‘Industry’ Season 3: A Finance Bro’s Guide

  • 📰 TheCut
  • ⏱ Reading Time:
  • 133 sec. here
  • 4 min. at publisher
  • 📊 Quality Score:
  • News: 56%
  • Publisher: 51%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

We asked Bloomberg’s financial journalist Matt Levine — who’s never seen an episode of ‘Industry’ — to explain what happened on the trading floor in the bonkers season-three finale.

, and if you’re like me, leaving the subtitles on probably didn’t do much to help you understand thejargon. At the London-based Pierpoint, a fictional bank with a bit of a Goldman Sachs vibe, the employees chase highs of the metaphorical and literal varieties with-tinged sexual appetites and a penchant for betraying one another. While the interpersonal drama that takes place outside of the office is crystal clear, the intricacies of what’s going on with this bank are less so .

There are a lot of kinds of massive financial corporations. I worked at an investment bank that is probably reasonably close to Pierpoint in structure. At a big investment bank, you will have an investment-banking division that consists of people who work with companies to do mergers and also to do IPOs. It’s called investment banking or corporate finance. Another division is what’s called sales and trading. At Goldman, it’s called securities.

Often when people say “ESG,” they mean mainly climate stuff, but not always. There’s a whole growing, fairly young industry of people who are in the business of not only running ESG funds but telling people which companies are good ESG companies and which are bad. There are rating systems so you can have some measure of whether a company is ESG or not.An ESG fund would be a fund that cares a lot about ESG criteria.

An IPO is an initial public offering. There’s a private company — sometimes that’s a big company that’s owned by private equity that wants to go public, but most characteristically, it’s a tech start-up that someone started and got big enough to go public — and then they want to sell their stock to the public so it can trade on the stock exchange. An IPO is a big event where they sell some stock to the public and after that, it trades on the stock exchange.

Typically if you’re a tech founder and you go public, you sell a lot of stock, which is a lot of money. But it’s also frowned upon to sell 90 percent of your stock because they want you to continue to have skin in the game and run the company. Some private-equity firms have a track record of taking the company public just before it loses value. IPO as a cash grab I think of as selling too much stock at what people think is an inflated valuation.

Would it be possible to “massage” an EBITDA to make it seem like you have less debt? Henry’s investor, James Ashford, accuses him of doing that with Lumi, and he seems pretty pissed about it. If you do an IPO, you price the deal and you get enough orders that you can sell the stock at the price you want. The next day, it opens for trading. If it trades down from the IPO price, that’s embarrassing for the bank, because the early investors, the people who bought from the bank, lose money. Those people are customers, and the bank doesn’t want to lose money for them. It cares a lot about its investor clients.

So if someone — Sweetpea, for example — is bringing up concerns about a company’s financial health and says that that debt is about to reach maturity, and there’s no bid for it, do you know what that means?

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 720. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Deciphering 'Industry': A Finance Expert Breaks Down the Show's FinaleA finance expert unpacks the complex financial dealings depicted in the hit show 'Industry,' clarifying the nuances for viewers who might find themselves lost in the world of high finance.
Source: TheCut - 🏆 720. / 51 Read more »

How AI Is Transforming The Finance IndustryKathleen Walch is a thought leader, dynamic presenter and keynote speaker covering AI, ML, and big data use cases, applications, and best practices. She has been writing for Forbes since 2018.
Source: ForbesTech - 🏆 318. / 59 Read more »

Shocking ‘Industry’ Season 3 Finale Recap: Does Anyone Survive?You’re not ready for what goes down in the Season 3 finale of “Industry.” Let’s just say, buckle up for those last 25 minutes.
Source: thedailybeast - 🏆 307. / 63 Read more »

Industry to keep stocking, bonding, and trading with fourth season renewalIndustry, starring Myha’la, Marisa Abela, and Harry Lawtey, has been renewed amid critical acclaim for its third season
Source: TheAVClub - 🏆 340. / 59 Read more »