Good Morning! Short sellers are retreating as the market eyes its best year since 2021, with October jobs report beating expectations and the S&P 500 hitting its 55th record high of 2024. Meanwhile, private equity pay growth is slowing, with satisfaction dipping below 50%.

Donald Trump Jr. joined PSQ Holdings’ board, and shares skyrocketed 270%. Amazon announced an AI supercomputer, Campbell's CEO departed for NFL, and Wells Fargo issued the most bullish year-end 2025 S&P 500 forecast yet at over 7,000.

Plus, why your employer might love for you to quit, why everyone you know is running a marathon, and Nasdaq’s CEO on the best investment advice.

Invest in the music you love—start building your royalty portfolio today.

ICYMI: Our December Buysiders dropped yesterday. We break down Blackstone’s $8B Jersey Mike’s deal and why they paid top dollar. Read here.

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BlackRock’s Big Bet on Private Capital

BlackRock, known for its dominance in low-cost ETFs and index funds, is making aggressive moves into private capital but it’s not coming cheap.

Yesterday, the asset management giant announced a $12 billion acquisition of private credit manager HPS.

Earlier this year BlackRock acquired Global Infrastructure Partners for $13 billion and private markets data provider Preqin for $3.2 billion.

BlackRock’s tally of alternative assets now tops $400B but still dwarfs the firm’s $11 trillion in assets.

While BlackRock is betting big on synergies - offering private credit products to its insurance clients and broadening options for retail and institutional investors, it’s still a risky play. Private capital valuations have soared, with BlackRock paying up to 30-35x earnings for HPS and GIP.

For context, BlackRock’s share price has doubled in five years, outperforming the S&P 500 but lagging behind private capital players like Blackstone and KKR, which have seen 250%-450% gains. Blackstone, with $1T AUM, now boasts a $230B market cap, surpassing BlackRock’s $150 billion.

Takeaway: No firm of this scale has attempted to merge passive investments with high-priced alternatives. But with big bets come big risks - cultural clashes and steep price tags being just the start. BlackRock is playing the private capital game to win. Whether this gamble pays off or comes at too steep a cost remains to be seen.

_{PRESENTED BY JKBX}

Why Smart Investors Are Turning to Music Royalties

Forget beachfront real estate or private equity—the next diversifier in investing is the songs you stream every day:

• Unlocked access: Until now, music royalties were largely reserved for institutions

• Ongoing revenue: Top songs generate steady royalties from streaming

• Uncorrelated returns: While markets fluctuate people keep pressing play

JKBX (pronounced “Jukebox”) lets you own shares in chart-topping songs from Taylor Swift, Adele, and others.

If building a portfolio with music sounds like your kind of investment, hit the button below.

_HEADLINES

Top Reads

• Job openings rise more than expected in October (YF)

• Ripple poised for NY approval of stablecoin, set to enter regulated crypto market (Fox)

• Private equity pay growth disappoints as industry slumps (WSJ)

• Wall Street short sellers throwing in the towel (YF)

• Trump Jr. joins PSQ Holdings’ board, shares skyrocket 270% (CNBC)

• Wells Fargo issues the most bullish 2025 S&P forecast yet (YF)

• Amazon plans AI supercomputer (WSJ)

• Salesforce shares rise after earnings beat on revenue, Q4 guidance (CNBC)

• Okta shares pop 18% on earnings beat, strong guidance (CNBC)

• Why your employer might love for you to quit (CNN)

• Wall Street isn’t buying Trump’s deportation threats (CNN)

• Campbell's CEO departs for NFL (BB)

• Why Blackstone paid $8 billion for Jersey Mike’s (Buysiders)

• Wells Fargo to sell San Francisco headquarters (YF)

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Markets Rundown

Mega Caps Support Nasdaq as Broader Market Falters

Mega caps helped the Nasdaq gain ground, with Meta Platforms climbing 3.5% and Tesla weathering a 1.6% dip after a legal ruling against Elon Musk’s pay package. Alphabet and Microsoft also posted gains, but broader market breadth remained weak, as declining stocks outpaced advancers on the NYSE. Semiconductor stocks rebounded slightly as concerns over U.S. trade restrictions on China eased. Intel fell again, losing 6.1%, following CEO Pat Gelsinger’s departure announcement.

Labor Market Resilience Boosts Yields

The JOLTS report revealed 7.744 million job openings in October, exceeding expectations, while the quits rate climbed to its highest level since May, reflecting worker confidence. Treasury yields edged up to 4.22%, with the 10-year yield reversing early declines. Despite this, the futures market maintained a 72% probability of a December rate cut, up from 66% a day earlier. Friday’s nonfarm payrolls report, expected to show 200,000 new jobs, will provide clearer labor market insights.

