Chapter 276

Chapter 276 New Title [Private Equity King]

"Oh, I see. Very good. Remember to rest and take care of your body."

"Yes, I'm at the company. I'll come back with you in the evening."

"Okay, that's it. Goodbye~"

"."

Smith Building, Queens, New York. The first floor of the building was reopened as a temporary meeting room.

In total there are more than 150 LPs from Smith Capital, i.e. investors.

was invited today.

Because today is the closing date for Smith Capital's Phase 2 and Phase 3 private equity funds.

In other words, after the funds were distributed in February this year. This month, Smith Capital is giving investors another round of funding.

Once you have it the first time, you will experience it the second time.

It will slide a lot and will no longer be green.

The process of the second money-sharing conference was the same as the previous one.

This is Merio, the former deputy director and one of the current presidents. After the photo was completed, it was David who went on stage to announce the results of this private release.

The difference is that this time Abel was too lazy to go on stage.

As the company president, he sat under the stage and looked at everyone indifferently.

Smith Capital's second and third private equity funds.

The returns of these two funds did not disappoint investors. Smith Fund II, the company's current account balance is $8.756 billion.

Smith Fund III currently has a balance of $8.695 billion.

Similar to First Smith Closed-End Fund.

The profits of these two funds amounted to more than 5 billion USD.

Smith Capital's first, second, third and third consecutive private equity funds. In total, investors made $16.695 billion in profits.

Also earned about $8.347 billion in dividends for Abel, the fund manager.

Of that amount, 834.7 million US dollars will be withdrawn by Smith Capital as corporate profits.

In other words, from last August until today.

Abel is in the third phase of private equity fund Smith Capital. Dividend royalties collected amounted to 7.513 billion USD.

That's a scary number. The total revenue of all Wall Street money managers this year may not reach that figure for now.

But investors were very supportive of him taking that number.

Because no one could do what Abel did, his investment nearly doubled in just six months. If converted to an annual rate of return, it is about 85% per year.

Except for the stock market and speculative investments, which are very risky.

No other investment manager on the market can do this.

Not even Buffett and Soros.

Investors who have received capital and profits are eagerly waiting for Smith Capital to revive private equity. Of course, it had to be Albert Down's fund manager.

Otherwise, they won't be interested in the usual private placements like the fourth, fifth and sixth rounds.

They will buy these funds more or less because of Smith Capital's face and the Abel brand.

But it is completely impossible to convince them to invest large amounts of money.

Who calls these private equity funds, although the earnings are not bad. But it's not bad and is comparable only to conventional private equity funds.

These three funds are completely different from the three funds managed by fund manager Albert.

More than 150 investors asked Smith Capital to establish a new private equity fund.

This private equity fund manager is definitely Abel, and people are no longer satisfied with a fundraising quota of 3 billion US dollars.

They want more. But Smith Capital and Abel did not respond immediately, and the money distribution meeting ended after the money distribution process was completed.

Not too long ago, actually the next day.

A news from Wall Street began to spread and gradually boiled over in the American media and on the Internet.

A person familiar with the matter said Smith Capital's financial product "Smith Seventh Fund Company" will be established in the near future.

The fundraising amount will amount to 50 billion USD. The average American doesn't react much to this.

Whether it's $100 million or $50 billion, it's still far below the average American.

Also, what about private placements that require subscriptions of at least $1 million each?

Which can the average American afford?

The average American still likes to buy what Smith Capital just launched. Internet virtual currency fund is currently being sold on the Internet - "American Family Money Treasure".

This is one of Smith Capital's newest financial products and the barrier to entry is extremely low.

As long as you have 1 dollar, you can buy this product called "US Treasury" for short.

Many people have discovered that it is easy to buy and trade.

Simply open an account with Pacific Bank of Commerce. You can then quickly buy and trade between your bank and Smith Capital accounts without processing fees.

Importantly, there are no processing fees, which can be considered another deposit method.

Compared to bank savings, the interest rate is a bit higher.

Ordinary people care more about this.

Therefore, what the rich are interested in is of course not "American treasures". They will just be more interested in the Smith Saturday Fund.

Global investment funds. After many years of development, they have become a mature investment method.

With the advent of the new century, the scale of American funds increased rapidly and the inflow of stock capital was huge.

At the end of 2001, total net assets under management in the United States were $28.1 trillion, up 13% from $24.0 trillion at the end of 2000. At the same time, net fund registrations reached a record high of nearly $1.27 trillion.

In addition, the total number of fund companies in the US also remains stable but the level of confrontation is increasingly deepening.

In 2001, the total number of US fund companies was 16,000. In recent years, the number of US fund companies has remained relatively stable.

Fund companies are primarily independent fund advisors, managing 72% of investment company assets. Over the past decade, the concentration of US fund companies has increased significantly.

Among them, CR5 increased from 15% at the end of 1995 to 25% at the end of 2001, but the market share of central fund companies decreased.

Simply put, these top funds are more sought after than ever.

Based on this data, at first glance, the figure of $50 billion for Smith Capital's seventh private placement may not seem large.

