Good Morning! Fintech startup Klarna filed for a IPO and poached rival Affirm’s lucrative Walmart partnership. Meanwhile, Pepsi is set to acquire prebiotic soda brand Poppi in a nearly $2 billion deal.

All eyes are on the Fed’s meeting tomorrow for rate signals and any potential tariff changes. Retail legend Forever 21 filed for bankruptcy (again), and Warren Buffett upped his stake in five Japanese stocks.

Plus: Harvard is offering free tuition for families earning under $200K, Americans are stocking up on booze amid tariff concerns, and how travel can literally rewire your brain.

For all AI and fintech enthusiasts, read Plaid’s latest report on where the fintech industry is headed in 2025.

_{SQUEEZ OF THE DAY}

BofA’s Junior Banker Shuffle

About a year after the tragic death of 35-year-old associate Leo Lukenas, Bank of America is taking steps to tighten oversight of junior bankers' workloads.

Previously, midlevel employees on short-term rotations (aka staffers) managed junior workloads but lacked the authority to enforce limits. Now, BofA has made this a permanent senior role to improve accountability and reduce burnout—at least in theory.

Ironically, the bank also cut 150 junior investment banking roles last week, including first-year analysts and associates across the U.S., Asia, and Europe. While some were offered roles elsewhere at BofA, the layoffs raise concerns that remaining juniors will face even heavier workloads.

The pressure isn’t new. A Wall Street Journal investigation revealed that young BofA bankers were pressured to lie about their hours to avoid hitting work caps—limits originally introduced after the 2013 death of an intern who had been pulling all-nighters.

JPMorgan and Morgan Stanley responded to similar scrutiny by imposing strict weekly hour limits. BofA, instead, implemented a timekeeping tool requiring juniors to log their work in more detail—seen by some as a compliance move rather than a real fix.

The bank is also exploring AI-powered tools to help junior bankers with pitch decks and financial forecasts, which could ease workloads in the future.

Takeaway: BofA’s push for stricter oversight while simultaneously slashing junior headcount feels like mixed messaging. Investment banking has long operated on a "do more with less" mentality, and history suggests that fewer analysts usually means more late nights, not fewer. AI-powered tools might eventually help lighten the load, but without meaningful cultural shifts, junior bankers may still find themselves stuck in a cycle of unsustainable work hours.

_{PRESENTED BY PLAID}

6 Fintech Predictions From Plaid

Charlie Munger didn’t hold back on AI: “I think the hype is a little more than the reality.”

And according to Plaid’s Fintech Predictions 2025 Report, fintech’s AI revolution won’t live up to expectations—at least not yet.

The real story?

• AI will optimize, not transform, financial services over the next year.

• Fraud prevention is what all the banks will be talking about.

• Stablecoins are poised for major growth.

While AI headlines grab attention, the real fintech energy in 2025 is flowing into fraud detection, payments, and compliance. Want to separate the hype from reality?

_HEADLINES

Top Reads

• Klarna, nearing IPO, plucks lucrative Walmart fintech partnership (CNBC)

• PepsiCo to buy healthy soda brand Poppi for nearly $2B (Fox)

• Fed to lay down a marker on Trump tariffs (YF)

• Forever 21 set to shut down its U.S. operations as it files for bankruptcy (NBC)

• People stocking up on booze as Trump threatens massive tariff (Fox)

• Harvard will offer free tuition for families earning $200k or less a year (Axios)

• Buffett hikes stakes in five Japanese trading houses to almost 10% each (CNBC)

• Retail sales rebound slightly in February (Axios)

• Deutsche Bank says the market sell-off has another 6% to go (CNBC)

• AI that can match humans at any task will be here in five to 10 years (CNBC)

• Tesla stock dips as EV maker offers free self-driving trial in China (YF)

• Mark Cuban says companies need to be 'great at AI' or risk going extinct (CNBC)

• How Trump's mass firing strategy could backfire (Axios)

• Tariffs could make some side hustles and small businesses harder to run (CNBC)

_{CAPITAL PULSE}

Markets Rundown

Stocks Climb Again as Retail Rebounds, Fed Looms

U.S. stocks rose Monday, with the S&P 500 gaining 0.85% to close at $567.15—up from $562.81 Friday—extending a rebound sparked by fading shutdown fears.

February retail sales ticked up 0.2%, reversing January’s 0.9% drop, lifting spirits ahead of the Fed’s Wednesday rate call, widely expected to hold at 4.25%-4.5%.

After a 10% S&P 500 correction since mid-February, markets steadied, buoyed by Friday’s government funding win and awaiting April 2 tariff news.