Rate-Sensitive Sectors Under Pressure

Rising Treasury yields weighed on real estate and utilities, while cyclical sectors like financials and industrials saw continued softness. The energy sector struggled as crude oil prices fell, with global demand concerns persisting. Meanwhile, consumer discretionary stocks performed modestly well, buoyed by Black Friday sales data predicting a 7% annual increase in spending. Retail earnings remained mixed, with names like Lululemon and Foot Locker drawing attention ahead of their upcoming reports.

Focus Turns to Powell and Friday’s Data

Investors are now eyeing Fed Chairman Powell’s remarks tomorrow, which could offer clarity on monetary policy ahead of the December meeting. The ISM Services PMI, due shortly after the market opens, is projected to show solid expansion at 55.5% for November, down slightly from October’s 56%. Powell’s commentary, combined with Friday’s payrolls data, will likely shape market sentiment heading into next week. Treasury yields remain range-bound, with 4% seen as a key support level unless Fed expectations shift significantly.

Movers & Shakers

• (+) Upstart Holdings ($UPST) +8% after an upgrade by Redburn Atlantic.

• (+) AT&T Inc ($T) +5% after announcing a $20 billion stock buyback program.

• (–) United States Steel ($X) -8% because Trump will block the company's acquisition by Nippon Steel.

Private Dealmaking

• Tenstorrent, an AI chipmaker, raised $700 million

• Compass bought Christie's International Real Estate for $444 million

• KPS bought Crane Co.’s engineered material business for $227 million

• KPay, a financial management platform for SMBs in Asia, raised $55 million

• 9fin, an analytics platform for debt capital markets, raised $50 million

• S.MPLE, a sales app for real estate brokers, raised $45 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

_{BOOK OF THE DAY}

Fulfillment

In 1937, Upton Sinclair criticized Ford for exploiting workers despite its vast wealth. Today, Amazon’s market capitalization exceeds $2.2 trillion, far outpacing Ford’s approximately $44 billion, symbolizing the dominance of "one-click America." Alec MacGillis’s Fulfillment goes beyond scrutinizing Amazon’s corporate power to explore its profound societal impact, particularly on regional inequality and the fabric of work in America.

MacGillis reveals how Amazon’s reach is reshaping communities across the country. In Seattle, historic neighborhoods are displaced by high-paid tech workers. In Ohio, the economy shifts from auto manufacturing to cardboard production, and in Baltimore, warehouses replace steel plants, creating a new labor model. The book also examines Amazon’s growing influence in Washington, D.C., and its transformation of suburban landscapes with massive data centers.

With empathy and depth, Fulfillment exposes the hidden costs of Amazon’s success—not just the widening wealth gap, but the growing divide between thriving and struggling regions. It paints a compelling portrait of modern capitalism’s relentless drive to innovate and the often unseen toll it takes on America’s social and economic fabric.

“An award-winning journalist investigates Amazon’s impact on the wealth and poverty of towns and cities across the United States.”

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Housing Becoming Unaffordable for First-Time Homebuyers

_{PRESENTED BY OPTIFINO}

Nearly 50% Of Americans Don’t Have This

Life insurance–leaving millions of loved ones exposed in the event of tragedy.

But the gift of life insurance does more than just shield your family from financial uncertainty: It’s one of the most tax-advantaged assets protected by the IRS.

When set up correctly, life insurance can…

• Compound wealth capital gains deferred

• Secure tax-free retirement income

• Create liquidity for real estate investments

• Reduce or eliminate your estate tax

• Cover long-term care

Give the ultimate gift to your family and speak to an expert at Optifino today.**

_{DAILY ACUMEN}

Parkinson's Law

Parkinson's Law tells us that "work expands to fill the time available for its completion." Without a clear deadline, projects can drag on and suffer from scope bloat. Deadlines create urgency and help you achieve results by focusing on what's important and eliminating unnecessary tasks.

The Iron Triangle of project management—scope, resources, and time—reminds us that changing one element affects the others. Deadlines keep the balance and push teams to innovate and deliver efficiently. While "fake" deadlines can lead to stress in a toxic environment, well-applied deadlines in a healthy setting encourage creativity and focus.

Setting challenging yet reasonable deadlines drives progress. When asking others to complete a task, provide a timeframe and be open to discussion. This helps maintain a cadence and creates accountability. For instance, weekly progress updates can motivate teams and keep projects on track.

Deadlines, used wisely, are a powerful tool against the natural drag that affects larger organizations. Embrace them to fight stagnation and grow while staying agile.

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Short Squeez Picks

• 5 ways to turn curiosity into long-term success

• Why everyone you know is running a marathon

• Nasdaq CEO on the best investment advice

• Exhaustion at work can lead to difficulty controlling emotions

• Try a five senses approach to cleaning your home

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Memes of the Day