Invest Like the Best with Patrick O'Shaughnessy

In this conversation, Eric Sorensen, CEO of Panagora Asset Management and a veteran of quantitative research, shares insights drawn from his diverse background, including a stint as a fighter pilot. He discusses the evolution of quantitative equity research and its increasing significance in financial markets. Eric also delves into the role of natural language processing in finance and the importance of creativity and innovation in research. Additionally, he highlights how risk premia impacts investment strategies and the necessity of adapting to a rapidly changing landscape.

Jane McGonigal, a world-renowned game designer and author of "Reality is Broken," discusses the transformative power of games. She explains how gaming fosters personal growth and collaboration, shifting focus away from competition. McGonigal shares her journey creating SuperBetter, a game that aids health recovery, emphasizing the role of play in overcoming challenges. The conversation encourages parents to engage in gaming with their kids and explores the psychological effects of design, aiming to harness games for real-world problem-solving.

In this insightful discussion, Bill Gurley, a general partner at Benchmark Capital known for his sharp investment acumen, delves into the power of network effects in business. He explores how increasing returns reshape traditional investment strategies and highlights the importance of team dynamics in fostering these effects. Gurley also shares his fascination with user-generated content platforms and the evolving landscape of marketplaces, emphasizing their potential for growth and the significance of adapting revenue models in a rapidly changing market.

Jesse Livermore, an anonymous thought leader on financial Twitter, dives deep into his unconventional investment strategies and unique research methodologies. He discusses the art of blending intuition with analytical thinking, highlighting the role of simplicity in decision-making. From his military background to navigating market complexities, Jesse emphasizes the importance of humility and the search for truth in investing. His insights into the dynamics of market valuation challenge traditional methods and advocate for cultivating constructive dissent in investment environments.

In this episode, Chuck Akre, founder of Akre Capital Management and a seasoned investor managing $10 billion, unveils his unique 'three-legged stool' framework for evaluating companies. He emphasizes the importance of imagination over mere knowledge in investing. Chuck shares insights on identifying extraordinary businesses, effective leadership traits, and the critical role of capital allocation. He also illustrates his investment philosophy with real-world examples like Bandag and shares thoughts on the significance of reinvestment in long-term success.

In this engaging discussion, Jerry Neumann, a thoughtful early-stage investor known for his structured insights on venture capital, shares his views on the pitfalls of gut-based investing. He delves into the risk misalignment in the VC space, the diminishing returns on popular edges like network effects, and emphasizes the importance of understanding value chains and IP protection. Jerry also critiques the influx of new VC firms and the implications of short-term thinking. His data-driven approach offers listeners a fresh perspective on navigating the complex landscape of venture investments.

In this engaging discussion, Sam Hinkie, the former President and GM of the Philadelphia 76ers, delves into his innovative, data-driven approach to basketball management. He shares how adopting a long-term perspective can minimize competitive pressure and foster success. Hinkie also highlights the thrilling early days of basketball analytics at the Houston Rockets and the importance of courage in navigating asymmetric outcomes. With insights on decision-making and team building, he explores the challenges and triumphs of integrating data in sports.

David Epstein, renowned writer and researcher behind "The Sports Gene" and "Range," dives into the fascinating debate of specialization versus generalization. He discusses how individualized training can lead to elite athletic performance, challenging conventional wisdom like the 10,000-hour rule. Epstein also shares insights from his research on effective learning strategies and the need for cognitive diversity in innovation. The conversation touches on educational systems and the importance of embracing varied perspectives for problem-solving.

Priya Parker, a conflict resolution expert and author of "The Art of Gathering," dives into the secrets of meaningful gatherings. She emphasizes the importance of a clear purpose and impactful openings to engage attendees. Priya shares her early experiences in facilitating events and how storytelling can foster trust in diverse groups. The conversation highlights structuring events thoughtfully and honoring individual backgrounds to create authentic connections. Ultimately, she reminds us that kindness and reflection are crucial for lasting impact.

Tim Urban, writer and creator of "Wait But Why," joins his business partner Andrew Finn for a vibrant conversation that spans artificial intelligence and interplanetary travel. They dive into the idea of treating life like a game, emphasizing creativity and first principles thinking for personal growth. The duo discusses AI's evolution, the significance of brain-machine interfaces, and how content creators can authentically connect with audiences. Packed with metaphors and engaging insights, this talk will energize anyone striving for innovation.