AI-powered analysis to help donors make informed giving decisions. Evaluate any non-profit that collects money online.
What could I do and use my Programming Skills to build something that helps Donors, Investigators, Journalists, Accountants, Attorneys, Investment Professionals, and Even Everyday Professionals with helping to Eliminate Non Profits that seem Questionable? I would like to introduce to you one of my AI Powered Applications I built that does exactly what it says! This Application Uses AI to help Donors make Informed Giving Decisions!
“TRUST GUARD APPLICATION”
Why did I Develop this Application?
Easy, To Help Every Day People Make Informed Decisions so that the Donation you give to a Non Profit doesn’t end up in Criminal Hands.
This Application is still a prototype. However it will be available soon in the Apple App Store, Google App Store and a separate Website. I have made it available for use for State and Federal Investigators, Investment & TAX Professionals, and everyday People who need an extra layer of AI to do some Due Diligence on that Non Profit who is soliciting Donations from you.
This app is great for Investigative Journalists, State and Federal Law Enforcement, Tax and Investing Professionals who are searching for Certainty before making a donation recommendation to your clients. Or Attorneys who are skeptical about a Non Profits legitimacy online. This app is being improved weekly. Please feel free to suggest improvements. We are making this app free for everyone!
To Use this application; Link Here TRUST GUARD APPLICATION . Then plug in the Correct Information into the short section on the Desktop or Browser App interface and allow the AI to work and bring you results and a Score about the Non-Profit you are asking about.
GEORGE CLOONEY’S FOUNDATION FOR JUSTICE (EXAMPLE) of Score of Trust worthiness for Donors
Please Feel Free To Use the Application Now. And Check Back in the Future. As I continue to develop and make changes to these Applications that help Donors who want to give to Non Profits and Foundations and require an extra layer of Diligence using AI.
Fee Rate for Advisories | Not a Article | Strictly For Investment Bankers and Advisors of Institutions
Section 6(b) Filing Fee Rate Advisory for Fiscal Year 2026
Aug. 25, 2025 — The Securities and Exchange Commission today announced that the fees that public companies and other issuers pay to register their securities with the Commission will decrease from $153.10 per million dollars to $138.10 per million dollars, effective October 1. The new fee rate will be applicable to the registration of securities under Section 6(b) of the Securities Act of 1933, the repurchase of securities under Section 13(e) of the Securities Exchange Act of 1934, and proxy solicitations and specified tender offers under Section 14(g) of the Securities Exchange Act of 1934.
The securities laws require the Commission to make annual adjustments to the rates for fees paid under Section 6(b) of the Securities Act of 1933, which also adjusts the annual fee rates under Sections 13(e) and 14(g) of the Securities Exchange Act of 1934 as well as Rule 24f-2 under the Investment Company Act of 1940. The Commission must set rates for the fees paid under Section 6(b) to levels that the Commission projects will generate collections equal to annual statutory target amounts. The Commission’s projections are calculated using a methodology developed in consultation with the Congressional Budget Office and the Office of Management and Budget. The Commission determined the statutory target amount for fiscal year 2026 to be $887,800,554 by adjusting the fiscal year 2025 target collection amount of $864,721,147 for the rate of inflation.
The Commission will issue further notices as appropriate to keep the public informed of developments relating to fees.
Shortened: The current fee rate for 10/1/2025 to 9/30/2026 is:
$138.10 per $1,000,000
The fee is calculated by multiplying the aggregate offering amount by 0.00013810
Filing fees are required for filings made pursuant to:
Sections 6(b) of the Securities Act of 1933
Sections 13(e) and 14(g) of the Securities Exchange Act of 1934
There are many Software tools a person or Investment Banker or Adviser could utilize to facilitate better returns and better Data or projects your developing in the Finance Space here are a few that are interesting for Advisers, Accountants and Financial Professionals.
Today’s post will draw on AI Tools that could make a Investment Adviser Representative and Investment Bankers life easier. It’s highly likely these tools have steep learning curves but just knowing about them can put your career at at fast vertical acceleration if you use them to automate your tasks and projects that make the clients portfolio more profitable. Cheif Financial Officers Especially need to read and pay attention to todays post. The day’s of not learning new tools is over. Are Financial Statements rely on our Companies Ability to be always evolving and closing gaps of inefficiencies.
First we need to understand “DATA TOOLING”. DataSnipping is used in EXCEL to accelarte Data in the spreadsheets and a whole lot more magic that is useful to Accounting and Financial Statements.
AI tooling refers to software that automates, analyzes, or enhances financial workflows using machine learning, natural language understanding, or agentic reasoning.
For Financial Planning and Analysis teams, this means:
eliminating manual data entry
accelerating reconciliations
improving internal controls
surfacing risks earlier
enabling quicker month-end and year-end closes
strengthening documentation for audit and regulatory review
The right tools turn hours of manual work into minutes — without sacrificing accuracy or control.
CHATGPT
Sam Altman and Elon both have their eyes on me as I continue to stumble forward as a Entrepreneur, however I would like to highlight ChatGPT and what this incredible AI Tool can do for you in Finance. CHAT-GPT can analyze financial data, including expenses and financial statements (income statement, balance sheet, and cash flow statement). ChatGPT will discern anomalies in the data requiring human investigation and follow-up. Finance can determine the accuracy of any financial analysis created by ChatGPT.
That’s very useful to know and I would highly encourage Investment Professionals to begin exploring incorporating CHAT GPT into your Adviser and Investment Banking Operations. The Tools for Financial Benchmarking and Analysis alone are extraordinarily useful. Let’s not forget the Tax information that can be retrieved and used by the Investment Professional when your lost. It’s magical!
SAM ALTMAN is doing his thing by making sure it’s on it course to grow. It’s commendable that Sam is always out front leading his team. Good Job Sam.
“As the FP&A Trends Research Paper 2025 reveals, AI adoption in FP&A has surged from a mere 6% in 2024 to an impressive 41% increase in usage in 2025, marking a pivotal shift in finance capabilities. Finance leaders are discovering that AI’s use goes beyond supporting general insights, machine learning predictions and natural language processing commentary.
This also includes evaluating real actionable decisions through combining capabilities such as smart data integration and exploration, report generation, forecasting and scenario simulation. This era of finance transformation not only enhances operational efficiencies but also positions finance leaders as strategic partners driving connectivity and value creation across the enterprise.
IBM Planning Analytics
IBM Planning Analytics powered by TM1 is a business performance management software suite designed to implement collaborative planning, budgeting and forecasting solutions, interactive “what-if” analyses, as well as analytical and reporting applications. For IBM’s Platform, Here is the link.
ZOCS
AI Assistant built for financial advisors, Zocks automates financial advisor workflows to enhance collaboration, efficiency, and control, saving hours of admin admin daily. This tool can give your IAR’s or CFA’s a compass when they need to automate workflows. That’s very useful.
ALTRUIST
As Investment Adviser Professionals our workflows and compliance needs to be at the forefront of everything we do as Independent Professionals. So when I discovered the Software Platform ALTRUIST I quicly saw it’s utility for Independent Investment Advisor Shops. According to Altruist’s website it describes itself as, “The AI-forward wealth platform and custodian that unifies account opening, trading, portfolio management, billing, and reporting.” Check it out here.
Not to change any subject, but rather share some additional avenues of Information in our Advisory Space and our Professional Podcasts worth a listen and where I source our Industry Insights from?
