The Meb Faber Show - Better Investing

Today’s guest is Dylan Grice, co-founder of Calderwood Capital, a hedge fund boutique specializing in orthogonal, niche and capacity-constrained hedge-fund strategies. He’s also the author of Popular Delusions, one of my favorite financial newsletters.In today’s episode, we kick it off by talking about the end of duration and the headwinds that long-duration assets like stocks, bonds, private equity and real estate face going forward. That leads us to talk about why Dylan loves the idea of the cockroach portfolio and what a creature that’s survived over 350 million years can teach us about portfolio construction.As we wind down, we talk about some esoteric strategies, including mortgage prepayments, cat bonds, uranium and energy (both of which he wrote about a few years ago) and even SPACs.Dylan was kind enough to share a few of his letters from Popular Delusions, so be sure to check the links below:• The Death of Duration• The Cockroach Portfolio• March Edition of Popular Delusions-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Sponsor: Today's episode is sponsored by The Active Share podcast. If you’re seeking the less obvious and are curious about the ever-changing world and how it affects investing, The Active Share podcast is for you. Hear thought-provoking conversations with thought leaders, company executives, and William Blair Investment Management’s own analysts and portfolio managers as they share unique perspectives on investing in a world that’s always evolving. Listen to The Active Share on Apple Podcasts, Google Podcasts, Stitcher, Spotify or TuneIn or visit here. Learn more about your ad choices. Visit megaphone.fm/adchoices

Gio Valiante, a top performance coach, discusses the importance of balancing mastery and ego orientation, handling fear and anxiety, and the significance of process and commitment in achieving peak performance. He also explores the psychology of attachments, letting go of attachments, and shares insights from working with top athletes and professionals in sports and investing.