The Fed’s “dot plot” will be key—December’s two-cut 2025 forecast may rise to three, though softer data could trim its 2.1% growth outlook.

Volatility stung in 2025, with SPY down from a $613.23 year-high, yet diversification shined: defensive sectors, bonds, and international stocks cushioned losses, unlike tech-heavy declines.

A 60-40 portfolio outperformed the S&P 500’s year-to-date dip, proving balance pays in choppy times—pullbacks, though grim, open doors to snag quality assets across markets.

Movers & Shakers

• (+) Intel ($INTC) +7% after the company’s incoming CEO bought $25M worth of stock.

• (+) Blackstone ($BX) +5% because UBS upgraded the private equity firm.

• (–) Affirm Holdings ($AFRM) -4% after competitor Klarna filed for an IPO; signed exclusive Walmart agreement.

Private Dealmaking

• PepsiCo acquired Poppi for over $1.6 billion

• Taiho Pharma bought Araris for $1.14 billion

• AstraZeneca acquired EsoBiotec for up to $1 billion

• Latigo Biotherapeutics, a pain management drug developer, raised $150 million

• Omni, a business intelligence platform, raised $69 million

• Alloyed, a metallic components maker, raised $48 million

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

_{BOOK OF THE DAY}

World Eaters

In World Eaters, Catherine Bracy offers a window into the pernicious aspects of VC and shows us how its bad practices are bleeding into all industries, undermining the labor and housing markets and posing unique dangers to the economy at large.

VC’s create a wide, powerful wake that impacts the average consumer just as much as it does investors and entrepreneurs.

In researching this book, Bracy has interviewed founders, fund managers, contract and temp workers in the gig economy, and Limited Partners across the landscape.

She learned that the current VC model is not a good fit for the majority of start-ups, and yet, there are too few options for early stage funding outside of VC dollars.

And while there are some alternative paths for sustainable, responsible growth, without the help of regulators, there is not much motivation to drive investors from the roulette table that is venture capital.

World Eaters is an eye-opening account of the ways that the values of contemporary venture capital hurt founders, consumers, and the market.

Bracy’s clear-eyed debut is a must-read for fans of Winners Take All, Super Pumped, and Brotopia, an appealing “insider / outsider” perspective on Silicon Valley, and those who are fascinated to look under the hood and learn why the modern economy is not working for most of us.

“An urgent and illuminating perspective that offers a window into how the most pernicious aspects of the venture capital ethos is reaching all areas of our lives, into everything from healthcare to food to entertainment to the labor market and leaving a trail of destruction in its wake.”

_{DAILY VISUAL}

Consumer Sentiment Deteriorating Rapidly

_{PRESENTED BY HERON FINANCE}

Earn Income from Leading Private Credit Funds

It's been said that investing legend Warren Buffett's #1 rule is: “Don’t lose money.”

And if you don’t want to lose money, investing in private credit might just be able to help, especially in a volatile market.

Here's why…

Heron Finance’s private credit portfolio has had 0 down months since the start of 2023. Not many assets can say that. 

In fact, since January 2023, the largest high-yield bond and real estate ETFs all suffered from five or more down months. Although past performance does not guarantee future returns, for investors looking for stable passive income, Heron’s Personalized Private Credit portfolio delivers consistent returns.

How does Heron do it?

Heron builds you a personalized portfolio with exposure to the world’s largest private credit funds from Ares, Apollo, and more – targeting up to 11% yield after fees.

And when it comes to fees, Heron gives investors access to the lowest share class for all of the funds on its platform, which in most cases saves you 0.85% annually compared to directly investing in funds.

_{DAILY ACUMEN}

Doing Less

Distraction’s grip has tightened into an epidemic, fraying both body and mind, yet a simple shift—from relentless doing to quiet being—offers an antidote.

Mindfulness isn’t just buzz; it’s a lifeline to an inner calm that’s already there, waiting beneath the noise.

Forget the grind’s lie that every idle second is a sin—real strength lies in pausing, not perfecting.

Start small: a few deep breaths, a moment to hear the world’s hum, and you’re not just surviving the rush—you’re sidestepping it.

This isn’t about fixing yourself; it’s about remembering you’re enough as is.

Practice it, and the habit of presence grows, turning chaos into a space where calm doesn’t just visit—it stays.

_{ENLIGHTENMENT}

Short Squeez Picks

• Why Gen-Z colleagues are unhappy at work

• How traveling changes your brain

• How to build stronger bonds at work, according to Wharton professor

• Why the best leaders are learners

• How to make authentic connections at networking events

_{MEME-A-PALOOZA}

Memes of the Day