Elizabeth Warren Takes On Private Equity

Late last week, Elizabeth Warren sent the private equity industry diving for cover. The Senator from Massachusetts and candidate for the Democratic presidential nomination, led a battalion of allies in the Senate and House, including her party rival, Bernie Sanders, in a broadside attack on PE tax benefits.

In a measured response, the industry correctly pointed out that many of these breaks have enabled managers to generate competitive returns for investors and job growth at many of the companies in which they invest. The skirmish hardly drew blood. Few expect…