Top Traders Unplugged SI364: What makes an Alternative Investment Truly Valuable? ft. Moritz Seibert
14 snips
Sep 6, 2025 Moritz Seibert, a former co-host of the Systematic Investor Series and current co-host of the Open Interest Series, dives deep into what truly makes alternative investments valuable. He discusses the nuances of diversification and emphasizes how manager size and incentives shape the investment landscape. The conversation explores carbon trading markets, trading strategy optimizations, and the trade-offs between simplicity and complexity in investment systems. Moritz also sheds light on historical performance of various hedge fund strategies, urging listeners to rethink portfolio approaches.
AI Snips
Chapters
Transcript
Episode notes
Commodities Drove This Year
- Moritz describes this year as dominated by commodity trends like livestock and precious metals driving returns.
- He recounts being stopped out of currencies, bonds and equities after big April moves and recovering selectively.
Prioritize Independent Markets Over Market Count
- Build portfolios from as many independent, uncorrelated markets as possible rather than focusing on raw market count.
- Smaller, diversified markets like canola or lumber add unique return streams but limit scale.
How Carbon Markets Differ By Venue
- Moritz explains carbon markets are futures with varying liquidity and different regional behaviours like EUA, UKA and California.
- He stresses brokered markets are not 'bad', just operationally different and may give better executions via specialists.