Jason Snipe, CIO, Odyssey Capital Advisors Apollo Asset Management APO-N BUY Jul 21, 2023

The latest upgrade makese sense. There's a huge secular growth opportunity and these alternative managers expand into wealth management. Also, there's potential for cyclical growth--fundraising in private equity has beeen very slow this year, slow deal flows. But now, valuations in private equity have reset by 20%. This is attracting interest back in this space and bodes well for 2024.

The compound annual growth rate (CAGR) is 18% through 2026.

He's invested heavily in private equity, and those businesses have grown ~15% a year, which is reflected in the stocks. No reason for this to slow down, long runway. Pick your poison, buy one or all of BN, APO, KKR, or BX. Next 5 years should be a minimum of a double.

Private equity as an investment has grown tremendously over the last 15 years. This is because people think they get higher rates of return than in the stock market. You're better off buying the stock than the funds. You get all the benefits of the return, and you get the option of liquidity. Yield is 1.8%.

They recently made an all-time high and the CEO is doing a fantastic job. Apollo snagged $5 billion from BNP to expand a private credit facility. The CEO targets $250-300 billion in volume packaging his loans in mortgages and cars into this facility. 

Is up 19% in the last month, 9% in the past week. Fee-related earnings are set to grow up to 20% compounded through 2029 by which time they will likely have $1.5 trillion AUM. They're buying Barnes who are busy in industrials.

M&A activity was turning around even before the election with $2 trillion of deals this year that exceeds that of 2021. Looking forward is the perfect environment for M&A. Upside to come.

Under pressure along with all the rest in private equity. Trouble finding liquidity for a lot of their deals. With rising rates, power is now in the hands of the lender, but private equity firms are huge borrowers. Stay away.

Growing at 20% a year. Earnings next week, and he expects they'll be up another 5%. Expects the good run to continue for quite a while. He's owned it for over 10 years.

He's owned this one for 10 years. Private equity has cooled off in the last little while, but that's just noise. The good businesses are growing dramatically. Added insurance, a huge growth business. US has just approved private equity in 401(k) accounts, a $13T market of which private equity is only 1% (but could rise to 5-7% over time).