Milwaukee Bucks' Owner on Investing (w/ Marc Lasry & Marc Levine)

TL;DR

Marc Lasry discusses his journey from practicing bankruptcy law to becoming a successful distressed asset investor and owner of the Milwaukee Bucks.

Transcript

Marc Levine: Maybe to get started, maybe go back to where all this kind of began, and so, you’re born in Morocco? Marc Lasry: Yeah, I mean, I was born in Marrakesh. It's a great city. You're happy to leave, I think. We went to live in Paris for a while. And then, I think, when I was seven, we moved to Hartford, Connecticut. So Marrakesh, Paris, Har... Read More

Key Insights

• ❓ Marc Lasry focuses on distressed investments and has achieved success by finding value and creating opportunities in these situations.
• 🖐️ He believes in the importance of understanding the legal system when investing in distressed assets, as it plays a significant role in the success or failure of these investments.
• 🔉 Lasry has expanded his investments beyond distressed assets to include other sectors such as aviation and media.
• 👂 He values relationships and the ability to listen to others' opinions when making investment decisions.
• 🥡 Marc Lasry believes in the importance of being prepared for market downturns and taking advantage of opportunities that arise during those times.
• ⚾ He also emphasizes the need to continually adapt investment strategies based on market conditions and the changing landscape of different industries.

Questions & Answers

Q: How did Marc Lasry transition from practicing law to becoming an investor in distressed assets?

Marc Lasry initially practiced law for a year before getting a job working for an investment firm specializing in distressed assets. He eventually moved on, managing his own money and co-founding Avenue Capital Group in 1995.

Q: What led Marc Lasry to start Avenue Capital Group?

Marc Lasry saw significant opportunities in distressed assets and felt that he could create value in those situations. He started Avenue Capital Group to capitalize on those opportunities and build a successful investment firm.

Q: How did Marc Lasry's investment approach differ in Asia and Europe?

Marc Lasry found more success in Europe due to a more developed legal system compared to Asia. However, in Asia, he noticed opportunities in being an equity investor or direct lender, where potential returns could range from 15% to 25%.

Q: What was the motivation behind Marc Lasry's investment in the Milwaukee Bucks?

Marc Lasry and his group saw potential in the media company aspects of owning an NBA team, specifically the revenue from national and local TV contracts. They believed that the value of the team would increase with the expected growth in TV contracts.

Summary & Key Takeaways

• Marc Lasry was born in Marrakesh, Morocco, and moved to the US to study and practice law before transitioning into the world of investment and distressed assets.

• He made significant profits by investing in distressed companies and assets, including bankruptcies and restructuring deals.

• Lasry co-founded Avenue Capital Group in 1995, focusing on distressed debt and special situations investing.

• The interview also covers his experience owning the Milwaukee Bucks and the potential for growth in the aviation industry.