E5: Public Securities vs. Private Securities featuring Eddie Martin, Esq.

Alt Investing Made Easy

Summary

In this episode of Alt Investing Made Easy, hosts Roland and Sarah interview attorney Eddie Martin and altogether they discuss the complexities of alternative investments, focusing on the differences between public and private securities. They explore the costs associated with going public, the regulatory framework that governs public companies, and the historical context of securities regulation. The conversation also highlights the rise of private securities, the benefits and drawbacks of being a public company, and the role of the SEC in protecting investors. The episode concludes with insights on the future of alternative investments and the importance of understanding the risks involved.

Takeaways

• Going public involves significant costs and regulatory requirements.
• Public companies face ongoing compliance obligations that can be burdensome.
• The rise of private equity has changed the landscape of capital raising.
• Liquidity in public markets comes with its own set of challenges.
• Sarbanes-Oxley introduced strict regulations for public companies.
• Understanding the historical context of securities regulation is crucial.
• General solicitation has opened new avenues for private investments.
• The SEC plays a vital role in investor protection and market integrity.
• Investors must conduct due diligence when considering private offerings.
• The balance between regulation and innovation is essential for market growth.

Chapters

00:00 Introduction to Alternative Investments

02:46 Understanding Public vs. Private Securities

05:57 The Costs of Going Public

09:04 Regulatory Framework and Compliance

11:53 Historical Context of Securities Regulation

15:11 The Rise of Private Securities

17:55 Benefits and Drawbacks of Being Public

20:46 General Solicitation and Investment Opportunities

23:47 The Role of the SEC and Investor Protection

26:59 Conclusion and Future Perspectives