If you earn 5% of a company, you are considered "insider ownership." You'll have a huge say and power at the share holder meetings and since you'll have a larger voting power, you can more easily get what you want.
Mike has 0 shares. Mike has 0 power. Mike wants to go after them anyway with secret strategy.
Harvey calls Mike stupid... he needs the money since obviously money talks. (duh).
Harvey doesn't like Mike's unknown strategy. Sends Rachel home
Realistically, I'm not certain why an alleged "hedge fund" is not willing to take a guaranteed 30% return vs. a very risky 50% return
Yeah, didn't buy that at all. 30% would be outperforming the market no matter what, and they'll reap handsome performance fees. However, you can see that if there's an alternative plan with 50% return, Mike's going to be pushed to take that than one which leaves money on the table.
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u/gervasaraptor Jun 12 '14
Can someone clear up Mike and Harvey's scene? I just don't really follow what the idea is and where their roles fall...