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The next wave of restructuring —  Quant power players — Meet Carlyle’s Kewsong Lee


Kewsong Lee

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With coronavirus cases still spiking in areas throughout the country, and the US this week reporting a record second-quarter GDP slump, there’s a growing concern among borrowers and private-equity firms that cash raised in spring won’t be enough to ride out the economic fallout.

And Houlihan Lokey, Wall Street’s top adviser to distressed companies, has changed up its outlook: Instead of the sharp but quick downturn the firm initially anticipated, it’s now predicting a deeper, prolonged crisis that takes three to five years and pushes many more firms to bankruptcy.

“This pandemic is not a short-term blip, and it’s going to be something much longer and probably more damaging to the economy,” Houlihan CEO Scott Beiser said on an earnings call this week. And as Alex Morrell writes, companies that piled on debt in the early stages of the pandemic may have set themselves up to struggle as the crisis drags on.

Read the full story here:

A veteran restructuring banker warns that a corporate debt binge during the pandemic may result in a years-long economic nightmare

Keep reading for a look at 24 quant power players; WeWork’s new strategy to fill space; must-know financial adviser recruiters; and an interview with Betterment’s president of retail that sheds light on how the robo is thinking about the Robinhood effect.

Have a great weekend,

Meredith

What’s next for Carlyle

Kewsong Lee became sole CEO of The Carlyle Group last week after two-and-a-half years running the $221 billion private-equity firm alongside Glenn Youngkin.

Casey Sullivan and Meghan Morris spoke with 20 people who have worked with him, and they painted a picture of a change agent who is unafraid to challenge conventional thinking. During his seven years at Carlyle, he’s wound down underperforming strategies, revamped pay for some execs, and built up new businesses.

Read the full story here:

Meet Kewsong Lee, the private-equity exec who’s now running the show solo at Carlyle. 20 insiders lay out why the move signals a big transformation at the firm.
Must-know financial adviser recruiters

Financial adviser moves in the wealth-management industry haven’t slowed during the pandemic — recruiters and consultants say it’s just the opposite.

“When you look at the numbers, it’s really during tougher times that we see the most movement,” one San Diego, California-based recruiter said. Rebecca Ungarino rounded up nine US-based recruiters who are at the center of all the action.

Read the full story here:

These are 9 top recruiters financial advisors should know right now if they’re looking to make a move
Quant power players

Quants have gone from a niche practice to a dominant player: the largest and most important hedge funds in the world are heavily influenced by, or completely committed to, computer-run strategies.

The future of quantitative investing is under question, as …read more

Source:: Business Insider

      

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