Ali Hamed - Novel Asset Investing (Capital Allocators, EP.40)

Ali Hamed is the co-founder of CoVenture and Managing Partner of the CoVenture VC Fund. CoVenture is an innovative company that identifies and invests in novel assets formed by the intersection of technology and finance. The firm manages an early stage venture capital fund, direct lending fund, and crypto asset index fund, with each taking a creative twist on its market.

Our conversation starts with Ali's entrepreneurial path to the creation of CoVenture, and covers examples of previously unpriced investment opportunities, including produce receivables, employee payroll loans, AirBnB accounts, and loans against employee stock options. We walk through the world of crypto assets and the state of the venture capital industry. Ali's fresh lens on the world offers a fascinating perspective on every aspect of early stage investing.

If I didn't say it in advance, you'll be astounded to hear that Ali is only 26 years old. He's one to watch for the long-term.

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Show Notes

2:22 – Ali's background

3:09 – How Ali got the bug for startups

4:06 – His time in NY without a home and where he gained the confidence to start in the entrepreneurial space

7:35 – Why their venture business is different from so many others in the space

9:12 – How Ali turned an idea into a business

11:33 – How does Ali describe CoVenture

12:10 – An example of an ideal CoVenture investment

14:53 – The transition into a specialty lending business

19:25 – How many niche opportunities has Ali identified as a place where he could create loans

22:04 – Examples of unpriced assets

24:23 – How does Ali find unique opportunities

27:40 – What's next on the horizon for Ali and CoVenture

28:28 – Looking at cryptocurrency and the business that Ali has built for the space

29:33 – Why did they create a cryptoasset index that was cap weighted

30:39 – Why should someone have exposure to a cryptoasset

35:23 – How does someone in the financial world get comfortable with the idea of cryptoassets

38:59 – Why Ali doesn't invest in ICO's

40:42 – What would an institutional cryptoasset fund look like

45:50 – How should an allocator try to address the idea of first in money in the cryptospace

50:32 – Where can someone play in the spectrum of venture investing

52:30 – What is the time horizon for venture investments

56:24 – Closing questions