When I begin to think about great Podcasts I have listened to in the Investment Advisory Space Michael Kitces has one of the Best Adviser Podcasts out there when it comes to content in the Adviser spaces. Michaels Podcast range of guests are truly exceptional in the Advisory Space. I would highly suggest any new Series 65, Series 7, 79’s, and CFA’s to listen to his podcast like I have. You learn a awful lot about what it happening in the Advisory space. Another very special woman who I am crazy about is Laruen Templeton of Lauren Templeton Capital Management in Tennessee. And her podcast with fellow Value Investors is absolutely worth the listen. Here.
AI ROBO Advisor’s
ORIGIN
In other words, Origin is more of a AI ROBO PLANNER and the application platform aspires to truly be an AI financial advisor, with an emphasis on the advice rather than (just) managing investments. Also; What kinds of investments can I track in Origin? You can connect brokerage, retirement, and crypto accounts to see all your investments in one place. Origin also supports tracking of stocks, ETFs, mutual funds, bonds, and alternative assets via CSV upload.
DATARAILS – CLAUDE
There are many Applications a CFO could use for FP&A, and Marketing Leads. However FinanceOS® connects every data source across your business — totaling 400+ integrations — from Salesforce to SAP to specialist niche software. It is your live, Auditable Data Layer ready to work with any AI platform. It certainly is interesting looking from the bottom up at this platform. Im my opinion its worth exploring if you are a small shop that needs this type of service.
That’s All For Today!
In the End there are many interesting AI Applications that a company and or Team could use in the Financial Space. However if your really not finding exactly what you need as a CFO or Adviser Shop or even an Accounting and or Tax Law Firm or maybe a Independent Enrolled Agent. You have a few options at your disposal. You can use what everyone else in the community is using, you could have a application built for your firms propreitary use, or you can use an AI Application that develops Apps for you and correct it as you go. All things considered? It’s a big Space! Many AI Apps available. Just keep searching and correcting your own systems. Eventually? You will find an AI Application or stack of AI apps that work for you and your team. Until Next Time. Thank you. Good Night and Good Luck!
Today’s post will be a detailed Outline of my 2025 Securities Performance highlights, Professional Investment Lesson’s, Learned Investment Philosophy’s put into practice and even people to watch within investing while sharing more about my personal mission as a Entrepreneur. My Investment Philosophy adopts best practices by many professionals out there in the community. Professionals like Orlando Bravo, Peter Theil’s Entrepreneur Philosophy of Zero to One and of course lots and lot’s of content by fellow Value Investors who have adopt Ben Grahams and Phillip Fisher’s Investment Philosophy even including Venture Capital Investment Lessons that do work. This will be fun. But will show “GOOD, Bad, and UGLY. Let’s get started.
Below you can see my Investment Performance for the year of 2025 developed a wide margin when compared to the S&P’s performance. My securities portfolio again proved that I am someone to watch.
2025 My securities Portfolio Soared to new heights. All Because of my faith, and from the trained fundamentals and Investment Philosophy that was taught to me by Seth Klarman, Bill Ackman, Li Liu, Mohnish Pabrai, David Park, Guy Spier, Warren Buffett, Charlie Munger, Phil Fischer, and Ben Graham and even the always quick to put me on a Path of Zero to One Mr. Peter Theil.
My Concentrated Investments focus on the TMT Space.
What is the Definition of TMT according to Boston Consulting Group;
Technology, Media, and Telecommunications (TMT) companies deliver the products, infrastructure, and content that boost resilience and sustainability across industries, and across society. But they also face challenges that require them to think boldly, respond quickly, and continuously improve.
Discipline of Doing Nothing When Markets Dip
In the beginning of 2025 my personal situation was deteriorating fast and was not good, I was being harassed, Stalked, investigated, hurt, drugged and electronically monitored and more all year. And strangely I have even had people following me around all year. It was really a crazy situation and felt like it was heading toward total WAR with whoever was stalking me. I was angry a lot. I was literally hiding in my Car as I traveled around trying to learn to program as a entrepreneur. I also have been studying German this entire year. So I am progressing and learning new skills. Figuring it out.
A guy with a New York Yankees Hat kept appearing. I was leaning on the skills taught to me by my Brothers who are Elite Military Special Operators to survive. While at the same time I was being stalked by a group of People who were not letting me know their intentions, and unidentified people in our Government. It was really Bad. I had several Government Agencies using the same Specialized Software to stalk me. And then their Corporate Counterparts doing the same. None of it was really clear. But it was clear I was under siege.
I was noticing they were jamming my phone and limiting what I could do to make income, and move around as a person. Cars were crashing near me. And just crazy following me around. My life was being controlled electronically. It was wrong. My health has been severely affected by the abuse and more I have gone through this year. And of course my Civil Rights were routinely violated. It was shocking and crazy. Moving on..!
Arizona to Los Angeles To San Francisco To Las Vegas
Here is what I did, I was in Los Angeles by January 2025 and worked my way to Oxnard California and I could tell Mr. Bravo was watching by now. He likely wanted to see what I was about as a Entrepreneur. I just Hunkered Down and kept trying. Strange people were controlling things I could do. I could tell someone was trying to make me broke and desperate. Using Government Computers and more.
But with all this crazy happening? I had the foresight and discipline to look at my Securities Account and “DO NOTHING, ALL YEAR”! And the account began to SOAR IN VALUE. Compounding nicely. I did not short any public company all year. That is a myth.
Concentrated Securities in my Portfolio
It’s no secret I like to keep my Fund’s Portfolio Highly Concentrated, so much so that I literally only have 4 Equity Positions. My Portfolio literally has been closed for about a year and half as I continued to learn to manage the unwanted contact happening to me and the fact I have criminals or strange eyes loitering around. So I Kept my portfolio closed and allowed it to compound nicely.
These are the Securities Offerings I keep within my Stock Portfolio. I have one complaint, Insight Enterprises. But I will never sell it.
Moving on, My first Stock is my highly concentrated position inside my portfolio. It has soared in value since I have owned the Company. I am very happy with the guys at this Undocumented Tech Company. Im also happy with my Berkshire Hathaway and Pershing Square Company Positions. Berkshire has not performed as well as I thought, but with long term horizons I can see it’s value will see new heights. Pershing Square? I just keep buying it. Value Investors do support other Value Investors. And I am proud to say, I am in the Value Investors Club as member. Thank you guys.
Investment Philosophy Drives Professional Investment Behavior.
The topic of Investment Philosophy is a very broad engaging topic that is high controversial at times, and I see value across the spectrum of Entrepreneurs and especially from my group of Value Investors. However let me share some brief details of what Value Investors are and Growth Investors.
Value Investing Definition according to Google:
Value investing is a strategy where investors aim to purchase stocks at prices below their so-called ˈintrinsic valueˈ, expecting the market to eventually recognize the stock’s true worth.
For More In-depth Value Investing Principles and Philosophy in Action? Please Visit These Fellow investment professionals. Guy Spier’s Blog. And Howard Marks Memo’s.
Growth Investing Definition:
Philip Fisher pioneered growth investing and wrote Common Stocks and Uncommon Profits. He introduced the buy-and-hold method, focusing on a stock’s potential growth over the long term. Fisher’s “15 Points” guide investors to assess companies’ leadership and innovation.
Please feel free to read these fantastic books By Phil Fisher.
What has Warren Buffett shared about Phil Fisher’s books?
