Josh Harris, Apollo Co-Founder, Blurred Lines of Personal Investment and Private Equity

Hi. I’m Aaron Weinman. Josh Harris has been a busy bee lately. He retired from day-to-day activities at Apollo Global Management, the private equity firm he co-founded, in May last year. He has since been building his new store, 26North Partners, which will launch with over $5 billion in assets.

He also has ownership interests – through his family office – in the NBA’s Philadelphia 76ers and the NHL’s New Jersey Devils franchises.

Insider’s Casey Sullivan and Hayley Cuccinello interviewed nine former Apollo employees and executives about the impact Harris’s personal activities had on private equity store culture in the years leading up to his departure.

Before we get into that, all eyes will be on the US Federal Reserve today. The central bank is likely to raise interest rates by 75 basis points in an attempt to contain stubbornly high inflation.

And if you can’t wait until 2 p.m. ET for the Fed’s decision, my colleague Phil Rosen has a full rundown of what to expect in this morning’s edition of 10 Things Before the Opening Bell.

Let’s start.

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Joshua Harris surrounded by Philadelphia 76ers, New Jersey Devils and Apollo Global Management logos.

Bruce Bennett/Getty; MirageC/Getty; Irina Gutyryak/Getty; Philadelphia 76ers; Devils of New Jersey; Apollo global management; Anna Kim/Insider

1. Josh Harris upset Apollo insiders with the amount of time he spent on personal investments. During meetings for Apollo affairs, Harris sometimes took calls that had nothing to do with the company, one person told Insider. Meanwhile, Apollo staffers “just sat there waiting for him to answer the phone.”

Harris would also use Apollo employees to help with personal investments. Few people dared to object to the private equity executive’s business, given the considerable influence he had over the company.

Workers would be concerned about how Apollo would allocate his resources. People who worked on Harris’s personal investments became “untouchable” within the organization. And it made for an uncomfortable environment, my colleagues report.

The crux of the matter is that Harris’s role at Apollo and his personal investments can blur the line between private equity and family-office investments.

Former employees told how Harris’ ownership of professional sports teams became a distraction.

View the full story here.

In other news:

Nile Dreiling, the co-founder and chief executive of Holey Grail, poses for a photo next to a photo of a donut with flower petals on it.

Hole Grail

2. An early investor in Blue Bottle Coffee and Sweetgreen said he had found the holey grail. (Yes, “holey.”) That so-called hole just happens to be a Hawaii-based donut chain taking over the industry’s stalwarts.

3. Goldman Sachs is expanding its corporate cash management services to the European Union. The bank is aiming for more stable sources of income away from the choppy investment banking and trading activities.

4. By staying with Goldman, the bank has signed a credit card deal with T-Mobile, Bloomberg reported. This is Goldman’s third partnership after credit card partnerships with Apple and General Motors.

5. Chamath Palihapitiya closes two special acquisition vehicles. Both SPACs, valued at over $1.6 billion, are traded on the New York Stock Exchange. They are being phased out because the sponsors couldn’t find a target company to merge with.

6. American Express said it is looking for about 1,500 people for technical positions. The new employees would take on positions such as data scientists and software engineers. Insider analyzed salary data from H-1B visa holders to give job seekers an idea of ​​salary expectations.

7. Artificial intelligence firm 4M Analytics has raised $45 million in Series A funding. Here’s the exclusive 22-page pitch deck the company used to raise the capital. Plus, check out our searchable pitch deck database to see how other companies have raised millions.

8. Companies are rethinking business travel policies as business class tickets sometimes reach $20,000. For some companies, these rising airfares mean executives are flying the bus, if at all, according to this Bloomberg story.

9. The world is staring at a brutal winter of rising energy prices. But there is a clear solution to the crisis – if we are not too afraid to use it.

10. Two families sue the owners of a $10,000 luxury Hamptons rental home. They claim that the owners prevented them from adjusting the cooling system by two degrees.

People moves:

  • Edison Partners has promoted its general partner, Kelly Ford, to Chief Operating Officer. It is a newly created function. She will oversee operations, including the new Edison Edge value creation platform. Ford has been with Edison for more than eight years.
  • Independence Point Advisors, a women-owned investment bank and consulting firm, has hired three senior employees:
    • Dean Keller has joined as head of the company’s energy and energy transition unit. He joined from Guggenheim Securities, where he was managing director.
    • Randi Abada has joined Independence to lead consumer coverage and investor relations. She has worked in banking, financial and investor relations for over 25 years.
    • Mariquit Corcoran will lead the company’s fintech and venture capital advisory group. Previously, Corcoran was a managing director at Barclays.

Curated by Aaron Weinman in New York. Tips? E-mail or tweet @aaronw11. Edited by Hallam Bullock (tweet @hallam_bullock) in London.