Capital Allocators – Inside the Institutional Investment Industry

In this engaging discussion, Daylian Cain, a Senior Lecturer at Yale, shares his expertise in negotiations and ethics. He delves into essential tactics like preparation, the art of going first, and how to leverage a weaker hand. Daylian highlights the psychological aspects of decision-making and the intricacies of power dynamics in negotiations. He also addresses the impact of gender dynamics and offers practical tips for giving constructive criticism. Listeners will discover valuable insights to enhance their negotiation skills in various contexts.

Laurence Siegel, Gary Brinson director of research at the CFA Institute Research Foundation, shares insights from his rich career in investment management. He debunks ten prevalent myths of investing, drawing from his impactful research at the Ford Foundation. The discussion extends to his book, 'Fewer, Richer, Greener,' making a compelling case for long-term prosperity despite current challenges. Siegel also reflects on the evolution of investing, the influence of machine learning, and the importance of understanding market dynamics for sustainable growth.

Daniel Adamson, Senior Managing Director at Wafra and President of Capital Constellation, sheds light on innovative partnerships between massive asset owners. He discusses the creation of Capital Constellation, aimed at investing in emerging private equity managers while navigating challenges in collaboration. Adamson shares insights from his investment career, emphasizing the need for lasting partnerships and strategic alignment. He also reflects on the personal values that guide him, including the importance of self-growth amidst the complexities of institutional investing.

Tim McCusker, Chief Investment Officer at NEPC, discusses crisis management strategies in the investment world. He highlights the importance of balancing short- and long-term investment approaches during times of uncertainty. The conversation explores virtual due diligence adaptations and the shifts in client communication. Tim also shares insights on opportunities in credit and private equity, alongside the unexpected benefits of remote work. A humorous anecdote about scheduling challenges during restrictions adds a light touch to this informative dialogue.

Tim McCusker, Chief Investment Officer at NEPC, oversees a consulting firm that manages $1 trillion in assets. He discusses the balance of consistency and creativity in investment strategies while addressing unique client needs. Tim shares insights from his transition from teacher to CIO and highlights the importance of adapting to megatrends like AI and demographic shifts. He also delves into the complexities of market dynamics, operational challenges in outsourcing investment management, and the essential interplay between active and passive strategies.

Michael Mervosh, a clinical psychologist and founder of the Hero’s Journey Foundation, shares invaluable insights on navigating crises. He discusses the emotional spectrum individuals experience, emphasizing adaptability and resilience. The conversation highlights the importance of genuine connections, even in a digital age, and offers practical tips for fostering relationships. Mervosh also emphasizes creativity during challenging times and concludes with a touching poem about kindness, urging listeners to invest in something greater than themselves.

Michael Mervosh, Executive Director of the Hero’s Journey Foundation, shares his insights on personal transformation through experiential learning. He discusses the significance of Joseph Campbell's myth of the Hero, emphasizing self-discovery amidst adversity. Mervosh explores themes like perfectionism, vulnerability, and the deeper meanings of success beyond material wealth. He highlights the power of community and connections, encouraging listeners to embrace uncertainty as a pathway to growth.

Andrew Golden, President of PRINCO, has expertly managed Princeton's $25 billion endowment since 1995. He discusses the critical strategies for navigating financial crises, focusing on communication and decision-making in remote environments. Golden emphasizes the importance of liquidity management and adaptive risk strategies amidst market volatility. He also shares insights on developing talent virtually to enhance inclusivity in investment management, underscoring the value of pre-existing partnerships during challenging times.

Andy Golden, President of Princeton's Investment Management Company, shares insights from his remarkable journey managing the university's endowment, which skyrocketed from $3 billion to $22.5 billion. He discusses strategic asset allocation, the pursuit of high capital returns, and the importance of team structure and talent development. Highlighting experiences from his unique career path, he reflects on decision-making processes and the dynamics of the investment team, all while weaving in personal anecdotes about leadership and the pressures of perfectionism.

Annie Duke, a poker legend and decision-making theorist, joins Brian Portnoy and Jonathan Novy to dive into decision-making during crises. They discuss the crucial difference between complicated and complex decisions, emphasizing timely action over certainty. Duke shares insights on preparing clients for market volatility, tackling psychological biases that drive impulsive decisions. The conversation also highlights the importance of decision-making education for children and transparent communication during stressful times, like the COVID-19 pandemic.