Now that we have some basic investing Philosophy out of the way, we can foucus on long term Securities Investing and Valuation. What is securities Valuation? Li Liu has excellent content on Value Investing and Valuation. Li Liu’s video below is worth the watch.
More Content for Concentrated Portfolios and his thoughts on Diversification by Legendary Macro Investor Stan Druckenmiller.
Investment Management Styles Do Differ
There are so many great Investors I would love to include in my Annual Report. Those I have learned from. But I am unable to list them all. However in the VC Investment Space I do pay attention to Legendary Actor Edward Norton who helped fund ZECK, and fellow Brazilian Jiu Jitsu Investor and Grappler who is a Black Belt Professor the always fun Actor Ashton Kutcher of Sound Ventures. If your paying attention to the VC World? You will want to look to them for Investment Philosophy as well. Because they have made some small Investments perform incredibly well in the Venture Capital Space. And that’s very impressive to watch. And deserves a mention in my annual report.
My year as a Entrepreneur has been extremely difficult and led to events that were honestly intentional by outside people who did not have my best interests at heart. But Im still going. Still here. Working my way as a Entrepreneur. Believe it or not? My Investment Skills give me more of a education and edge in life than those who have not put in the work to learn the Investment Philosophies and other books I have read that give us contrarian value.
Technology Software Investing Activity
Many people who do not know me well. Do wrongly assume I am this Billionaire Stock Broker who is some High Flying Executive who was involved with Politics and a Insider witin the Trump Administration. But the truth is very different. I am a Tech Entrepreneur, writer who does have a Bankers Education and does have my License Qualifications to manage large pools of capitol. Who is also learning to program slowly and building my own company from the ground up. If I must choose one person who gets me, and does understand my Entrepreneur mission it would be Mr. Don Orlando Bravo of Thoma Bravo. He is an Attorney who is also a Banker who helped build a Private Equity Firm in Software. His company and investments are very close to what I am building as well.
Thoma Bravo, the world’s largest software-focused investment firm, manages over $181 billion in assets for over 75 global software companies.
In all fairness it takes a very long term Horizon to achieve what Thoma Bravo has achieved. And the best lesson from fellow Value Investors Mr. Bravo and Mr. Thoma I can share that resonates? “Is keep figuring it out and keep learning new skills. It may take a few decades. But you must commit to pay that price.”
Thank You Mr. Bravo. Im working very hard to make you proud Sir.
2025 Investment Performance
All my Value Investing Family and Friends, to the Family Offices, and even Investment Professionals who have visited my website want to know what my performance was? It’s simple I took a screen shot of my Etrade Account Portfolio at the end of the year. I dominated once again this year by wide margins vs. the S&P. My yearly return was an astounding 73.6 percent for 2025. Im not bragging. However I did have the discipline to do absolutely nothing in my account all year. And that is where I shine as a Professional Investor. With all the chaos and dirt things that were done to me this year? My investment portfolio remained untouched and compounded beautifully this year.
Yours can do the same if you adhere to some time honored Investment Philosophy priciples and philossophy I detailed above in the books and content I shared. But? You must put in the work! It takes lots of time and reading and continued learning to join the ranks within Professional Investing. And you must absolutely have discipline when everything is falling and crashing around you. Maintain your discipline to never touch your securities and never DAY TRADE! And if you have chosen wisely? And if the long term horizon of the Market agrees? You too will results that exceed your expectations.
Conclusion
Politically? I am a Independent. I see value on both sides. And as writer? I maintain my independence from undue influence within politics. There is no good that can come from Political Fights. It is in my opinion? That I should just keep doing my own thing as a Entrepreneur. As such..? I would like to include a Foundation in my annual report that deserves a mention. The George Clooney Foundation for Justice.
In the George Clooney Foundation for justice mission statement it reads; “We wage justice by providing free legal aid in defense of free speech and women’s rights in more than 40 countries. We monitor and report on unfair trials, challenge unjust laws in the courts, establish legal aid clinics for the most vulnerable and support the next generation of gender justice champions.” This absolutely deserves a mention in my annual report. It’s important work. And I support it.
Thats all for this year. Thank you for reading my annual report for my securities portfolio. And as I leave? Let me leave your with this personal thought that I love by the great Actor George Clooney.
George Clooney played Edward R. Murrow and would sign off the air every night in a very classy fashion I do like to use commonly as person and writer. So..? I wish you well. And?
TEN FACTS THAT MAKE MR. LARRY FINK THE MOST POWERFUL MAN ON WALL STREET
Capitalized
Mr. Laurence D. Fink (Larry Fink) needs no introduction he is a Founder of BlackRock a Asset Management Company with over 10 Trillion of Assets under management and has been a leader in Investments and Technology space since Founding his company in 1988. Mr. Fink’s story should be defined by his exceptional resiliency. In the early 1980’s Mr. Fink was a M&A Investment Banker at First Boston. And quickly rose to be the top of the Bond M&A Leader space. Until a loss that would ultimately change his career’s trajectory.
It is no mystery Mr. Fink and Blackstone’s Founder Mr. Stephen Schwarzman were partners during the late 1980’s and after a proposal was declined? Mr. Fink decided to sell his stake. Which led to Mr. Fink to start his own Asset Management firm. And ultimately this move led to BlackRock becoming THE Dominant name in the the Asset Management Space.
Entrepreneurs are Outcasts
Any Man of Good Courage like Mr. Fink knows you will encounter opposition to your mission. But you must over come the opposition. “With good courage.””Interestingly as a Entrepreneur like Mr. Fink? I too have had a professional brush ups with Blackstone’s Management. But all is forgiven, and I honestly do have nothing but the greatest respect for Blackstone’s leadership. Mr. Fink, Mr. Schwarzman and even Myself have all been treated as Outcasts in the Investment space. So I believe I am in good company as a fellow Entrepreneur. Smile.”
EXCEPTIONAL SUCCESS IN THE ASHES OF A 100 MILL FAILURE
In light of all the incredible success’s Mr. Larry Fink has had in becoming the most Powerful Man in Finance. It must be shared in order to build his investment success’s? He was subjected to torturous intractable failures and pain along the way.
It is said by some entrepreneurs our failures sometimes become “Badge’s of Honor Stories”. And great stories and legendary stories that circulate within the community.” Mr. Fink’s 1986 One Hundred Million Dollar trading loss has to be best described by me as a “Badge of Honor!” Not because his trading team lost 100 million. But because he did not allow this to define his future.
Even though Mr. Fink did experience a One Hundred Million Dollar Trading Failure that originated when his team was running the Bond Trading at the Investment Bank “First Boston” in the second financial quarter of 1986. Mr. Fink was not fired from First Boston Bank. But he was sidelined. This was not the end for Mr. Fink. He would move on to demonstrate exceptional resiliency moving forward. He has shown us all defeat is not the end. He quietly left First Boston Investment Bank at the age of 36. And moved on from this to Become one of the Greatest of All Time within Asset Management.
Risk is everywhere in Business
After Mr. Fink’s team failure at First Boston, suddenly other Bond Traders and other associates within the Banking space did not want to be associated with him. He was BlackBalled. Just like I have experienced in my quest as a Software M&A Investment Entrepreneur. People will throw mud at you, the groupie cowards quietly snicker and talk behind your back, sabotage you, spreading untrue rumors, and even sabotaging your prospects. All the while avoiding you.
