CNBC: “For the stock market’s biggest companies, there may never be a better time to break up”By admin_45 in IN THE NEWS
Excerpt from CNBC quoting DataTrek co-founder Nick Colas:
...."The current market is making the case for not just spinoffs, but “a re-equitization of corporate assets,” said Nick Colas, co-founder of DataTrek Research. The number of stocks in the U.S. equity market has been in secular decline since the 1990s, but it seems to have turned the corner in the last 18 months through a combination of SPACs, IPOs, and spins. “Some of that has to do with the mountain of liquidity that’s been pumped into the system, for sure,” he said. But it’s also because longer run equity returns have been good (10-year compound annual growth rates in the 13% range) and that’s has contributed to new retail interest in equity investing"....
Read the full article here on CNBC!