lisa: i'm lisa abramowicz. welcome to bloomberg money undercover, a show that provides valuable insights into alternative investments. we take you inside the world of private debt, equity, and real estate. the massive shift toward private thetal may just be beginning. that is according to black rock, even as some begin circling back. the resumeity firms or dollars for tech startups despite recent high-profile stumbles. we head to the auction house for the most expensive sweater of all time, the vintage green cardigan of the late musician kurt cobain. let's get into some of these burning issues. with me are jason kelly, annie massa, and our other guest. black rock increasingly catering to this shift toward private markets. how is blackrock positioning itself? >> even the black rock is an indexing giant, they have moved toward investment. one cornerstone of that has been their attempt to raise this long-term private capital fund which they are targeting $12 billion in fundraising for. lisa: how successful have th

. ♪ lisa: i'm lisa abramowicz. welcome to "bloomberg money undercover."how that provides valuable insights into alternative investments. we take you inside the world of private debt, equity, and real estate. let's get straight to the burning issues in private markets, survival of the fittest. investor firms racing to adapt in the face of lower yields. looking at the fallout of storied unicorns that end up being donkeys. and catching up with the new masters of the universe. how shadow bankers are taking business from wall street. let's get into these burning issues. with me now is sonali basak, mark milian, and kelsey butler. let's start with wework. we are looking at two firms right now. they are trying to offer and compete to offer rescue packages to this very troubled company. what does that say about the state of affairs? sonali: well, some would say it is a little too big to fail for the companies involved. softbank has had more than $10 billion put into this company, they already are the biggest shareholder. to put in more equity, what does that do f

. ♪ lisa lisa: -- lisa: i am lisa abramowicz in new york, anna edwards in london.bloomberg first word news. lies, that is what china calls mike vence's criticism of human rights. criticizedesident china's actions against protesters in hong kong and accused beijing of curtailing the liberties of the residence. a member of the saudi royal family telling the congress to get office moralistic high horses for the disdain they expressed for the saudis following the brutal murder of jamal khashoggi. they say when it comes to racism and gun violence, they cannot perform their own jobs. jeff bezos is about to give up the title of the world's richest person, knocking about $8 billion off his net worth. about $103 be worth billion. beat --number would bill gates is valued at $107 billion. in indonesia, investigators found scores of missteps in the crash of a lion air flight. flaws on blames design the jet and the way u.s. regulators certified the jet. the report also pointed to pilot error. global news 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 j

withg up, money undercover lisa abramowicz. she will speak to jason thomas at the carlyle group. est on every single day. this is bloomberg. ♪ ♪ lisa: i'm lisa abramowicz. welcome to "money undercover." a show that provides valuable insights into alternative investments. let's get straight to the burning issues in private markets. debuts fromg palatine to smell direct, a string of lackluster ipo's shines a light on waiting investor demand. college cash. harvard's endowment feeling the heat three years into an

alix: thank you for that, bloomberg's lisa abramowicz and vincent cignarella.oming up, we will speak to johnson & johnson cfo joseph wolk. this is bloomberg. ♪ alix: johnson & johnson up in premarket trading after reported third-quarter earnings that beat estimates. joining us from the company's headquarters in new jersey is cfo joe wolk. good to see you. the story with earnings going into this, the 2019 year, is it a year of transition? did you move the profile ahead, or is this a different turning point? guest: i think it's a little bit of both. if you think about where we started the year, we had significant projections with respect to loss of exclusivity on major product for us. able to hold onto those a little longer in our pharmaceutical unit. we are a little ahead in our medical device unit. it's the best quarter we've had since 2015, so that turnaround plan is in place. we are very focused in consumer with detailed efforts on skin health, as well as over-the-counter medicines, as well as improving profitability. so it is accommodation of both. we do exp

. >> i am lisa abramowicz, welcome to bloomberg's money undercover.ide the world of private debt, equity, and real estate. let's get to the burning issues and private markets. investors taking hard looks at the property company valuations. investors look at the next spot of opportunity in the wake of growing bankruptcies. and our

. ♪ lisa: i'm lisa abramowicz."bloomberg money undercover," a show that provides valuable insights into alternative investments. we take you inside the world of private debt, equity, and real estate. let's get straight to the burning issues in private markets, everyone seems to want to go private these days. let's take a look at what makes a retail startup at the time of amazonian pressures. one of the hottest areas has been direct l

lisa: i'm lisa abramowicz.bloomberg money undercover, a show that provides valuable insights into alternative investments. we take you inside the world of private debt, equity, and real estate. the massive shift toward private thetal may just be beginning. that is according to black rock, even as some begin circling back. the resumeity firms or dollars for

. ♪ i'm lisa abramowicz. welcome to "money undercover."ide the world of private debt, equity, and real estate. let's get straight to the burning issues in private markets, survival of the fittest. investor firms are to adapt in the face of lower yields. looking at the fallout of storied unicorns that could end in being donkeys.

newberger berman managing director spoke to lisa abramowicz yesterday on "money undercover." he had to say about private equities. >> you cannot make transformational changes in a public company today. there's too much short-term pressure. alix: what was your take away from that interview? sonali: interestingly, he did say returns in public -- in private markets will be bigger than public markets, but also said they will be lower moving forward, which is really important. we are at the end of the cycle now. lu asian's are superhigh. you got to wonder how these -- valuations are superhigh. you've got to wonder how these are going to perform. alix: are some of the big private equity shops private equity shops anymore. -- shops anymore? sonali: private equity doesn't look the same anymore. the last time we talked to him, one of the big strategies moving forward that would be more successful is private equity going quant. like the hedge funds, you have private equity firms levered to big data to try to get some edge, but if you're looking for edge that much, there's a problem. al