But on any day? These same subversive types will never be able to handle open physical combat with real bone crushing consequences, or in general? Perform at your level. Mr. Fink as a fellow entrepreneur knows how to let your Investment Performance do the talking for you. We learn that the under-performers who sabotage others? They hide. But it’s not the end. Keep moving forward. Punish them with your performance. Risk will always be present.
Mr. Fink has been there done that and now? So have I! “If your not failing and fighting your way forward? Your Not Learning.” This brings me to this Posts purpose.
It’s important to point out even though Mr. Larry Fink experienced a failure and decided to leave his Investment Bank at First Boston. It was clear no one was going to give Mr. Fink access to capital to manage. Until everything changed! Mr. Fink quietly met the Legendary Blackstone Founder Mr. Stephen Schwarzman and then his professional life changed. Access to capital is everything.
Ten Facts about Mr. Larry Fink that make him Formidable
If your not “HARDCORE” about your business and life’s mission? Your not defining your legacy.
1988 Mr. Larry Fink Establishes his Investment Fund which becomes known as BlackRock
1989 Mr. Larry Fink takes BLACKROCK Public. When BlackRock goes public in 1989 it is the Fifth largest Asset Manager listed on the New York Stock Exchange.
Mr. Fink serves as interim Co-Chair of the Board of Trustees of the World Economic Forum and Co-Chair of NYU Langone Medical Center.
Mr. Fink is a current member of the board of the Museum of Modern Art and serves on the Advisory Board of the Tsinghua University School of Economics and Management in Beijing
Mr. Fink’s Duty To Preserving the Liberal Arts
On a side note: “I love that Mr. Fink loves Art like myself and is PURPLE in his political beliefs”. And this is really refreshing Mr. Fink is a staunch advocate and invests in Philanthropy and keeping the Liberal Arts Scene alive. Thank you Mr. Fink! I would like to introduce you to someone who was very kind to me when I was first starting out and who recently passed on and was a fellow Investment Professional from Kansas City. “Mr. G. Kenneth Baum.” Mr. Baum facilitated H&R Bloc Initial Public Offering during his Investment Career. Mr. Baums Son Jonathan Baum, lovely Wife Anna Baum and their entire lovely family in Kansas City would be happy to see I am keeping Mr. G. Kenneth Baums legacy alive in this post by sharing The Baum Family has contributed substantially to our local Art’s scene and the Nelson Museum of Art in Kansas City. It makes me sad I am not in Kansas City currently. However I am there in Spirit. It’s home.
If you did not know? Mr. Larry Fink is a leader on the Executive Committee of the Partnership for New York City.
Mr. Fink’s Education Success earned him an MBA from the University of California at Los Angeles (UCLA) in 1976 and a BA from UCLA in 1974.
Mr. Larry Fink is the Chairman and CEO at BlackRock: As the firm’s leader, he is responsible for senior leadership, succession planning, and client relationships
Global influence: Fink sits on the board of the World Economic Forum and is a highly influential figure in global finance, with his letters to investors often setting the agenda for major market trends and corporate social responsibility.
Mr. Larry Fink is a leader and in Good Standing as a Member of Kappa Beta Phi Fraternity
Mr. Larry Fink is a Global Leader in Finance and AI Global Influence. His professional Opinion and Influence reach all the way to the Oval Office of the United States of America, The Senate on Capitol Hill, and to Political Leaders across the globe. A Professional Man To Take Serious. Honor.
Capital, Risk, Initial Public Offering
Thank you for reading my post on the Ten Facts about BlackRocks Founder Mr. Laurence D. Fink, Mr. Larry Fink. I would like to end this post with a quote that details Mr. Finks Character and Commitment to helping his guys who are Investment Fund Managers. In a recent article Mr. Fink was heard Praising the alway’s respectable and Dominant Bond Market Analysis Voice his Chief Investment Officer Mr. Rick Reider.
In a 2018 interview, Fink expressed his admiration for Rieder’s character and passion, particularly his “headfirst approach to everything he does”.
“More than 50 percent of what attracted me to Rick in having him come to BlackRock was his personal being and his character”.
In a 2013 article, Fink praised Rieder’s work, which helped to turn around BlackRock’s active fixed-income business after years of underperformance and redemptions.
Fink referenced a “great statistic that my good friend, Rick Rieder, uses all the time” in a 2024 CNBC interview.
As a Entrepreneur I do believe soon, I too will be in a position to have serious conversations with Investment Professionals about raising my own Company from the ground up. Like Mr. Fink and Mr. Reider’s Fund has done. And I do appreciate my own moves and investment performance will dictate that opportunity.
All things Considered?
Mr. Fink has previously stated on CNBC “IPO’s are good thing!” CNBC Appearnce . Hopefully soon? Me and a Group of Investment Professionals, We can make that reality. And just like taking a page from Mr. Finks Book? I too won’t allow the failures and painful defeats I have sustained from keeping me from going public like Mr. Larry Fink has also done. Making me another Entrepreneur outcast that has reached serious success with serious minded Investment Professionals.
Even though I have also sustained embarrassing failures like Mr. Fink and other professsionals? I too won’t allow these failures to decide my future success. Keeping my integrity, and mission simple and keep moving forward. Like Mr. Larry Fink has done. Thanks for reading. And Thank You Mr. Fink and Mr. Rieder for the content. Jameson “Doc” Sharp.
There are Different Capital allocation strategies for CEO’s. However this post will dive into the different ways and avenues CEO’s have for Allocating Capital and what Equity vs. Debt is used for when raising Capital for growth.
Imagine your a CEO and you growing your public company, but find that your really not prepared for the capital it takes to buy a larger company. What do you do? That is a hard question to ask. However I can go through the different options a CEO has when using finance to Buy a company. And what being smart with asset allocation looks like? And what are the different options a CEO has with Leveraged Finance? Let’s get started! Uncle John Malone the Founder of Liberty Media teaching about Structured Financing below.
There are really only five Capital Allocation moves on the chessboard as a Chief Executive. First you have the option of investing into Research and Development or the Operations of your company. The next option is for you as the CEO to Invest into and or Acquire Strategic Assets or Companies. Next you could Issue Shareholder Dividends with Cash from the Balance Sheet. Or if your Cash is beginning to pile up like Bill Ackman’s Company Pershing Square from buying all those incredible cash flowing businesses you as the CEO have the option to implement a Stock Repurchase plan. And the very last? Pay off Debt that is causing your balance sheet to be inefficient. These are your options.
The Problem Issuing Additional Shares Diluting Current Shareholders Shares
Issuing Additional Equity Shares as a Capital Raise is foolish and blatantly unfair in my opinion to Shareholders. Because this dilutes current shareholders equity shares. In other words shareholders holding shares who are not able to provide additional capital will have their shares diluted equaling a reduction in ownership. To me that’s a touchy subject. I don’t feel that is fair to shareholders.
So what are the options a CEO has for Financing? That is a loaded question. Because we have 2 Finance Topics that need more explained real fast.
Structured Finance
Structured Finance is a entire topic unto itself about Finance LAW. However for todays article or post we will keep it brief. Structured Finance Refers to financing options for Restructuring a company out of Bankruptcy. You have Structured Finance options such as?
First we can share Structured Finance. What is Structured finance is all about? Financing a Business using Securitization, Tranching, Credit Enhancements.
Leveraged Finance
Leveraged Finance on the other hand is all about the Following: CEO’s. Pay ATTENTION!
