In 2006, China was suffering from a dearth of available investment capital. Locals were waving in U.S. and other foreign investors with open arms. As… - Sam Zell

Further, as a huge perpetual consumer of capital, I respected the fact that there is no more consistent source of capital than the public markets.

In addition to looking at worst-case scenarios, I look at how hard something is to execute. The simpler the goals and the steps to reach them, the more likely I’ll be successful. And if they aren’t simple to begin with, I look at how I can untangle the complexities.

Some emerging markets will check all the boxes — strong population growth, growing middle class, verge of investment grade, great leadership, and hunger for capital — and then be missing the one ingredient that enables you to monetize your investment: scale. Without scale, you don’t have liquidity. You have no optionality. In essence, you’re stuck.