What we’re reading (11/28)
“Charlie Munger, Who Helped Buffett Build Berkshire, Dies At 99” (Bloomberg). “Charles Munger, the alter ego, sidekick and foil to Warren Buffett for almost 60 years as they transformed Berkshire Hathaway Inc. from a failing textile maker into an empire, has died. He was 99.”
“Pressure Mounts On Private Equity-Backed Company Finance Chiefs As Market Shifts” (Wall Street Journal). “Private-equity firms have turned to smaller, tuck-in acquisitions to expand the companies they back as debt remains expensive and valuations for many larger businesses remain elevated. But some company CFOs are so used to focusing on managing day-to-day operations that they struggle to adapt to a sponsor’s more expansive objectives, according to Neely, who worked at several other private equity-backed companies before joining Specialty1. ‘[CFOs may think] I don’t even have my house in order yet and you want me to go look at this other house that you potentially want to buy?’ he said.”
“The Pension: That Rare Retirement Benefit Gets A Fresh Look” (New York Times). “Only about one in 10 Americans working in the private sector today participates in a defined-benefit pension plan, while roughly half contribute to 401(k)-type, defined-contribution plans, which are funded with their pretax dollars and, in many cases, employer contributions.”
“Home Prices Kept Rising Even As Mortgage Rates Surged, S&P Case-Shiller Says” (CNBC). “Nationally, prices were 3.9% higher in September compared with the same month a year earlier, up from a 2.5% annual gain in August, according to the S&P CoreLogic Case-Shiller Index. This occurred as the average rate on the 30-year fixed mortgage climbed toward 8%.”
“Shein’s Big I.P.O. Test” (DealBook). “The company and its underwriters are betting that investors will be more receptive to I.P.O.s, even though high-profile market debuts this fall largely fizzled out. Shein is also testing whether it can endure what’s likely to be an increase in political heat on the China-founded e-commerce giant.”