As everyone knows, it is very scary for a private equity fund to reach this scale. It's simple, just look at a data set and you'll know what a $50 billion private placement is.

Currently, the world's leading private equity firm is Blackstone Group.

Note that this is the Blackstone Group and not the Blackrock Group.

Black Rock is a subsidiary of BlackRock, which is a subsidiary of PNC Financial Services Group.

PNC Financial Services Group is currently one of the shareholders of Smith Capital. Blackstone Group is primarily private equity.

PNC's Black Rock Group is a mutual fund offered primarily to the public.

As the world's largest private equity firm, the funds currently managed by Blackstone Group are only worth about $86.5 billion.

Second place belongs to EQT Europe (EQT Group).

EQT Group is a Swedish company. Today, it is the leading private equity firm in Europe, managing more than 80 billion euros in assets.

EQT Group is also a listed company on the Stockholm Stock Exchange, Sweden.

Yinruida, the parent company of the EQT Group, is the largest industrial holding company in the Nordic region and its subsidiaries include ABB, Ericsson, Electrolux and many other Fortune 500 companies.

Third place went to the American group "Kolberg Kravis Roberts".

Name is too long. It is commonly known in the industry as KKR Group, the third largest private equity firm in the world and the second largest in the United States.

Control over 70 billion USD in funds.

What do you see?

If Smith Capital's private placement is worth 50 billion US dollars this time, all of the money can be successfully raised.

It would then immediately become one of the top ten private equity firms in the world. Because in the private equity sector, a private equity fund worth more than three billion US dollars is already a large private equity fund.

In the global private equity sector, there are more and more small private investment funds with a scale of hundreds of millions of dollars, specializing in a certain investment field.

Mobilized 50 billion USD at once. Or private equity, even on Wall Street, this is a first.

After this news broke, Wall Street giants initially did not believe it. Because if this fundraising is successful, this will be the largest private equity investment fund in financial history.

People EQT Group, Blackstone Group, KKR Group.

These organizations manage dozens, if not hundreds, of private investment funds, and the scale of the custodian funds is enormous.

Smith Capital is good and wants to eat it all at once.

There was a time when I wanted to be more than half of the band Blackstone. To be honest, even Wall Street, which was already a little afraid of Abel, was not optimistic about his success.

120 Broadway, New York, 4 World Financial Center Tower, Manhattan.

Floor 34.

It is one of the five largest investment banks on Wall Street and is home to Merrill Lynch.

David Komansky, CEO of Merrill Lynch, talks with Charlie Schaff, who has been rehired but is no longer CFO but is a special financial advisor. Charlie Schaff on the latest USD/JPY event.

As an unfortunate sponsor, he and the first president, Black O'Neill, became scapegoats.

Black O'Neill later resigned. He was then sued by Merrill Lynch Securities and the trial was to take place in a month.

With Merrill Lynch's energy, even if O'Neill were black, he would definitely go to prison. As for the length of the session, it depends on the mood of David Komansky, the current CEO of Merrill Lynch.

Assess how much taller David Komansky O'Neill was at that time.

It is estimated that Stanley O'Neill will not spend ten to eight years in prison and that he will have no chance of getting out.

Charlie Schaaf, on the other hand, was out of luck. He was O'Neal's confidant at the time. Although he advised O'Neill at that time, the black president did not listen.

After this devastating loss, Merrill Lynch assumed its responsibilities.

O'Neill resigned and was indicted. Charlie Scharf was fired to deal with supporter turmoil.

But senior officials, including David Komansky, knew Charlie Schaff was innocent. Everyone knows Charlie Schaff is an elite financier with strong abilities.

Without Charlie at that time, Merrill Lynch's losses would have been even greater.

Plus, David Komansky needs some henchmen to return to power.

So, two months after firing Charlie Schaaf, he was reinstated at Merrill Lynch.

It's just that Charlie cannot continue to hold the position of CFO as before. Charlie Scharf is currently a special financial advisor to the CEO.

David Komansky himself wanted to cultivate a confidant to buy, because he was capable.

"Private placement of a $50 billion private placement."

In the CEO's office.

David Komansky looked at Charlie Schaaf across from him: "Charlie, what do you think?"

This is scandalous.

Even Charlie Schaff was always the group of Wall Streeters who admired Abel the most. At this time, Charlie Schaff was also a bit unbelievable:

"Five billion US dollars? Is this too exaggerated? Even if divided by ten, raising five billion US dollars at once is not an easy task."

David Komansky nodded and said: "I also discussed this matter with Richard at the financial reception yesterday. Richard also thinks Smith cannot finish.

"But what if he finishes talking?" Charlie Schaff couldn't help but ask.

"We'll have to be careful now." David Komansky said with a wry smile:

"Smith with $50 billion, plus his own funds and other public funds. Wall Street is no longer safe."

"Yeah," Charlie Schaff said.

"Also." Charlie Shaf repeated softly, "Mr. Komansky." If so, will Merrill Lynch register?

"Why not?" David Komansky said frankly: "As long as it is guaranteed, of course we will invest."

Charlie Scharf thinks you're contradictory.

