Feb 07, 2025

I recently learned about the financial advice provided by Citi to investors, advocating for a cautious approach in the current volatile market conditions. They recommend a “barbell approach” to manage risks by combining growth stocks with cyclicals and defensives. Citi has also introduced the Thematic 30 Recommended list to implement this strategy effectively.

There were concerns raised about Bally’s riverfront casino project in Chicago facing a civil rights lawsuit, which could disrupt its IPO financing. The lawsuit alleges racial discrimination in investor qualifications, potentially jeopardizing the project. If the lawsuit is successful, Bally’s might need to seek a qualified private equity investor to meet its agreement with Chicago.

In other news, Honeywell has agreed to split into three separate businesses following pressure from activist investor Elliott Investment Management. This move aligns with the trend of industrial breakup plans in the market, with Honeywell separating its aerospace unit, automation arm, and advanced materials business. This decision comes after activist Dan Loeb’s previous call for the company to spin off its aerospace unit.

The news also covered significant dealmaking activities in various sectors, including venture capital, EV manufacturing, climate-focused lenders, and project management platforms. Updates from Hamilton Lane, Lucid, Converge, and Monograph shed light on the current trends shaping these industries. Additionally, there were exclusive scoops shared by Axios Pro newsroom, detailing key deals and movements in sectors like fintech, health tech, climate, media, and retail.

Lastly, the contrasting views of investment firms Pimco and Apollo Global Management on private credit were discussed, highlighting differing perspectives on the market. The news also touched upon the concept of rebalancing portfolios and skepticism towards claims of groundbreaking inventions. Notable corporate developments involving Honeywell, Nissan, and HSBC were also highlighted, showcasing the dynamic nature of the finance and investment landscape.

Stay Well!