It's kind of funny to me that this stuff happens. You can dress it up however you want, but it's fundamentally just putting these PE groups in an unethical posi

It's kind of funny to me that this stuff happens. You can dress it up however you want, but it's fundamentally just putting these PE groups in an unethical position. You can't with a straight face say that you're getting the best price for both the investors you're selling it from and the investors you're buying it for. Firstly, there is no way you can correctly value these companies when you're selling them between your own funds. Just laying aside the mechanisms of how this is done, anyone investing in those groups should be taking a long hard look at whether you want people this unethical to manage your money. And of course that doesn't even start to consider the fact that by doing this the PE companies get to mark their own homework, fraudulently pumping valuations by self-dealing safe in the knowledge their valuations don't need to be tested against the public markets. This just seems like the exact same sort of absurd regulatory loophole that saw SPACS explode and then implode over 18 months. The fact that these firms have been forced to start chasing this style of innovation is not a good sign for the core business.