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Arpit Gupta highlights a common business practice among large firms such as McKinsey and Goldman Sachs. According to Gupta, these companies maintain the size of their analyst classes because departing analysts often become clients who later purchase back services from their former employers.
This strategy plays a significant role in generating future business for these firms.
Gupta has recently reviewed Bowman proposals to lower capital requirements for banks holding servicing rights and low LTV mortgages. He also drew an analogy between Treasuries and Giffen goods, noting increased demand for Treasuries as risk pricing rises in financial markets. These observations provide context for Gupta's ongoing focus on business practices and risk.