For good measure, Mr. Moritz cast aspersions on that business model, portraying private equity as wreckers of companies<br />and job destroyers as well as a “symbol” for “economic inequality.”<br />And then he tied it all to Mr. Trump, throwing in a line<br />that the relationship between Mr. Schwarzman and the president resembled a scene from “Goodfellas.”<br />The Op-Ed article was so over the top in its attacks on Mr. Schwarzman and private equity that it obscured some very valid points.<br />Under this tax treatment, top executives in both private equity<br />and venture capital pay lower capital gains taxes, instead of higher income taxes — “an indefensible quirk in the United States tax code,” Mr. Moritz wrote.<br />Bill Gates has called the returns of venture capital funds “pathetic.”<br />A few big funds, including Sequoia, dominate a shrinking market.<br />Carried interest was in the cross hairs for elimination under the Obama administration<br />and has drawn complaints from many, including Mr. Trump, as giving an undue tax break to wealthy private equity and venture capital fund managers.<br />The man with the $3 billion in this case is Michael Moritz, a storied partner at the venture capital firm Sequoia Capital.<br />There are other challenges facing venture capital: Near-zero interest rates are like gasoline on venture capital investments.<br />In other words, there will be shakeout among all funds, a disruption that will hit private equity, venture capital and all other funds
