Good Morning! Private equity fundraising fell 35% last quarter, dropping to $116 billion globally. Meanwhile, Citadel posted a 70% profit surge in Q1 thanks to trading revenue from market volatility. And Blackstone bought $5 billion worth of private equity stakes from New York pensions.

Salesforce bought Informatica for $8 billion. McKinsey has quietly trimmed more than 10% of its staff over the past 18 months… while rival BCG is busy hiring. And JPMorgan is making a push to woo America’s millionaires.

Plus: TPG and Blackstone are circling Hologic with a $16 billion offer, Nvidia earnings drop today, and what the worst first dates all have in common.

Ring and Nest proved the smart home tech is ripe for breakout success. RYSE might be next. Learn more and invest while it’s still private.

SQUEEZ OF THE DAY

Private Equity Recruiting Madness

America’s top finance grads may have just graduated from college within the past few weeks. And while they haven’t even started their investment banking gigs yet, they are already back on the job hunt.

That’s the madness of on-cycle private equity recruiting, where analysts begin interviewing for roles that won’t start for another two or three years.

Kicked off by the largest PE firms (“mega funds”) like KKR, Apollo, and TPG, the process has crept earlier each year, with last year’s frenzy igniting on June 23, weeks before many analysts had even moved to New York.

This year, THL Partners has already started interviews, and others are expected to follow suit soon.

The stakes are so high that some students move to NYC the day after graduation just to be ready for in-person interviews and coffee chats. Others have cut post-grad trips short, flying straight from Hawaii to NYC for interviews, calling it “madness,” then adding, “but you gotta play the game.”

In recent years, mega funds have filled their private equity classes in under 48 hours. And given that these incoming associates have zero full-time experience, private equity firms are basically just going off who they think wants it more.

PE firms admit the system is a mess. “We’d love to give them time to get deal reps and perspective but the arms race doesn’t wait,” said one exec.

Even Jamie Dimon has weighed in, calling the process “unethical.” JPMorgan and Goldman now ask incoming analysts to disclose if they’ve already committed to a PE job… before Day 1 on the job.

Takeaway: To sidestep the insanity that on-cycle recruiting has become, firms like Warburg Pincus, Silver Lake, and KKR are now hiring straight out of undergrad. And with on-cycle recruiting becoming comically earlier and earlier, it begs the question: is this really an effective way to identify future investors? Or are firms just hiring prestige-chasers with the most polished resumes at 22?

HEADLINES

Top Reads

• Private equity fundraising plunges amid struggle to return cash (BB)

• Motor bought Silvus for $4.4 billion (YF)

• Blackstone bought $5B in private equity stakes from NY pensions (BB)

• Citadel Securities profits jump 70% on surge in trading revenues (FT)

• Goldman CEO Solomon cracked down on leaks, pushed out critics (NYP)

• JPMorgan Chase is heading upmarket to woo America’s millionaires (CNBC)

• TPG and Blackstone offered $16 billion to take Hologic private (YF)

• Salesforce will acquire Informatica for $8 billion (WSJ)

• Investors with $7T in cash on the sidelines await Nvidia (YF)

• McKinsey sheds 10% of staff in two-year profitability drive (FT)

• HSBC cuts dozens of analyst jobs in investment banking overhaul (YF)

• The warning in wild bond moves (Axios)

• Amazon coders say they’ve had to work harder, faster by using AI (NYP)

• GM to invest $888 million for engine production at New York facility (YF)

• Nippon expected to close U.S. Steel deal at $55 per share (CNBC)

• Tesla shares climb after Musk pledges to be super focused on companies (CNBC)

• Four books sound the alarm about the power of private equity (WSJ)

PRESENTED BY RYSE

There’s Only 48 Hours Left to Get in Early

Have you ever wondered what company could be the next Apple, Dyson, or Ring?

Or thought, “Damn, if only I had invested a little earlier…”?

This tech startup is catching investor attention by doing for window shades what Ring did for doorbells—turning a boring, everyday product into smart, automated convenience.

Backed by 10+ patents, a retail footprint in 127 Best Buy stores, and 200% year-over-year revenue growth, this company is positioned for massive upside in the booming $158B smart home market.

They’re not just building a product—they’re building a brand that could soon be a household name.

You’ve got 48 hours to invest before this round closes.

Learn More Now.

CAPITAL PULSE

Markets Rundown

Market Update

• Stocks rallied Tuesday as markets welcomed the delay of the proposed EU tariffs until July 9, reversing Friday’s losses.

• Growth sectors led the way, with technology and consumer discretionary stocks outperforming.

• Small-cap stocks surged, with the Russell 2000 up over 2%, highlighting a renewed risk-on tone.

• Bond yields declined, with the 10-year Treasury yield finishing at 4.45%, as trade concerns eased.

• Durable goods orders fell less than expected in April, while consumer confidence rebounded for the first time in six months.

