Democratic presidential candidate Elizabeth Warren's plan to crack down on the private equity industry would place stringent regulations on a source of funds that helped enrich her as a law professor at Harvard.
The plan, which would heavily tax and regular private equity firms to stop what Warren has called Wall Street's "Legalized looting," could also end up hurting her former Harvard colleagues and Massachusetts retirees.
While Warren acknowledged that some companies emerge better off as a result of private equity, she has pledged to heavily tax and regulate private equity to stop what she called Wall Street's "Legalized looting."
"Sometimes the companies do well. But far too often, the private equity firms are like vampires-bleeding the company dry and walking away enriched even as the company succumbs," Warren wrote in a Medium post in July.
Private equity played a significant role in securing returns for Harvard's endowment and paying the salary of Warren and her colleagues.
"The gain was primarily driven by private equity and public equity exposures," the endowment's 2018 report read. Some of those gains have returned to Warren since she launched her political career.
It would amend the tax code to drastically increase tax burden, curtail private equity's ability to take on debt to purchase companies, and prohibit them from charging "Huge monitoring fees."
https://freebeacon.com/politics/warren-pushes-to-tax-regulate-investments-that-enriched-her/
The plan, which would heavily tax and regular private equity firms to stop what Warren has called Wall Street's "Legalized looting," could also end up hurting her former Harvard colleagues and Massachusetts retirees.
While Warren acknowledged that some companies emerge better off as a result of private equity, she has pledged to heavily tax and regulate private equity to stop what she called Wall Street's "Legalized looting."
"Sometimes the companies do well. But far too often, the private equity firms are like vampires-bleeding the company dry and walking away enriched even as the company succumbs," Warren wrote in a Medium post in July.
Private equity played a significant role in securing returns for Harvard's endowment and paying the salary of Warren and her colleagues.
"The gain was primarily driven by private equity and public equity exposures," the endowment's 2018 report read. Some of those gains have returned to Warren since she launched her political career.
It would amend the tax code to drastically increase tax burden, curtail private equity's ability to take on debt to purchase companies, and prohibit them from charging "Huge monitoring fees."
https://freebeacon.com/politics/warren-pushes-to-tax-regulate-investments-that-enriched-her/
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