Jon Moulton's Private Equity Glossary
You've got to love Jon Moulton, the UK buyout pro who quit Alchemy Capital last year to launch a new shop called Better Capital. Well, maybe not if you're the Alchemy partner he flogged for being unfit to lead the firm, but certainly if you're a blogger who relishes such conflict being brought out into the open. Anyway, Moulton has now lobbed a tongue-in-cheek grenade at the entire private equity industry, via an A-Z glossary on the Better Capital website. Here are a few highlights: C: Carried interest. The percentage of the profit on a transaction that goes to the partners of the PE firm. Known as 'carry' as in 'too much money to carry'. E: Envy ratio. The ratio between how much money a management team makes and how many workers they make unemployed. Also: Exit. The only door a VC can see. S: Ski trip. Winter activity for many megafund personnel. Moulton also doesn't spare his former firm, with "A" standing for:
