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Showing posts with the label Victor Fleischer

Carried Interest Loophole

Jason Kelly, in a recent book about the private equity industry, tells a story about a visit he made to Zuccotti Park in lower Manhattan in November 2011. As you may remember, the “Occupy Wall Street” folks had taken over the park two months before and were seeking to focus public anger about “Wall Street,” both as a literal and as a metaphorical term.   When people think of “Wall Street” they think first of the big investment banks, the folks who received their much-discussed bail-outs in the fall of 2008. They don’t necessarily think of private equity: of Bain Capital, or Carlyle, or even Blackstone. But at least some portions of the Occupy movement wanted to change this. As Kelly was walking around the park he saw as sign that said, “No Bulls, No Bears, just Pigs.”   That was catchy: it played upon well-known animal metaphors for Wall Street optimists and pessimists respectively.  But he also saw a sign that was a good deal less catchy. It was made up of ora...