Private equity wrecks iconic brands, dumps debt on pensions, crash looms

Vlogger Tiffany Cianci recently went viral with a video explaining how private equity firms have recently bought up and destroyed well-known brands like Hooters, Jo-Ann Fabrics, Party City and Forever 21, driving these often beloved franchises into bankruptcy. Even worse, she says, the private equity firms have offloaded all the associated debt they took on to purchase these companies in the form of bundled adjustable rate mortgages onto pension funds, and when the bill comes due the likelihood is another crash like we saw in 2008, only worse.

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