Leveraged Finance (LevFin) refers to the financing of highly levered, speculative-grade companies. Within the investment bank, the Leveraged Finance (“LevFin”) group works with corporations and private equity firms to raise debt capital by syndicating loans and underwriting bond offerings to be used in LBOs, M&A, debt refinancing and recapitalizations.
The funds raised are used primarily for: Leveraged Buy Outs of Companies, Mergers and Acquisitions, Recapitalizations, Refi Old-Debt. If your a Investment Banking Analyst or Finance Student the links will help you find more about these different options Advisors, Bankers and CEO’s use to Finance Business’s Acquisitions or Debt.
Mergers & Acquisitions: Acquirers often borrow to pay acquisitions. When a lot of debt is needed, it falls under the leveraged finance umbrella.
Recapitalizations: Companies borrow to pay dividends (“dividend recap”) or to buy back shares.
Refinancing old debt: There is an old investment banking adage that says “the best thing about bonds is that they mature.” Once a company’s debt matures, the company will need to borrow again to pay for the old debt.
One last part that is not obvious but crucial for CEO’s to understand. There is another method of Financing a Companies Sub-Division that may not correlate well with the Holding Companies niche in the Market Space. A way to keep finance separate is through the use of Tracking Stocks. Please read the Image below for more detailed description of Tracking Stocks.
Did you know? “Tracking stocks will trade in the open market separately from the parent company’s stock.” I was introduced first by and was educated about the use of Tracking Stocks by none other the Cable Cowboy CEO of TCI and Founder of Liberty Media Mr. John Malone.
Conclusion for CEO Finance Options
I do hope you found value in today’s post about Financing Options for CEO’s and hope you will use this new information to make better informed decisions as Public Company and Private Company CEO’s running and navigating finance. There are so many topics that evolve around the Finance Capital Markets that it would be impossible to include all available information on one post on my blog. But I would like to leave you with a very valuable nugget of wisdom from Mr. Warren Buffett.
Warren Buffett the CEO of Berkshire Hathaway always buys and invests into companies that gush cash flow. In turn his Company Berkshire Hathaway is always stacking cash and using the Treasury Markets to store that cash flow for the Balance Sheet. You see Mr. Buffett is smart enough to never place his companies extra cash inside a Bank Account at a Bank. That would be extremely inefficient and he would not receive hardly any long term value placing money into these facilities. Mr. Buffett would actually lose money over time. So he uses the Treasury markets to gain a positive interest on the cash Berkshire holds.
I hope you found value and wisdom from the information provided today. Nothing in this post is Personal or Business Financial Advice. And should be construed as strictly entertainment and the options a CEO has when considering all options for Financing. I hope you will take a page from Mr. Buffett’s book and Mr. John Malone’s Book and use what I have provided to make better and more informed decisions using the complex Capital Markets. Often times? Financing Business basics and using unsexy practices are all it takes to outperform the market as a informed CEO. Thank you.
What comes to our minds when I mention the name Guy Spier?
Guy Spier is a Value Investor, Fund Manager, Investment Banker, Harvard Graduate, Talented Skier, Father, Husband and also Mr. Spier is a Community leader of VALUE X.
Here are Seven lessons I have learned from Guy Spier that I would like to pass on to you. It doesn’t matter if your a Professional Investment Fund manager or Company Executive. You will find calmness and wisdom from Guy’s wisdom.
Investing Without Emotions
Guy teach’s his followers like myself that we should always invest without emotions. First we must break down what this means. 1. Breaking down what are our personal Behavior Biases truly are? 2. Be aware of common behavioral biases we may resort to without thought. 3. Defining your goals and time horizon can help you avoid emotional biases. 4. Bucketing or Achieving Milestone’s helps your clearly see your progression. Discipline can help you keep to a plan of action.
You may feel that watching CNBC or Bloomberg as a Retail Investor is good to gather the latest information on the market. It will feel like this gives you an investing edge in the market. However your are dead wrong! It’s simply a media outlet meant to deliver news and entertainment in the business world. That’s all. It’s smart not to allow this Television content to cloud your judgment and emotions while Investing. We as Value investor’s have a checklist, and a sophisticated skill set that includes Due Diligence and valuation processes before Investing in a Opportunity. We use these skills and our personal research before deciding if this would a good investment opportunity. Having the discipline to say no to things or investments does have tremendous value. Survival is everything. Protecting Capital is your duty. These are all ways to help you as a individual keep thing in focus and Invest without Emotions.
Resist Rebalancing
Many Retail Investors are being taught by the Traders on Youtube and it’s also standard practice for many Financial Advisors to Rebalance your Portfolio of securities when it looks like the market is overvalued. This looks like this. Your standard Retail investor has twenty securities positions. And if you place Five Percent of your Capital in to twenty positions this equals a hundred percent of your capital. However if history is a teacher? And if you were to just allow your portfolio grow organically? You may have a few positions see substantial growth and you will see a mixed bag of performance of mediocrity. And then you will see a few positions perform poorly earning you no returns or possibly loosing money. However with Guy’s approach of just allowing your portfolio to grow organically without rebalancing? You will see your small set of high performers account for most of your growth in your portfolio. While at the same time limiting the loss’s of the poor performers. In other words? Investing is very forgiving if you adhere to using long term time horizons as a strategy for your portfolio.
Learning From Your Mistakes Early in Your Career
This is truly a important lesson that Mr. Spier has shared publicly that I feel has a ton of merit for other Investors and Entrepreneurs like myself. Bottom line up front? You will make mistakes. You will make many mistakes. You will embarrass yourself. Making Mistakes and learning from them is just apart of the Human Experience. And if your a Entrepreneur? You will likely find that your failing your way forward. Now let’s learn about a big Mistake most Investors encounter when they begin investing as Retail Investors. You just don’t know what you don’t know. There are three different types of Entrepreneurs. Small Business Boutique Entrepreneurs, Enterprise Operator Entrepreneurs, and the Decentralized Investment Entrepreneurs. All has their own unique world. However they all encounter one mistake after another. It’s truly important to share your mistakes so that others may learn from your mistakes in business. Let’s be honest! Sometimes they make for great stories when your successful in the end. LOL
Defining Your Circle of Competence
Defining your circle of Competence means “What are you trained to do and what are you professionally knowledgeable about?” This important question can give you direction and confidence when evaluating Investment Opportunities. And if we are being honest if you can fix your Car’s Engine when it fails on you. I wouldn’t expect to see Guy Spier turning wrench’s in his Driveway in Switzerland when his car suddenly has a failure. No He would dispatch a Automotive technician or just buy a new car. Why spend the time on something of this caliber when you have options. Expert Networks operate in the same manner. There are Business professionals who do not have backgrounds in all things related to technology, manufacturing and and so many more topics of interest.
GLG Insights is a company any Investor or Business Professional can access and speak to Experts in their respective fields about a topic and answer difficult questions you may have about their respective professions and expertise. If you don’t have a Background in Softdrink manufacturing it’s likely you would seek out Softdrink Manufacturing experts. This is what we mean by saying, “Define your circle of competence.” You know what you know. And leave the hard questions to the experts of their fields.
Risk and Downside
Investing is a activity that involves Risk. Risk is the thing that acts as barrier or is the Downside of Investments. Some investments are relatively safe like Investing in US Treasuries. Then their are Investments like for example investing in to High Risk opportunities that may not return your capital and may not give you a return like New Startups and Junk Bonds. It all comes down to What is your Risk threshold. The lesson we can take from Guy’s lesson’s on Risk directly is communicated by his friend Warren Buffett. Warren spends a lot of time thinking about the Downside of an Investment. If you are comfortable investing your money into a company with a proven track record? Then it’s highly likely the downside of risk will be lower than investing into a unproven company that has not been in business for long. Your appetite for Risk is a personal comfort level. And I must mention that your comfort with risk directly correlates with what your circle of competence is!
