WTF is PE? Decoding Private Equity and How Investors Make Money
Money Rehab with Nicole Lapin
Money News Network
4.6 • 1.7K Ratings
🗓️ 27 June 2024
⏱️ 10 minutes
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| 0:00.0 | Money rehabbers, you have money hidden in your house. Yeah, just hiding there in plain sight. |
| 0:04.7 | Okay, so I don't mean you have gold bars hidden somewhere in walls, treasure map style, |
| 0:09.6 | but you do have a money-making opportunity that you're just leaving on the table if you're not |
| 0:13.9 | hosting on Airbnb. It's one of my all-time favorite side hustles. By hosting your |
| 0:17.8 | space you are monetizing what you already own. It doesn't get easier than that. |
| 0:21.8 | For me, hosting on Airbnb has always been a no-brainer. When I first signed up, I remember thinking to myself, |
| 0:27.0 | self, you pay a lot of money for your house. It is time that house return the favor. And to get real with you for a sec, I felt so much guilt before treating myself on vacation because traveling can be so expensive, but since hosting on Airbnb, I feel zero stress for treating myself to a much needed vacation because having |
| 0:44.2 | Airbnb guests stay at my house when I'm traveling helps offset the cost of my |
| 0:48.8 | travel. So it's such a win-win. I mean if I could do it you could do it and your home might be worth more than you think |
| 0:55.2 | find out how much at Airbnb.com. I'm Nicole Lapin, the only financial expert you don't need a dictionary to understand. |
| 1:05.0 | It's time for some money rehab. |
| 1:07.0 | What do LeBron James, James, Kim Kardashian, and Will Smith all have in common? |
| 1:17.0 | Well, they're investors in private equity. |
| 1:20.0 | Private equity is not just for celebrities, though PE has been a staple on Wall Street for decades, |
| 1:24.6 | and some of the biggest financial institutions, like Blackstone, Black Rock, and Goldman Sachs, |
| 1:29.6 | have also been involved with Private Equity. But to invest in PE do need to be a |
| 1:33.9 | gazillionaire or a celebrity or both. Today I'm going to be talking about what |
| 1:38.5 | PE is and who is for. But let's start with the basics. At its core, private equity refers to investments |
| 1:44.8 | made directly into private companies or the buyout of public companies that result in the |
| 1:49.9 | delisting of public equity. And we've actually heard an example of this. You might |
| 1:54.4 | remember my interview with Neil Perrec, one of the Casper co-founders who talked |
| 1:58.1 | about when their company went from a private company to a public company and then back to being a private company after being |
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