Economist Podcasts

SPAClash: the buzz and the bust

Apr 27, 2021
Alice Fullwood, The Economist's Wall Street correspondent, dives into the world of Special Purpose Acquisition Companies (SPACs), exploring their rise and recent decline, while hinting at a more stable investment future. Mariana Simos, the Brazil correspondent, discusses President Bolsonaro's controversial push for increased gun ownership and its implications on Brazil's political and cultural landscape. Meanwhile, Michael Hann sheds light on the world's largest magazine archive, revealing intriguing insights about the evolution of media.
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ANECDOTE

Virgin Galactic SPAC

  • Chamath Palihapitiya popularized SPACs by taking Virgin Galactic public.
  • This 2019 deal brought attention to this investment vehicle.
INSIGHT

SPACs Democratize Investment

  • SPACs offer access to high-growth, risky ventures, similar to venture capitalist investments.
  • This democratizes access to potentially high-payoff companies.
INSIGHT

SPAC Boom

  • SPACs raised $83B in 2020 and $100B in 2021, showing immense growth.
  • An average of five SPACs were created daily between January and March 2021.
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