Interestingly Mr. Guy Spier’s father was a Sapper in the Israeli Army. And the reverence and love that he speaks about his Father and how his Father is able to calm the environment with his presence and ability to listen while bringing calmness to the situation. Sounds to me like the Man you want next to you in a Fox Hole while your being bombarded with Bombs and all out War. This touches on the Topic of Risk and Downside because you want to be able to keep your cool during stressful situations. Id love to learn more about Mr. Spier’s Father. He sounds like a real Bad Ass. I can respect that.
While watching or rather Listening to Guy Spier and his fellow writer Mr. William Green it was very refreshing to hear these two community leaders speak about having the Courage to share your thoughts and feelings in real time. While filming a episode of the Podcast Surviving and Thriving recently. They were sharing a point in time when they were collaborating and writing Guy’s first Hit Book “The Education of a Value Investor”. I found it utterly Courageous that Mr. William Green had the fortitude to hone in and selectively ask hard questions and seek difficult answers to personal situations that occurred to Mr. Spier during the very stressful weekend of the Great Financial Crisis of 2008. The Video is below. Furthermore during the weekend of the Great Financial Crisis Guy’s Aquamarine Fund was hanging in the balance and held hostage during the Bankruptcy of Bear Stearns. However Jamie Dimon and JP Morgan came to his Funds rescue by making a Bid and buying Bear Stearns. It’s truly a fascinating look at how two very good friends of 30 years can open eachother up and allow mutual trust. A lesson definitely worth the watch.
Keep a Professional Journal | Annual Reports
William Green and Mr. Guy Spier touch on the very important topic of keeping and committing to writing a Professional Personal Journal or even servicing your Funds Annual Reports. Some in our space of Investing, do diligently keep Annual Reports detailing their Thoughts, Decisions, and the reasoning behind the exposures in the Market within their Portfolio’s. How many times have we as individuals forgotten why we did this or that or forgotten our split of the moment thoughts and reasoning while explaining our actions to others who were not present? Keeping track of professional actions is vital to our success as Professionals. So understandably It makes since to keep a journal. However it’s also important to keep a Personal Journal to allow the reader or you back into your Decision making process. We are all humans. We are all imperfect. So keeping a Personal and Professional Journal can make a ton of sense for Professionals like myself and Guy who do openly and admittedly have ADHD.
Mr. William Green’s advocacy of writing throughout your career stems from his professional life as a Author and writer. He is always selflessly adding value in the Investment Space. Mr. Green is a professional writer within the Value Investor community. And his speech’s and guidance and journal suggestions are always pure gold. I genuinely appreciate Mr. Green sharing thoughts publicly as it has helped me in my writing.
Annual Reports
Why keep a Journal for a Annual Report? As Professional Investment Advisors and Investment Fund Managers or Partnerships it’s not only smart to keep a Annual Report, but also it’s required by Securities Regulators. When Investors read your Annual Reports it’s wise to let them in to see how your decisions and actions led to you choosing to build a Professional Portfolio.
After all the Investment Returns or Failures need to be accounted for. An annual report is a document that public corporations must provide annually to shareholders that describes their operations and financial conditions. At the end of the year when Annual Reports are drafted and published this keeps all involved in the Profession Accountable and demonstrates Public Transparency. I hope you found something in this post useful and insightful from Mr. Spier’s content.
“Sometimes Political Pressure Comes From Shareholder Value Creation”
This Week’s Post will dive into Special Situation Investing and how this investment niche can be used in the Market to sometimes force Corporate Governance, Management, and Boards of Directors to hold a Proxy contests to install a new outside Director on to a unfriendly Board Of Directors. They elect a new outside Board Of Directors member to correct the board alignment. Creating shareholder value.
According to Investopedia: A special situation is an unusual event that compels investors to buy a stock or other asset in the belief that its price will rise.
Activist Investing
Sometimes Special Situations Investing is referred to by some Investment Professionals as “Activist Investing.” Special Situation Investing by definition has little to do Security Analyses. And more to do with buying a controlling percentage of shares of at least five percent to force a vote to elect an outside member to the Board of Directors. Often this person is a Fund Manager, or elected member of the investor. With this said there is Risk involved with these actions and proxy vote contests.
“Attention:” The following content or post is a general post about “Special Situations Investing”. And is not to be construed or intended to be “How to Invest in Special Situations”.This post is meant to be a general outline of the topic related and share stories related to Special Situation investing. Entertainment only. Meant to be examples of stories. Thank you all Investment Fund Mangers who are close to me. They are always challenging me to be better. That’s respect. Thank you. Are the Markets Efficient? After realizing markets are far from Efficient like the media and some academics likes to proclaim. It’s clear Special Situations has a long history of wins by very notable prolific Investors. And some very publicly losses that have ruined some Fund Managers.
Value Investing Spectrum
Value Investing can be described as paying less for a piece of a company in the market than the actual intrinsic value of the company. You will find that most Value Investors like myself and other close followers of Warren Buffett, Charlie Munger, Li Liu, Ben Graham, Guy Spier, Bill Ackman, Mohnish Pabrai etc. choose to invest for the Long Term.
However Value Investing has a spectrum of Investment Philosophy’s. Some Value Investors like Howard Marks, Bruce Karsh choose to Invest in the Long Term specializing in asset classes like fixed income as Investment Vehicles. Other Value Investors like Mr. Bill Ackman has chosen earlier in his Hedge Fund Career to use “Event Driven – Special Situations Strategies” for his Portfolio’s advantage. A great example of a Successful Trade is when Mr. Ackman generated a 100 fold return during the Pandemic by foreseeing the Impact the Corona Virus would have on the country’s linked communities.
Bill’s Corona Virus Hedge Trade yielded $2.6 billion in profits. If we look at the position or bet Mr. Ackman bought? His traders bought as much Hedged Protection they could find in the market to Hedge Pershing Square’s Portfolio of Investments before the Corona Virus pandemic. In the end his bet on the market falling was proven right. And It is celebrated as one of the Legendary Trades on Wall Street during this time Corona Virus Time-period.
The Value investing spectrum includes all Asset Classes and can even be applied to the Commercial Real Estate space. However the spectrum of Value investing is like a umbrella of different areas of specialities. From Special Situations Investing to buying undervalued assets like securities. Investing in general can be simplified by the following thought. Buy Low, hold long term, Sell High.
Believe it or Not? Investing in general is pretty simple. Special Situations Investing is a complex topic. But for the purpose of this post I will keep it simple and not make this a long drawn out white paper for other Investors who love to nerd out on this topic.
Understanding Special Situation Investing
Typically a “Special Situation arises from a News Event happening in the Market, a Stock may have intermittently dipped below it’s intrinsic value during a short tie period. Other forms of events include; Rumors in the market that point to spinoffs, tender offers, Mergers happening soon, Acquisition speculation, Bankruptcy, litigation, capital structure dislocations, shareholder activism, stock buybacks, and other events that may affect a company’s short-term prospects.
A special situation is a special event or one-time event that has an impact on a stock or other asset.
A Series of Events could have a negative or postive affect on a stock price.
