🍋 PE's New Partner

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Good Morning! The Federal Reserve raised interest rates again, but says this 10th-straight hike could be the last one. Uber is encouraging its riders to share their rides once again and will expand its offerings.

Rival tech giants Apple and Google put their differences aside to tackle the privacy risks that come with location-tracking devices like Apple's AirTags. They’ll release new industry standards that deal with unwanted tracking. And it turns out Starbucks’ drink prices are on the rise yet again, and the company says 90% of its new stores will be drive-throughs.

Invest in vacation rental properties hassle-free with Wander REIT, the institutional-grade investment product that offers targeted 8% dividends and a 14% targeted total return - explore now.

📢 We are hiring for a Brand Partnerships position at Short Squeez. If you are interested, please apply here.

1. Story of the Day: PE’s New Partner

Private equity has been an apprenticeship business for years. Young professionals learn the ropes from senior partners and grind out 80-100 hour work weeks for the chance of staying on the partner track and receiving lucrative carried interest. But that could all be changing.

Private equity firms are testing the waters with ChatGPT and other AI trends. What’s going to happen when a chatbot becomes more efficient than a freshly-minted private equity associate?

Private equity firms aren’t going to hire more junior talent than they need to - they don’t want to give up a piece of that carried interest pie if they don’t have to. By automating tasks like modeling and due diligence, we could see private equity firms hire fewer junior associates than they have in years past.

As AI continues to improve and evolve, it may be matter of time before many junior-level private equity jobs are being done by algorithms. And with AI taking over many of the analytical tasks that junior employees traditionally perform, private equity firms will be able to focus their resources on other areas that require human expertise, such as deal sourcing and relationship building.

Takeaway: Axios says the private equity industry could change in the next five years more than it has in the last 50. And for all white-collar workers, while AI might not directly take chances on your job, chances are someone using AI might.

2. Markets Rundown

Stocks closed lower after the Fed’s rate hike.

Movers & Shakers

• (+) ImmunoGen ($IMGN) +136% after its cancer drug study hits a ‘home run’.

• (–) Starbucks ($SBUX) -9% after the coffee chain provided cautious guidance.

• (–) Estee Lauder ($EL) -17% after the company cut its sales outlook.

Private Dealmaking

• Darden Restaurants, owner of Olive Garden, bought Ruth's Chris Steak House for $715 million

• Redaptive, an energy-as-a-service startup, raised $264 million

• Mavenir, a cloud software apps provider, raised $100 million

• Healthy.io, an iPhone app that provides kidney tests, raised $50 million

• Zioda Custody, a crypto custodian startup, raised $36 million

• Memoa Health, a clinical automation startup, raised $30 million

A Message from Wander: Invest in These Vacation Rentals

With Wander.com, you can unlock access to vacation rental investing without the hassle and headache of doing it yourself.

Wander REIT is the first and only institutional-grade vacation rental investment product. That means investors get all the tax-advantaged benefits of a REIT in a new asset category: vacation home rentals. Instead of the traditional apartment or office-building REITs, Wander REIT invests in the best of the best of vacation rentals.

Enjoy targeted 8% dividends and a 14% targeted total return with appreciation from hand-picked, stunning vacation homes – starting with a $2,500 minimum – without having to buy a property, change light bulbs or deal with guests. And for a limited time, new REIT investors may get an opportunity to invest in Wander’s next round of funding.

Explore this investment.

3. Top Reads

• How JPMorgan’s Dimon won the First Republic deal (Reuters)

• Apple expected to announce $90B in buybacks (CNBC)

• How the U.S. eroded the dollar (Axios)

• Milken says we don’t have a banking crisis (YF)

• Airbnb’s plan to stop you from booking a hotel this summer (Axios)

• First Republic’s pain had a lot to do with wealthy clientele (CNN)

• The market is looking for the next domino to fall (CNBC)

• Workers have high hopes for pay raises, companies less so (WSJ)

• Bitcoin transactions are soaring, but it’s not what you think (Axios)

• How AI could change how you bank your money (CNBC)

4. Book of the Day: Who is Max Lewis?

Max Lewis started from humble beginnings and faced numerous setbacks and failures along the way. But through perseverance, hard work, and a willingness to learn from his mistakes, he was able to turn his dreams into reality. In "Who is Max Lewis?", you'll read about the lessons he learned on his journey and the reflections that allowed him to overcome them.

At the end of every chapter, you will find thought-provoking worksheets that encourage you to reflect on your own life and apply the lessons Max Lewis shares to your own journey.

This book is perfect for anyone who is just starting their own business, struggling to overcome obstacles, or looking for inspiration to keep going when the going gets tough. It's a must-read for entrepreneurs of all levels, whether you're a seasoned pro or just starting out.

“This is not your typical book on entrepreneurial success. It is a unique blend of personal memoir, practical guide, and interactive workbook that will inspire and motivate you to achieve your goals.”

5. Short Squeez Picks

• Soft skills you should master to advance your career

• For a good job by 30, do this in your 20s

• What to read when you need to start over

• How to answer “What are your strengths and weaknesses?”

• Are these 7 habits ruining your priority?

A Message from Talkspace: Therapy that’s Covered by Insurance

Mental health is just as important as physical health, yet many people struggle to access the care they need.

That's where Talkspace comes in. They've created a platform that makes high-quality mental health care accessible, convenient, and affordable for everyone.

With their team of licensed therapists, psychiatrists, and nurse practitioners, you can get the support and guidance you need to navigate the challenges of life. And with therapy sessions offered through text, voice, or video, you can choose the method that works best for you. Plus, with insurance coverage, you can get the help you need without breaking the bank.

Sign up today and start taking control of your mental health on your own terms. Use promo code SPACE to get $100 off your first session and experience the power of Talkspace for yourself.

6. Daily Visual: Cooling Job Market

Job openings per unemployed worker

_{Source: Axios}

7. Daily Acumen

Investing Rules

“Don’t invest on margin

Start by having most of your money in index funds/ETFs

If you want to own individual stocks, slowly start putting money into them. Maybe start with 5% of your portfolio, then work your way up ~2% per year until you’ve proven to yourself that you’re comfortable with individual stocks

Never put more than around 5% of your portfolio in any individual stock

Own 20 - 30 stocks

Have your average holding period be 3+ years (the longer the better)

I do genuinely believe that given where the market’s current valuation is and that we’re pretty clearly entering an economic slowdown, investors should expect something more like 5% annualized returns from here over the next 5 years instead of 8% - 10% of the last few decades.”

Source: Austin Lieberman

8. Memes of the Day

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