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Warren’s Private Equity Plan Seeks to Strip Industry of Riches

July 19, 2019, 4:41 PM

Elizabeth Warren wants to force private equity executives to eat their own cooking.

Predictably, they aren’t thrilled.

The Democratic senator and candidate for president issued a proposal this week that would link the profits at private-equity firms to the success -- or failure -- of the companies they buy and sell. She also proposed limiting certain tax breaks.

“It is more of an industry-destroying proposal,” said Steve Biggar, an Argus Research Corp. analyst who covers Blackstone Group Inc., Apollo Global Management LLC and KKR & Co. “If firms like Blackstone and KKR can’t do this, in a free market someone ...

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