Apparently 'Amundi' is a French asset-manager, roughly Europe's BlackRock or Vanguard.
Amundi warns that parts of private equity market resemble ‘Ponzi schemes’
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Re: Amundi warns that parts of private equity market resemble ‘Ponzi schemes’
#42What else do you expect when you hold rates at 0 for the better part of a decade.
And then cut taxes
Re: Amundi warns that parts of private equity market resemble ‘Ponzi schemes’
#43Earlier quoted context omitted.
Googled Uber 2021 Revenue. > $5.78 billion >Uber wrapped 2021 with strong revenue growth and greater adjusted profitability. Today I guess $5.78 billion dollars is pretty close to 0 dollars right ?
Read the only thing that matters, Uber's financial statement to the SEC.[1] Revenue from operations: $17,455,000,000 Loss from operations: $3,834,000,000 The business model still isn't working. [1] https://www.sec.gov/edgar/search/#/entityName=UBER&filter_fo...
It's not that I'm not understanding that they aren't profitable. I'm well aware that they aren't profitable. I think Uber is a terrible business. That doesn't make them a Ponzi scheme. A ponzi scheme is defined by the Revenue model, not by profitability. We don't call all unprofitable businesses ponzi schemes because they are unrelated concepts.
Re: Amundi warns that parts of private equity market resemble ‘Ponzi schemes’
#44Apparently 'Amundi' is a French asset-manager, roughly Europe's BlackRock or Vanguard.
Europe's largest asset manager.
Re: Amundi warns that parts of private equity market resemble ‘Ponzi schemes’
#45Earlier quoted context omitted.
In times of great exuberance yes, but eventually the markets do revert back and generally the broad market has been a good source of consistent, reasonable returns(6-9%). One should use their own common sense when evaluating risk and the major reason to get into a market should not be simply because others are doing it.
Surely others doing it is a perfect reason to do it. They pile in, market surges, you hop in and get lifted, and cash out before they do. Leaving aside the critical timing of that last step, it seems obviously right (for a short-term purely economics view)
In theory sure, but it has been proven over and over and over that it is incredibly difficult to time the market and some people who do this will get burned.
Also, people become incredibly greedy in these situations, they think they will be able to get out of the game but keep going back for more.