debt is only surprising/interesting/profound to people who do not understand finance very well (sorkin included).

private equity done the “old-fashioned way” was just people investing in businesses that couldn’t get bank loans…something more comparable to VC today and something akin to PE in Brazil right now. not something “unprecedented.”

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By: walt9316 http://blogs.reuters.com/felix-salmon/2011/03/29/brazils-love-of-equity/comment-page-1/#comment-25437 Tue, 29 Mar 2011 17:47:18 +0000 http://blogs.reuters.com/felix-salmon/?p=7757#comment-25437 “But it’s still better than debt.” I thought “leveraged” implied debt.

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