Canyon Partners

“Other things like stress credit, we'll use Canyon or Bain because we're not going to be able to have that expertise in house”

“I remember when our good friends, Bruce Karsh and Howard Marks left Trust Company in the West to start Oak Tree and almost instantly had more capital than we did, or at least as much, and we had started a few years earlier, and part of it was that they underst…”

“It drives me crazy, but I find that capital flows in our business are almost always counter-cyclical from what they should be.”

“We try to prepare ourselves as opposed to predict. That's one of the mantras we repeat often here is prepare, don't predict.”

“The entire history of the financial world is one of crises that are born of exactly what you say, where you have a combination of illiquid assets held by a firm that has liquid liabilities, like a bank, and is leveraged. So leveraged and a mismatch is always t…”

“Those are always good because you get paid not for taking risk, but for solving a problem.”

“Sometimes they get a little too caught up in the competition of what everyone else is doing because they all get benchmarked and paid based on how everybody else is doing in the industry. So if everybody's doing goofy things, they might just do the same goofy …”

“So what was complicated today was going to be simple in the future because the bankruptcy process has run its course or because the buyer was going to divest of things and then be a nice, pure play, simple company or whatever. But generally speaking, complex t…”

“And I also think that no investor will always do a great job at every point in every cycle. So you may as well give people a second reason to stick with you if you happen to do a poor job on the investing side, and I think having good transparency and complian…”

“I would expect there will be some distress, but I think it's going to take a little while before that develops because a lot of the paper that's been issued doesn't have covenants or has very, very light covenants, and coupons are really low.”

“You have to reward people for not investing, as well as for investing, because there's a time when their areas are not particularly attractive, and you don't want to push people to invest, so you want them to own a piece of the overall firm carry, if you will,…”