What Does Warren Buffett Have Against Private Equity?

The video discusses private equity, highlighting differing views on its value and performance. While some see it as a profitable investment, others, like Warren Buffett, are skeptical due to concerns about the love and care private equity firms have for their investments. The video also touches on alternative investments like real estate and credit, noting their success over time. However, it advises caution in the current market climate, suggesting that investors should be more careful when prices are high.

What is a major concern about private equity mentioned in the introduction?

• Its long-term performance

• Its popularity among investors

• Its transparency in reporting results

• Its profitability

According to Schwarzman, why has private equity been favorable for investors?

• It has been profitable over long periods

• It requires minimal caution

• It offers short-term gains

• It is less risky than other investments

What does Schwarzman suggest about the current investment climate?

• Investors should decrease allocations

• Private equity is no longer profitable

• Investors should be more cautious

• Prices are at an all-time low

What is Warren Buffett's main criticism of private equity firms?

• They love their investments too much

• They are too transparent

• They are not profitable

• They do not value their investments enough

How does Warren Buffett's view on private equity differ from Schwarzman's?

• Buffett wants to increase allocations

• Buffett believes it is highly profitable

• Buffett is a fan of private equity

• Buffett is skeptical about the firms' commitment