Capital Allocators – Inside the Institutional Investment Industry

Chris Heller, Co-Founder and Co-Managing Partner at Cordillera Investment Partners, dives into unconventional investments, including whiskey aging and even alligator farming. He discusses how niche assets provide unique opportunities for diversification amid turbulent markets. The conversation highlights the complexities of investing in spectrum for 5G and emphasizes the importance of ESG factors in decision-making. With a focus on innovative sourcing strategies, Heller shares his insights on navigating this 'weird stuff' to maximize returns.

Matt Bank, the Deputy Chief Investment Officer at GEM with a robust background in institutional investing, shares his insights on asset allocation and manager selection. He discusses his unique journey into investing and the critical importance of risk management and trust with clients. Matt delves into the evolution of the OCIO industry, highlighting the need for tailored strategies. He explains the intricacies of selecting managers for alpha generation and the balance between active and passive investments, offering a nuanced view on achieving success in today's market.

Jeff Glass, Co-founder and CEO of Hometap Equity Partners, sheds light on his innovative platform that allows homeowners to access equity without selling. He shares his entrepreneurial journey from delivering office furniture to venture capital, revealing valuable lessons about risk and empathy. The discussion traverses Hometap’s unique investment strategy, team culture, and the challenges of scaling their services. Personal anecdotes add a humorous touch while emphasizing the importance of integrity and mindfulness in the pursuit of success.

Jon Glidden, CIO of Delta Air Lines, expertly transformed the airline's pension fund from a staggering $13 billion deficit to full funding status. In this discussion, he unveils the innovative strategies behind this turnaround, such as portable alpha and private equity. Drawing from his naval background, Jon recounts pivotal lessons in risk management and the importance of teamwork. He also shares insights on navigating financial challenges during crises like COVID-19, emphasizing governance and collaboration in investment decisions.

Chris Michalik and Rob Michalik, twin brothers and co-founders of Kinderhook Industries, share their unique journey in private equity, thriving on familial bonds and shared experiences. They delve into their firm's focus on healthcare and environmental services, addressing unwarranted scrutiny of private equity in these sectors. The duo discusses their recent acquisition of Stewardship Medical Group and emphasizes the importance of mutual respect and communication in business partnerships. Personal anecdotes and insights on mentorship add a relatable touch to their professional narrative.

In this insightful discussion, Chris Michalik, co-founder of Kinderhook Industries, and his twin brother Rob delve into their investment in Ironclad Environmental Services, a leader in industrial waste management. They explore intricate strategies of due diligence and negotiations in the environmental services sector, highlighting key acquisition tactics. The brothers also discuss the critical role middle-market businesses play in private equity and share their vision for Ironclad's future growth as a dedicated environmental solutions provider amidst evolving industrial demand.

Scott Bessent, CEO and CIO of Key Square Group, is a seasoned global macro investor with an impressive career at Soros Fund Management. He shares insights on high-conviction investing and asymmetric asset selection, discussing the pivotal trade against the British pound that marked his career. Scott reflects on mentorship's crucial role in finance, likening investment strategies to chess, where strategic planning is key. He emphasizes the importance of risk management and position sizing in navigating market volatility, illustrating his visionary approach to macroeconomic factors.

Ricky Sandler, CEO and CIO at Eminence Capital, is a pioneer in long-short equity investing, managing over $7 billion. He shares insights from his three-decade journey in finance, discussing the evolution of long-short strategies and the critical adaptations necessary in changing markets. Sandler emphasizes the importance of a collaborative culture and the challenges of short selling in today's volatile environment. He also touches on valuable lessons from sports, highlighting personal growth and the significance of well-being in both life and investing.

The discussion dives into Yale's innovative Prospect Fellowship, aimed at nurturing emerging managers through capital and mentorship. It highlights the motivations behind the program and the potential risks of oversubscription. The talk addresses the challenges participants may face while underlining Yale's impressive history of identifying promising investment talent. Exciting prospects and unintended consequences are explored, making it a pivotal moment for emerging managers in the investment landscape.

Brad Briner, a seasoned investment strategist and leading candidate for Treasurer of North Carolina, discusses his vision for the state's $115 billion pension fund. He highlights the fund's poor performance, which ranks last among states, and the need for reform in governance and investment strategies. Drawing from his tenure at Michael Bloomberg's Willett Advisors, Brad emphasizes the importance of data-driven decisions and team collaboration. He also shares insights on navigating the political landscape and increasing voter engagement in the upcoming election.