There are Special Situation Funds ready at a moments notice to act on events and profit from events.
Nearly all Special Situation Investing is executed by a Institutional Investors.
In light of impacts Special Situations events have in the Public Markets, we must stop and ask will the outcome be a Positive Impact or Negative Impact? Often times Special Situations can either be positive or negative depending on the action or intent by the Institutional Investor. Sometimes the Institutional investor profits from a misfortune or failure that is occurring to a Public Company. And sometimes the Public company can be positively impacted by the Investor creating Shareholder value.
Activist Investor Challenges The Board Of Directors Status Quo
Let’s say for an example a Board of Directors is being run by a short sighted sloppy CEO and Chairman. And this complacency is causing the Board of Directors to fall into following the herd and not making waves. They have put their own comforts and expenses before the shareholders interests. This has caused a situation where status quo is the normal operating governing procedure. Causing the Public Company to lose it’s way affecting the company’s financials. Ultimately the stock price falls and the company loses Market share. None of the Directors on the Board want to bring attention to the failures and just go along to get along type situation.
For many quarters the Public Company has falling sales, revenues and all the financial Statements are impacted. An outside Institutional investor or Portfolio Manager see’s the news and decides to take a closer look and does some due diligence. Only to find the Public Companies Board and management are acting irresponsibly with company funds and assets. Putting their own interests before the Shareholder.
The Institutional Investment Team decides to act. And begins purchasing all the Shares they can buy on the open market. Until they have bought a controlling interest in the company. This act by the Institutional Investment team can force the Boards of Directors to hold a Proxy Vote. Removing a member of the Board of Directors and Shareholders electing a new Board Member (Often from the Proxy Challenger “Who is The Institutional Investor who invested.”)
This in turn will begin to align shareholders interest and create shareholder value. And with this new Outside Board Member elected to the Board? The Companies management will have a new objectionable voice who won’t allow the CEO and Chairman to hold congruent votes. Shaking up the “Go along to Get Along” Boards procedures.
This is important because this new voice on the Board of Directors can suggest or demand new ways to fix the companies future direction. Often times by insisting the Board instal a new CEO, and or taking a close look at what is not working correctly in the Managements operations that is affecting the Companies financials. This action can and often will correct a companies future profitability and growth. Or can make matters worse. It all depends on the situation within the Board Room.
Proxy Votes and Fights
When we think about Proxy Fights between Activist Investors and Boards of Directors and Management. This really begins to get into the political area of Corporate Governance. And these disagreements are certainly a gray area of Policy and Law between Boards of Directors and Outside majority Shareholders. I wrote a little about these situations above. However if your really interested and want to read all about Proxy Votes and Proxy Fights? I would highly suggest reading Michael Levin’s “The Activist Investor Newsletter Website HERE.“
“The goals of electing a new outside Board member usually are to align shareholder interests and generate Shareholder Value.”
-Bill Ackman
Investment Strategy – Share Buy Backs
A share buy back is another example of a special situation and will cause the stock of a company to trend upwards in the short term. On the other hand a negative impact could be such as a Government Antitrust inquiry may push a Public Companies stock price into falling for the short term. News sometimes of Events happening in the world of Business Litigation will and do often times do cause price speculation and investors to capitalize on opportunities happening publicly.
Merger Arbitrage “Opportunistic Investing Model” Special Situations
When a public company intends to merge with another medium to large company that is also publicly traded a special event occurs. And this event is usually extremely profitable. Company Board Members and even Executive Management have a personal and professional duty to keep confidential company information safe from the public. In other words they are charged with “Keep it Confidential” Policy or you will be shown the Door.
Sometimes outsiders in the Companies hemisphere create “Rumors”. And these rumors sometimes are false or true. Or they maybe a little of both. Your typical Sophisticated Investor knows; “When you create a list of well positioned companies that more than likely will be acquired soon.” You create an opportunity to capitalize on Public Companies who are merging. And this leads to the Public Company buying market share. Generating Dominance. This is a profitable strategy for Special Situations Investors.
Bill Gross who is a Prolific Philanthropist and Investor has said on CNBC in 2023 to look for Merger Arbitrage opportunities. This is where he was looking in 2023 for Money makers rather than focusing on the usual in Credit Markets. Here is the Video of Mr. Gross sharing his Opinion about where he is Investing in 2023.
Special Situation Example
Bill Ackman Vs. Carl Icahn + Dan Loeb = Public Market Brawl “HERBALIFE”
First I want to highlight a knockdown investment market brawl that literally had the Financial World on the Edge of their Seats when Pershing Square’s CEO and Chairman Mr. Bill Ackman took on a Public Company that was “allegedly” taking advantage of Hispanic Migrants in the communities across the United States using unfair distributorship and salesman tactics that are propelled by dubious Multi Level Marketing Practices. Mr. Ackman felt by releasing unseen information and bringing attention to the predatory Salesmanship and unfair Distributorship Multi Level Marketing happening to these poor unsophisticated Migrants the Market would correct the Market Pricing forcing the company to correct its policies while Mr. Ackman’s fund would profit off-handedly from the correction. While Mr. Ackman was dong the Market and the Migrant Community a Community Service that the Government could not.
This is not what happened. Instead of the Market taking corrective action another professional Investor named Carl Icahn and another activist named Dan Loeb worked separately to short squeeze Mr. Ackman’s Funds Herbalife Short Position. It’s likely the intent of Icahn’s involvement was for the unfair purpose to punish Mr. Ackman for a previous perceived Slights. I am not a Icahn expert. And never want to be. However Mr. Ackman previously pursued litigation against Mr. Icahn forcing Icahn to court when he refused to pay up. A Judge forced Icahn to pay a Profit margin on a previous investment agreement. This is an brief example of a Special Situation that had all the Hallmarks of being a Good Faith Action for the market and to help the American underserved Migrant Community. But just went terribly awry for a very Good man and Community Leader. If you would like to read about more details of this Special Situation? Please Read About It Here In Vanity Fair. Or Watch Bill Explain his actions below with Lex Fridman.
Elliot Investment Management L.P. Vs Proctor & Gamble
In 2003 Elliot Investment Management Partners formed the opinion Proctor & Gamble was not being fair in offering all Preferred Shareholders a fixed price while it tactically acquired German Hair products company “Wella A.G.”. A collective of Investment Funds along with Elliot opposed the Boards proposal to acquire the German Hair Products Company. Even one of Germany’s largest Fund Managers “Deka Investments” joined in the Special Situation to force a Shareholder Proxy Vote of Proctor and Gambles Board Of Directors. After many years of Litigation P&G capitulated and offered all Preferred Shareholders a raised fixed price offer. Elliot stated: “The Goal of the Investment Funds joining forces against P&G was to protect the rights of Minority Shareholders.”
Risk & Special Situation Investing
Public Companies provide the most opportunities for Special Situations. Senior to Subordinated Debt Securities are often analyzed and used for Special Situations. Did you know? “Event Driven Investing is often referred to as Special Situation Investing.” The Risk involved in special situation investing is inherently dangerous to Investors who do not stop and understand that this area of investing is unique and filled with uncertainty. Situations and life that you do not control can be seriously risky. Often change at a moments notice. So on the spectrum of Investing. Special Situations or Event Driven Investments usually are categorized as some of the most Riskiest Investments a Institution or Investor can make.
