I agree that I think MS is undervalued now. The current gain in the stock is roughly equivalent to MS simply absorbing OA LLC’s valuation for free, but that’s an extremely myopic way to incorporate OA: most of the expected value of the OA LLC was past the cap, in the long tail of high payoffs, so “OA 2” should be worth much more to MS than ‘OA 1’.
I agree that I think MS is undervalued now. The current gain in the stock is roughly equivalent to MS simply absorbing OA LLC’s valuation for free, but that’s an extremely myopic way to incorporate OA: most of the expected value of the OA LLC was past the cap, in the long tail of high payoffs, so “OA 2” should be worth much more to MS than ‘OA 1’.