David Rubenstein, co-founder of the Carlyle Group, one of the largest private equity firms in the world — and holder of more than $12 billion in real estate worldwide — told CNBC this morning about his philanthropic work with pandas, his humble childhood as the son of a postal worker and how he believes private equity creates jobs and has “revolutionized American business” (see video above).
On carried interest, or a “promote,” — a compensation structure that applies to investors in private equity funds and some investors in real estate — Rubenstein avoided endorsing a stance, saying instead that the concern should be on the deficit. Eliminating “carried interest isn’t going to solve the problem,” he said.
He also told CNBC how Carlyle, which announced its sixth real estate fund in January, with $2.34 billion at its disposal, was a project he began later in life, at 38, after he had practiced law and worked in politics.
He also reiterated his commitment to philanthropy. “I started a company and it took off and I did get fortunate to make more money than I probably can spend, and therefore, I’m committed to giving away the bulk of it,” Rubenstein said. [CNBC] — Guelda Voien