On the one hand, I don't believe Abel Smith can meet the fundraising quota.

While saying that if that were true, Merrill Lynch would invest. What is this?

Is he both optimistic and not optimistic?

Charlie Schaaf appeared reluctant at the time and decided not to comment.

"Charlie." David Komansky doesn't let go: "You know Abel Smith. You know David Mellon better."

"You go to Smith Capital. How about going to David Mellon to confirm whether this private location is real or fake? Please."

Charlie Schaff smiled wryly, knowing he couldn't refuse.

Unless he doesn't want to work at Merrill Lynch, he won't want to continue working in finance.

Because obviously David Komansky, former Chairman O'Neill's confidant, has returned to the company as a special advisor.

Most importantly, in a high capacity, I was previously the principal trading manager for Smith Capital at Merrill Lynch. I also have a good friendship with David Mellon.

The rest of Merrill Lynch have no friendship with that side, so if they let go, the effect will be better.

This is currently Merrill Lynch's biggest role.

This is also the most important reason why David Komansky will let himself return.

Thinking of this, Charlie Schaff could only sigh in his heart and smile on the outside:

"Of course. Mr. CEO, I will get the job done.

David Komansky saw that he was very sensitive and patted him on the shoulder: "Charlie, everything is expected and left to you."

Charlie Schaff had no choice but to agree and go to Smith Capital in the afternoon.

Not surprisingly, Charlie Schaff met many of his Wall Street acquaintances in the parking lot of the Smith Building.

For example, Goldman Sachs, Lehman Brothers, Morgan Stanley, Bear Stearns and others, these companies sent people.

always of high standards.

And several other major Wall Street companies. Charlie Schaff saw these people, these people saw him.

Without having to say it directly, everyone knows everyone's real purpose when coming to Smith Capital.

Soon, several people gathered and chatted quietly.

Goldman Sachs's head of fixed income commodities, Lold Blankfein, spoke with Charlie Schaff.

"Charlie, it's great to see you again at Merrill Lynch."

Head of Fixed Income Commodities at Goldman Sachs greets Charlie Scharf. What happened at Merrill Lynch is no secret on Wall Street.

Everyone knows Charlie Schaff's experience and abilities.

If Charlie Schaff did not sign the non-compete agreement, he would only be able to work for Merrill Lynch for ten years.

By the time Charlie Scharf was fired, he had been bought out by other Wall Street firms.

This is simply because the fines for violating competition agreements are too heavy and Wall Street firms do not want to bear them. Charlie Scharf was unemployed at home for only two months and then was lured by Merrill Lynch.

Charlie Schaff smiled bitterly: "You bastard, talking about these things is inappropriate. Honestly, I came here to learn about Smith Capital Private Equity.

"Who doesn't?" Lold Blankfein said, "Paulson invited me because he wanted to know more."

Charlie Schaf looked around and said softly:

"So everyone's goal is the same. Look, there are a lot of people here for 50 billion."

The former chief financial officer of Merrill Lynch believes these Wall Street firms are like David Komansky.

Both sides do not believe Smith Capital can complete a $50 billion private placement. But at the same time, all companies fear that if this were true they wouldn't eat meat.

These CEOs and board chairs are embarrassed to come.

They then dispatched mid- and senior-level employees connected to Smith Capital.

Thinking of this, Charlie wanted to laugh a little.

"What do we do now?" Lord Blankfein asked Charlie. Lauld Blankfein visited Smith Capital headquarters for the first time.

The reason he was sent here was because Paulson wanted to train Lold Blankfein.

Lauld Blankfein is one of Paulson's promising successors.

Second, David Mellon, the current CEO of Smith Capital, previously worked under Lauder Blankfein.

The relationship between the two was quite good, which made Lauder want to receive some favors. This is somewhat similar to why David Komansky sent Charlie.

Charlie Schaff looked around, there were more than 20 Wall Street executives similar to him and Lloyd Blankfein.

Charlie simply said: "Why don't we meet David Mellon together?"

Lord Blankfein agreed.

The two men parted ways and contacted other Wall Street executives.

It takes ten minutes. More than thirty executives from various Wall Street firms gathered in front of the Smith Capital building.

That is, everyone will form a group and ask David Mellon together.

Determine the specific timeliness of this private placement by Smith Capital.

That was the first time they gathered and entered the Smith Capital building.

Charlie Schaff with his sharp eye saw a large number of people, along with David Mellon, walking out, chatting and laughing. Charlie Schaff's heart pounded, because next to David Mellon he saw Munger of Berkshire Hathaway; Lincoln of PNC Financial Services Group; Bede of Citibank; Fidelity Peter at the company; Peron at Wells Fargo.

Soon after, Charlie Schaff and other Wall Street executives had no time to intervene.

I heard David Mellon's announcement at the door.

This is Smith Capital's seventh private equity investment round. An unprecedented $50 billion private equity fund is real. This private equity fund has not yet been announced to the public and no formal fundraising activities have begun.

But it was registered for 32.5 billion US dollars.

Only a balance of 17.5 billion USD remains.

After this news was announced, public opinion was stirred.

(end of this chapter)