Warren’s War on Private Equity Is Economic Poison

It's no secret that Senator (and presidential hopeful) Elizabeth Warren doesn't think fondly of private equity (PE) companies. Through her introduced legislation, (the “Stop Wall Street Looting Act”) the lawmaker wants to force PE firms to assume the liabilities of the companies they take on, while placing strict limits on the possible ways that companies can profit off of acquisitions. But to industry observers and analysts, Sen. Warren's proposal would almost certainly spell doom for PE companies trying to turn around failing businesses across the country. And, her legislation could be disastrous to Main Street investors and the economy.