Conclusion
It’s clear Special Situation Investing and The Funds raised for this investment strategy are extremely unique and can move markets. It’s serious business. And has serious consequences for Management, Boards of Directors, Shareholders and even for Communities. Most of the Special Situation Investment Activity we see in the Market is executed by very experienced Investment managers. The truth of Special Situations Investing is generating Investor returns. I guess it can be said there is Value in taking a Company to court for the purpose of? Standing up for minority shareholders. Or more descriptively when Bill Ackman decides to Buy Hedging Positions to protect his Shareholders (like me) from a possible portfolio collapse during a Pandemic. I can see the positivity and responsibility in Mr. Ackman’s Hedging Positions.
But make no mistake there are those out there who do use Special Situations under the radar. These Opportunistic Investors who use “Special Situations Investment Strategy” can most certainly be a force of greedy negativity! I won’t name names. But frontline has made documentary’s on this topic. You can watch youtube for more on this criminal topic.
In reality it does feel like there is Political undertones in certain Special Situations Investing. However I feel as long as the Regulators at the S.E.C. and our fellow Institutional and Retail investors see the negativity Special Situations Investments for what they are. We can put the Bad Actors who use Special Situations for greedy unhealthy purposes out of business. Making our communities better in the process. Capitalism is all about making things better in our communities and in our markets. I just hope this philosophy works for Special Situations as well.
When someone asks me what comes to mind when I think of Mr Peter Theil. I respond with, an American Business Leader, and a Bad Ass Investor, who is one hundred per cent an American Patriot.
Peter Thiel is an American Attorney, Venture Capitalist, Political Activist, and Entrepreneur who has deep Libertarian Conservative Patriotic Values.
In the overall look at Mr Thiel’s many life achievements, from graduating from Stanford, working as a Securities Attorney at Sullivan & Cromwell and deciding to leave Big Law after a short time. To invest and help build PayPal, and Facebook, growing and building a public company Palantir, with Dr. Alex Karp, Joe Lonsdale, and Stephen Cohen to Authoring; Zero to One, and establishing the Venture Capital Mega Fund Founders Fund in San Francisco, California.
Peter’s backstory is incredible, and the Capitalistic Value and street credit speak for themselves. I have read many articles on Mr Theil. I have reached out for a short statement about his Venture Capital Investing and Use of Funds for Entrepreneurs.
Political Action Through Funds
As an Investor, Mr. Theil’s Political Activism and Contributions, have been public and is a positive influence on the sometimes-struggling American Conservative Political Action. Since I am a Qualified Investment Adviser it’s only natural for me to write about the Political funds and contributions associated with American Patriot’s.
According to the political contributions website OpenSecrets Mr. Thiel has contributed around $50 million to state and federal political candidates and campaigns since 2000, and he was the 10th largest individual donor to either party in the 2022 midterm congressional elections, according to the non-profit OpenSecrets.
Mr. Stephen Moore, Richard Gilder, Thomas L Rhodes, and Harlan Crowe are the Founders of the Libertarian Conservative Club for Growth. The Club For Growth Action Fund is a Federal Super Pac and State Political Action Committee that helps fund Congressional Candidates, and State Candidates running for Federal and State Offices. The main policy theme behind Club for Growth is to help Congress push and pass Conservative Economic Policy Initiatives.
It’s no secret and is a privilege that I have collaborated with the Club for Growth in Washington D.C. when I was serving in politics at all levels. I can honestly say the team at Club for Growth have become friends of mine.
If there is one thing you must watch today? It is the fantastic GOP National Convention Commencement Speech Mr. Thiel gave for Presidential Candidate Donald Trump in 2016.
Palantir
Time Magazine attempted to paint Mr. Thiel as dangerous because he is Politically Active, I however have an issue with this characterization. Here are the facts, any American Investor who is not dangerous in business and life as a professional leader, should not be in a position of Authority in Business and Investing.
It’s ridiculous to think an American man who is as successful as Mr. Thiel wouldn’t be dangerous. That’s how we keep our dominance as Americans and keep America first.
Dangerous business leaders like Mr. Thiel and others like Joe Lonsdale, and Dr. Alex Karp keep the Bad Actors and Foreign adversaries across the world in their place and away from threatening America’s Business Dominance.
Speaking of Dominance, I would like to introduce Palantir. According to Palantir’s Website, Palantir’s mission is to build software that empowers organizations to effectively integrate their data, decisions, and operations. This can be used offensively and defensively and makes Palantir dangerous for our adversaries.
Time Magazine attempted to paint Mr. Thiel as Dangerous because he is Politically Active, I however have a issue with this characterization. Here is the Facts! Any American Investor who is not Dangerous in Business and Life as a Professional Leader? Should not be in a Position of Authority in Business and Investing. It’s ridiculous to think an American Man who is as Successful as Mr. Thiel wouldn’t be dangerous. That’s how we keep our Dominance as Americans and keep America First! Dangerous business leaders like Mr. Thiel and others like Joe Lonsdale, and Dr. Alex Karp keeps the Bad Actors and Foreign adversaries across the world in their place and away from threatening America’s Business Dominance.
I am certain we need American Public Companies that can help with America’s Foreign Policies and threats. It needs to be shared that Business Insider wrote a nasty hit piece about Mr. Thiel’s American Duty to assist the Government when needed as a Public Company Governing member. And let’s not forget to toss into the trash the Business Insiders’ mission to write smear stories of Conservative-leaning American Business Leaders like my friend and Hedge Fund Manager Bill Ackman and his lovely wife Neri.
Peter Theil is a Co-Founder of Palantir, according to the Wikipedia Page: Link Click.
Venture Capital – Founders Fund
In 2005 Thiel invested and started a Venture Capital Fund with Ken Howery, and Luke Nosek, and he currently invests in Startups and Tech Entrepreneurs who built companies like Facebook and Yelp, companies that made a huge impact from Silicon Valley to some of the most important Tech companies in the world. Currently, Mr. Theil’s partners at Founders Fund are Lauren Gross, Brian Singerman, Napolean Ta and a dozen more incredibly successful names that dominate and demonstrate professional excellence in the VC Landscape. Founders Fund currently operates an Investment Adviser to manage capital.
Peter Thiel continues to play a part and be a leader in the San Francisco Venture Capital and is often asked to attend church and other events by friend YC Partner Mr. Garry Tan, and others in Silicon Valley.
Some of Mr Thiel’s latest investments can be traced to SpaceX, Palantir, Stripe, Anduril, AirBNB, NUBANK, Neural Link, Ramp, Affirm, OpenAi, Cognition, Figma, The Boring Company and many more recognizable names.
Conclusion on Mr. Theil’s Investing & Leadership
Mr. Peter Theil will continue to dominate and play major roles in Professional Investing, the Venture Capital Landscape, and the Political Activist space that influences policy within and outside the United States Economic System.
You would be correct in stating that Mr Thiel is an American name that instils instant respect in all four corners of the world from Israel to Australia and Taiwan.
I would like to save the best for last, Mr. Theil was attending an AI Conference and I happened to be two chairs away and I met him. I reached out to Mr Theil with the phone number and email address I have in my contact list. I am waiting for a return email, but it seems likely and understandable he is very busy and I will need to catch him next time.
In conclusion, the next time you hear Mr. Peter Thiel’s name in the news or the media, I hope you refer to this man and business leader as an American Hero, Prolific Investor and Philanthropist who holds our country’s best interest at heart. That’s all I have for today on Mr. Thiel, thank you for reading.
I do welcome your thoughts on things to include that should be mentioned.
