"My favorite day is like when it's raining, and I can just lie on the couch." — Lloyd Blankfein (ex. Goldman CEO)
Good Morning! It’s pretty wild that the first job AI took was Sam Altman’s. He got fired on Friday and he’s now joining Microsoft. Wall Street’s plan for a soft landing seems pretty simple - buy more stocks. Blackstone has emerged as the lead bidder in Signature Bank’s property loan sale. Private equity is buying into Aston Martin’s Formula One team. Airlines are gearing up for record Thanksgiving travel. And Jim Chanos, the legendary Wall Street bear who took on Enron and Tesla, is going into hibernation and shutting down his hedge funds.
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SQUEEZ OF THE DAY
Junior Analyst Sues Bank For Sleep Abuse
Everyone knows investment banking is both a hustle and a grind - where sleep is basically a luxury and work-life balance is just a myth. But apparently, one Dartmouth grad, Kate Shiber, is suing her former employer because she couldn’t get a good night of sleep without her BlackBerry going off.
The former investment banking analyst at Centerview Partners didn't just want any amount of sleep; she demanded a solid 9 hours, citing her anxiety disorders. HR granted her wish and implemented “guardrails”, so she could get 9 hours of protected sleep.
3 weeks later she was fired. Centerview could not accommodate her sleep requirement, citing requirements of a demanding job.
Investment banking can be a grueling job where schedules are hard to predict and Shiber found out the hard way.
She was staffed on some of the largest deals the firm was working on (including a $100 billion deal), and had reportedly logged off before her senior counterparts without giving deal members notice.
Shiber has sued Centerview for $5 million in damages. And Centerview is ready to battle it out with Shiber and says that she should have known what she was getting into when signing up to work at an (elite boutique) investment bank in NYC.
Takeaway: Sure, we can clown Kate for signing up for an investment banking analyst role when everyone and their mother know it's a sleep-deprived nightmare. But we're secretly rooting for Kate to come out on top in this lawsuit. In the off-chance she wins, it could set a killer precedent for all the junior bankers out there. Imagine a world where banks respect your work-life balance because they’re worried about getting sued.
Stocks rallied to close out a positive week of earnings.
(+) Gap ($GPS) +31% after posting an earnings beat despite a bleak holiday-quarter sales forecast.
(+) PacBio ($PACB) +11% after UBS upgraded the biotech company.
(–) ChargePoint Holdings ($CHPT) -35% after the EV charging company issued revenue warning, CEO change.
The Duckhorn Portfolio bought Sonoma-Cutrer Vineyards, a luxury winery, for around $400 million
GTCR bought Cloudbreak Health, a telehealth solutions provider, from UpHealth for $180 million
Deep Sky, a carbon removal firm, raised $82 million
Nouscom, a cancer vaccine developer, raised $73.7 million
Crisp, a grocery delivery startup, raised $37 million
Pineapple, a South African insurtech, raised $22 million
For more PE & VC deals, subscribe to Buysiders.
SPONSORED BY RYSE
Last chance to invest before this company becomes a household name
What if you had the opportunity to invest in the biggest electronics products before they launched into big box retail, would you?
Through retail distribution deals with Best Buy, Ring changed doorbells and Nest changed thermostats. Early investors in these companies earned massive returns, but the opportunity to invest was limited to a select, wealthy few.
The game has changed, and for once investors have the option to invest in a company that’s gearing up for a massive retail rollout.
RYSE is set to debut in 100+ Best Buy stores this month, and you're in luck—you can still invest at only $1.25/share before their name becomes known nationwide.
They have patented the only mass market shade automation device, and their exclusive deal with Best Buy resembles that which led Ring and Nest to their billion-dollar buyouts.
Amazon cuts jobs, toughens RTO line (CNBC)
Luxury homes for sale are abundant for rich buyers (Axios)
Investors are pushing bank stocks higher - analysts urge caution (YF)
How Vegas is betting big on the sports industry (CNN)
The ESG craze is fading (WSJ)
Dalio says U.S. reaching debt inflection point (CNBC)
Neckties are never coming back (NYT)
Is the green texting bubble about to burst? (Vox)
Toronto’s answer to Hudson Yards looks a lot like a mall (BB)
Space stocks take a hit, but deals could bring upside (YF)
BOOK OF THE DAY
At the dawn of the twenty-first century, Thomas Friedman, in The World Is Flat, declared globalization the new economic order. But the reign of globalization as we’ve known it is over, argues Financial Times columnist and CNN analyst Rana Foroohar, and the rise of local, regional, and homegrown business is now at hand.
With bare supermarket shelves and the shortage of PPE, the pandemic brought the fragility of global trade and supply chains into stark relief. The tragic war in Ukraine and the political and economic chaos that followed have further underlined the vulnerabilities of globalization. The world, it turns out, isn’t flat—in fact, it’s quite bumpy.
This fragmentation has been coming for decades, observes Foroohar. Our neoliberal economic philosophy of prioritizing efficiency over resilience and profits over local prosperity has produced massive inequality, persistent economic insecurity, and distrust in our institutions.
This philosophy, which underpinned the last half century of globalization, has run its course. Place-based economics and a wave of technological innovations now make it possible to keep operations, investment, and wealth closer to home, wherever that may be.
With the pendulum of history swinging back, Homecoming explores both the challenges and the possibilities of this new era, and how it can usher in a more equitable and prosperous future.
“A visionary blueprint for a future that works for all of us.”
Short Squeez Picks
America’s Ghost Towns
SPONSORED BY VANTAGEPOINT
Power Your Portfolio With AI
AI continues to send shockwaves through every industry across the globe.
More than 35,000 investors of every level are using AI to dial in market forecasting, helping them exit before profits erode and generate more consistent returns.
With only two months left in 2023, these trading experts also discovered what they’re calling the “Seasonal Switchblade” - two stocks that snap-surge bullish every November.
Success often boils down to one simple principle: alignment with the fundamental principles of the world. Those who embrace this alignment tend to progress faster and further.
Joseph Tussman's insight reminds us that the world is willing to work in our favor if we cooperate with it by understanding its workings and adhering to its realities.
Consider the concept of compounding—it applies not only to finances but also to relationships. We know that win-win scenarios are the most beneficial, yet many fail to consistently implement this principle.
To shift our perspective effectively, prioritize being right over feeling right. This might require changing our approach when evidence suggests it's not working. It's essential to recognize that delayed results don't necessarily equate to failure.
Many prefer feeling right and believing they're exceptions to the rule, which leads to negotiations with the world instead of acceptance. This tendency extends to areas like health, where some believe they can neglect it without consequences.
Aligning with the world may demand pre-payment for future benefits—a willingness to endure momentary discomfort for eventual gains. While not always the easy route, it often leads to substantial rewards.
Remember, the world is ready to assist, but it's up to you to take that initial step towards alignment. Embrace its principles, and you'll find success more attainable and less elusive.
Memes of the Day