Capital Allocators – Inside the Institutional Investment Industry [REPLAY] Matt Bank - "GEMs" of Risk, Asset Allocation, and Manager Selection (EP.419)
19 snips
Nov 10, 2025 
In this engaging discussion, Matt Bank, the Deputy Chief Investment Officer at GEM, shares insights from managing $12 billion in institutional investments. He dives into the importance of risk tolerance in portfolio construction, detailing dimensions like drawdown and liquidity risk. Matt explains GEM's unique governance model rooted in its Duke endowment heritage. He also discusses the evolution of the OCIO industry, the role of hedge funds, and emerging trends in manager selection. Plus, catch his personal anecdotes on life lessons and hobbies!
AI Snips
Chapters
Transcript
Episode notes
From Mountain Climber To Goldman Hire
- Matt recounts drifting through college and pivoting to finance after fears about job prospects near graduation.
- He joined Goldman in 2005 and later moved to asset management, which shaped his early career.
A Personal Loss Redirected His Career
- Matt tells how his father's sudden death prompted business school and led to meeting David Salem, which steered him to allocator work.
- He joined Salem's small firm and gained broad exposure to allocation, governance, and manager selection.
Start With Risk, Not Returns
- Matt Bank stresses that risk-first thinking and understanding a client's risk tolerance must precede any investment decision.
- He argues portfolios should be structured around shortfall, drawdown, liquidity, and variance risks to align with institutional needs.