In this Mebisode, Meb reads his article titled “How I Invest 2022” which is an update to a piece he originally penned during the pandemic in 2020. You’ll hear how Meb invests his own money and how that’s changed in the past two years.  -----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Today’s episode is sponsored by MUD\WTR. MUD\WTR is a coffee alternative that supports your morning ritual without all the anxiety and jitters of coffee. Get your starter kit and free frother at mudwtr.com/meb and use code FABER for 15% off. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest today is Ivy Zelman, CEO and co-founder of Zelman & Associates, a leading housing research firm. She was recently named to Barron's 100 Most Influential Women in U.S. Finance and gained notoriety leading up to the Great Financial Crisis when she pounded the table the market was overheated, even asking Toll Brothers CEO Bob Toll “which kool-aid are you drinking” on a 2016 earnings call.In today’s episode, we start by going back to 2008 and hearing what led her to be one of the few housing bears. Then we get into the housing market today, which she describes as euphoric and bonkers. She explains why poor demographics and lack of affordability due to rising rates lead her to think the market is over-extended today.We also get her thoughts on other important trends effecting the housing market today: the entrance of iBuyers and Wall Street firms, why she doesn’t think housing demand is as high as other analysts, and the impact of supply chain issues.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Today’s episode is sponsored by MUD\WTR. MUD/WTR is a coffee alternative that supports your morning ritual without all the anxiety and jitters of coffee. Get your starter kit and free frother at mudwtr.com/meb and use code FABER for 15% off. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest is Paul Kim, co-founder and CEO of Simplify Asset Management, an ETF provider focused on helping advisors build better portfolios.   In today’s episode, Paul kicks it off by giving us an overview of Simplify and the firm’s focus on long volatility ETFs that either generate income or hedge downside risk. We discuss the ability to use options in the ETF structure, an idea Paul and his team have embraced to create convex strategies.After looking back at Paul’s time at Pimco, we dive into some of his strategies. We touch on strategies that hedge bonds and stocks and even Simplify’s thematic health care ETF that gives 100% of the proceeds to charity.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Sponsor: Today's episode is sponsored by The Active Share podcast. If you’re seeking the less obvious and are curious about the ever-changing world and how it affects investing, The Active Share podcast is for you. Hear thought-provoking conversations with thought leaders, company executives, and William Blair Investment Management’s own analysts and portfolio managers as they share unique perspectives on investing in a world that’s always evolving. Listen to The Active Share on Apple Podcasts, Google Podcasts, Stitcher, Spotify or TuneIn or visit here. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest today is Clay Gardner, co-founder and Co-CEO of Titan, a retail investment management platform aimed at the new generation of everyday investors.In today’s episode, we kick it off with an overview of Titan and the firms’ investment philosophy. Clay touches on some of their different offerings, which now includes crypto. We hear about the company’s content strategy, which help both educate investors and keep them invested in the market during volatile periods. Then we hear what other asset classes Clay is thinking of expanding to in the future.As we wind down, we hear about the firm’s fundraising history, which includes investments from a16z, Kevin Durant, and Will Smith.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Sponsor: Today's episode is sponsored by The Active Share podcast. If you’re seeking the less obvious and are curious about the ever-changing world and how it affects investing, The Active Share podcast is for you. Hear thought-provoking conversations with thought leaders, company executives, and William Blair Investment Management’s own analysts and portfolio managers as they share unique perspectives on investing in a world that’s always evolving. Listen to The Active Share on Apple Podcasts, Google Podcasts, Stitcher, Spotify or TuneIn or visit here. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest today is Patrick Geddes, founder and former CEO of Aperio Group, a leader in the direct indexing space with $42b in AUM when it was acquired by BlackRock for over $1b.In today’s episode, we kick it off with hearing back Patrick’s days at Morningstar as the Director of Quantitative Research & CFO. Then Patrick shares what led him to start a firm focused on direct indexing and customization over 20 years ago. We talk about why the Great Financial Crisis was an inflection point for direct indexing and why there’s been so much M&A in the space over the last couple of years.Then we talk about his book, Transparent Investing. We talk about consumer advocacy, the importance of taxes & fees, and ways to counteract some of the behavioral biases we all have.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Sponsor: Today's episode is sponsored by The Active Share podcast. If you’re seeking the less obvious and are curious about the ever-changing world and how it affects investing, The Active Share podcast is for you. Hear thought-provoking conversations with thought leaders, company executives, and William Blair Investment Management’s own analysts and portfolio managers as they share unique perspectives on investing in a world that’s always evolving. Listen to The Active Share on Apple Podcasts, Google Podcasts, Stitcher, Spotify or TuneIn or visit here. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest is Mary Childs, co-host for NPR’s Planet Money podcast and author of The Bond King, which shares how Pimco and Bill Gross changed finance forever.In today’s episode, we kick it off with Mary’s time with Planet Money, one of the most fun and popular finance and econ podcasts around. We talk about some of her favorite stories, like why a publicly traded deli in New Jersey was worth $100 million, how Citibank accidentally paid out $900 million, and why you’re giving your boss a loan without realizing it.Then we dive into her new book, which took seven years to complete and garnered rumors that she was paid $10 million to not publish it! She walks through the history of Pimco and Bill Gross and the irony of a bond manager becoming famous.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----This episode is sponsored by Masterworks. Masterworks is opening the doors to top-tier, blue-chip art investments to everyone. Visit masterworks.io/meb to skip their wait list. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest is Adam Nash, a prominent Silicon Valley operator and investor who has turned his attention to philanthropy with his newest venture, Daffy, a not-for-profit community built around a new, modern platform for giving.In today’s episode, Adam starts off by giving an overview of Daffy, which supports over 1.5 million charities, schools, and faith-based organizations. Then he explains why providing low-cost, donor advised funds through the app store may help spur people to donate and help causes they care about. Adam shares how working at or advising companies in the past has impacted how he’s built Daffy, whether it’s the social aspect of LinkedIn, the automation of Wealthfront, or growth strategy of Acorns. As a special offer for listeners of the show, visit daffy.org/meb/invite and get $25 to give to your favorite charity.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Today’s episode is sponsored by MUD\WTR. MUD\WTR is a coffee alternative that supports your morning ritual without all the anxiety and jitters of coffee. Get your starter kit and free frother at mudwtr.com/meb and use code FABER for 15% off. Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s guest is Jeremy Grantham, the Long-Term Investment Strategist and co-founder of GMO. It’s been about a year since we first spoke with Jeremy and given his knowledge of financial history, there are few people who are better to hear from about what’s happening in the world today than Jeremy. We start by touching on his investment in QuantumScape, which he saw grow to $500 million on paper and later decline by 80%. Then Jeremy shares what he thinks the societal implications will be from a huge potential write down of perceived wealth in the US if this superbubble bursts.He also touches on some of his biggest concerns at the moment: the conflict between Russia and Ukraine, labor and materials shortages, poor demographics, and rising inflation.While Jeremy is frequently referred to as a bear, one of my big takeaways is his optimism and excitement to solve some of the longer-term problems faced around the globe.  If you want to hear our conversation with Jeremy from February 2021, click here.-----Follow Meb on Twitter, LinkedIn and YouTubeFor detailed show notes, click hereTo learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com-----Today’s episode is sponsored by MUD\WTR. MUD\WTR is a coffee alternative that supports your morning ritual without all the anxiety and jitters of coffee. Get your starter kit and free frother at mudwtr.com/meb and use code FABER for 15% off.----- (2:52) - Welcome back to our guest, Jeremy Grantham; Episode #286: Jeremy Grantham, GMO (3:32) - What’s transpired in the past 12 months since he first appeared on the show (6:14) - Update on his investment in QuantumScape (12:57) - The impact of the Russian invasion of Ukraine on wheat prices (19:32) - Would we be better off with robots instead of the Fed? (22:00) - Societal implications of a possible write down in perceived wealth (25:35) - Not being able to rely on bond diversification (Ben Inker 4Q21 Letter) (26:54) - Jeremy’s thoughts on commodities and emerging market value today (29:53) - Triumph of the Optimists; Credit Suisse Annual Reports (33:02) - Why Jeremy is as a perma-bear but largely optimistic; Reinvesting When Terrified (34:59) - What Jeremy is thinking about in the VC world (38:02) - Jeremy’s take on nuclear power (45:38) - The cost of capital and inflationary pressures in the coming decade Learn more about your ad choices. Visit megaphone.fm/adchoices