Economic Data Highlights

• EU tariffs postponed – Deadline for proposed 50% tariff on EU goods pushed to July 9 after progress in weekend negotiations.

• Durable Goods Orders (April): -6.3% headline (vs. -8.1% est); +0.2% excluding transportation (vs. 0.0% est)

• Consumer Confidence (May): Rose to 98 (vs. 88 expected), ending a five-month streak of declines

• 10-year Treasury yield: Closed at 4.45%, down 6 bps from Friday

Reported Earnings

• AutoZone (AZO) reported mixed Q1 results with solid performance in commercial but softer-than-expected DIY segment growth.

• Okta (OKTA) delivered results in line with expectations, with steady demand in identity security and improving enterprise retention.

• HEICO (HEI) posted stronger aftermarket sales and highlighted healthy backlog in its defense business.

Earnings Today

• NVIDIA (NVDA) – Reporting May 28 (After Market Close): Market focused on AI-driven chip growth and data center momentum.

• Macy’s (M) – Reporting May 28 (Before Market Open): Investors watching discretionary spend trends and inventory positioning.

• Salesforce (CRM) – Reporting May 28 (After Market Close): Key areas include cloud platform demand and margin discipline.

Movers & Shakers

• (+) AMC Entertainment Holdings ($AMC) +24% after Memorial Day set revenue records at movie theaters.

• (+) Wingstop ($WING) +5% after the restaurant chain was upgraded by Truist.

• (–) Trump Media ($DJT) -10% after the company will raise $2.5B to buy Bitcoin.

Private Dealmaking

• Salesforce bought Informatica for $8 billion

• Motorola bought Silvus for $4.4 billion

• Eli Lilly bought SiteOne for $1 billion

• Jane Software, a practice management software provider, raised $363 million

• GlycoEra, an extracellular protein degreaser developer, raised $130 million

• RevenueCat, a subscription app startup, raised $50 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

BOOK OF THE DAY

On Character

How to measure a life? After a career of service, retired four-star general Stanley McChrystal had much to contemplate.

He pondered his successes and failures, his beliefs and aspirations, and asked himself, Who am I, really? And more importantly, who have I become? When I die, how will I be measured?

In the end, McChrystal came to a conclusion as simple as it was profound: the reality of who we are cannot be recorded in dates or accomplishments. It is found in our character—the most accurate, and last full measure, of who we choose to be.

On Character offers McChrystal’s blueprint for living with purpose and integrity, challenging us to examine not just our deeds but who we become through them.

Drawing from a lifetime of experience, he distills profound insights on setting and meeting standards, aligning actions with beliefs, and offers practical advice on overcoming obstacles and pursuing self-improvement.

According to McChrystal, character is not a trait inherited at birth, nor does it automatically come from education, position, or experience.

Character, instead, comes down to a succession of choices, most mundane, several momentous, that reveal the deep truth of our capacity for virtue. 

In an era where understanding and upholding our ideals is more crucial than ever, On Character offers an inspiring roadmap for personal growth and integrity—a call to become our best selves, both as individuals and as Americans.

“An inspiring road map for personal growth and integrity.”

DAILY VISUAL

Big Tech Slowdown

PRESENTED BY PACASO

Zillow’s Co-Founders’ Next Big Play? Luxury Vacation Home Co-Ownership

After building Zillow into a $16.3B household name, its co-founders quietly launched Pacaso to target their next Golden Goose: The $1.3T vacation home market.

How? By helping wealthy individuals co-own luxury vacation homes, white-gloving the purchase, scheduling, management, and eventual sale. The results are stellar:

• Over 2,000 homeowners so far and $100M+ in gross profits

• 41% year over year increase in gross profit

• Investments from Softbank, Maveron, Greycroft, and others

Now, Pacaso is expanding into global markets, adding new homes in Paris, London, and Cabo.

Don’t miss your chance–get in early and invest today before the price changes after May 29.

DAILY ACUMEN

Legends Series: Joel Greenblatt

Joel Greenblatt didn’t just write formulas—he made them work.

In his 2005 classic The Little Book That Beats the Market, Greenblatt laid out a simple model: rank stocks by earnings yield and return on capital.

Buy the top-ranked ones. Repeat annually. The result? Market-beating returns without the complexity of traditional value investing.

But before the book, Greenblatt was already legendary.

His Gotham Capital returned 40% annually for two decades by applying the same principles—buy good businesses cheap, with a margin of safety.

In today’s crowded, AI-driven market, Greenblatt’s approach feels refreshingly clear.

Investors are overwhelmed with noise.

Greenblatt would say: strip it down to what matters.

Complexity is not an edge. Simplicity executed with discipline is.

ENLIGHTENMENT

Short Squeez Picks

• 5 tips to go back to sleep

• Why the power of habits might live up to the hype

• A simple, science-backed way to sharpen your thinking

• The invisible difference between working and pretending to work

• What the worst first dates all have in common

MEME-A-PALOOZA

Memes of the Day

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