12/25/2025
The Rise of the Junk Bond King
In the high-stakes casino of 1980s Wall Street, where greed was good and deals got done with massive debt, there was a brilliant financier named Mikey who revolutionized finance with something called "junk bonds."
Mikey started at a big investment bank in the 1970s, but he saw opportunity where others saw trash: high-risk bonds from companies that big investors avoided. He argued these "junk" bonds could pay huge returns if used smartly to fund takeovers and growth.
In the 1980s, his firm Drexel Burnham Lambert became the center of the action. Mikey financed daring corporate raiders buying giant companies with borrowed money—leveraged buyouts that reshaped American business. Billions flowed through his deals, funding everything from airlines to beverages. He earned hundreds of millions himself, threw legendary parties, and became the highest-paid man on Wall Street, a true billionaire symbol of the era's wild excess.
But the party ended dramatically—investigations, scandals, and a downfall. Still, his innovations changed finance forever, helping build the foundation for today's private equity empires worth trillions.
And as he once said with a sly grin: "I have the best lawyers, the best accountants, and the best of everything. But if I go to jail, I'm going to miss my hairdresser the most."