NBC just ran a piece with their morning crew where they spent 5 minutes painting Trump as guilty guilty guilty. Then, in an effort to show impartiality they transition to talking about Hunter Biden.
The piece focused on Hunter Biden raising $1.5B of PE money out of China in 2013 after traveling on Air Force 2 when the VP for his new PE firm. Then, they show Trump talking about how Biden got $1.5B for his new firm from China. Finally they say, in a gotcha tone, “but the firm wasn’t worth 1.5B, it was only worth $4mm.” In big bold red letters.
What the hell kind of garbage reporting is this? Does NBC truly not understand what raising money for a private equity fund means or how the business works? Raising $1.5B for a private equity fund does not make the PE company worth $1.5B. It gives them $1.5B to invest and the PE form generally gets 20% of any profits after a pref return plus generally the PE company gets to charge investors 2% per year in fees.
In this case Hunter Biden would get to charge 2% per year against $1.5B and keep 20% of realized gains on money invested.
The piece focused on Hunter Biden raising $1.5B of PE money out of China in 2013 after traveling on Air Force 2 when the VP for his new PE firm. Then, they show Trump talking about how Biden got $1.5B for his new firm from China. Finally they say, in a gotcha tone, “but the firm wasn’t worth 1.5B, it was only worth $4mm.” In big bold red letters.
What the hell kind of garbage reporting is this? Does NBC truly not understand what raising money for a private equity fund means or how the business works? Raising $1.5B for a private equity fund does not make the PE company worth $1.5B. It gives them $1.5B to invest and the PE form generally gets 20% of any profits after a pref return plus generally the PE company gets to charge investors 2% per year in fees.
In this case Hunter Biden would get to charge 2% per year against $1.5B and keep 20% of realized gains on money invested.
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