David Zorub
23 statements across 2 episodes · 5 bullish · 4 bearish · 1 people on the record · first statement Apr 22, 2019 by David Zorub · across every show →
On the record as a speaker too: David Zorub's record, appearances and statements → this page counts the times other people say the name.
Everything said about David Zorub, oldest first
Apr 22, 2019
Parsifal Capital will hold roughly 20 longs, concentrating in the top 10
“So we're only going to be long, say, about 20 securities. The top 10 will be 60 to 70% of what we do, and then those will cut across all those different risk premiums, so traditional long, Event-driven, special situations, equity, credit”
Apr 22, 2019 neutral
Apr 22, 2019
Apr 22, 2019
Zorub: Parsifal screens candidates for the ability to admit ignorance
“We have to find people who can admit that they don't know the answer to something, which is actually really hard, and so I gear the interview process towards really trying to force that, and if someone simply can't just say, hey Dave, I don't know the answer t…”
Apr 22, 2019
Zorub: Credit analysis prioritizes current fundamentals and capital preservation over growth
“When you lend someone money, you worry about a lot of different things. But at the end of the day, you worry about one thing above all else, which is I lend you money and I want to get paid back. And so it's really about capital preservation. And the analysis …”
Apr 22, 2019
Zorub: Parsifal uses a concentrated, cross-asset global long/short strategy
“My investing style Is global. It's concentrated. It's cross assets. So we do traditional long short with an emphasis on short selling, but we also do event driven, special situations, equity, credit, aspects of volatility.”
Apr 22, 2019 positive
Zorub: Investors should expand their circle of competence, not stay inside
“I've just never been a stay inside your circle of competence guy. It just doesn't resonate with me. I understand why it makes sense for some people, but I've been exactly the opposite. I've been an expand your circle of competence kind of guy, but that takes t…”
Apr 22, 2019
Mar 3, 2025
Mar 3, 2025 neutral
Zorub: Platform hedge funds made markets hyper-efficient at forecasting quarterly earnings
“Markets have become increasingly efficient in many ways at defining expectations and calling quarters. A lot of that has to do with the rise of the platform model where these are very smart people with a lot of resources.”
Mar 3, 2025 bearish
Zorub: Institutional capital is harder to raise today than ever before
“Much like every day that goes by is the hardest day to short that's ever been, I think probably every day that goes by is also probably the hardest day that it's ever been to raise a dollar of institutional capital. It is incredibly competitive to do so.”
Mar 3, 2025 neutral
Zorub: Markets produce 1-2 severely mispriced, career-risk-polarizing opportunities annually
“Or simply pretty reliably each year, the market will spit out one to two opportunities that are so polarizing because people are simply afraid to lose their jobs or get fired if they even mention the name of that company.”
Mar 3, 2025 negative
Zorub: Sector specialists face perverse incentives when sectors fall out of favor
“The flip side from the specialist perspective is you're under a lot of pressure day in and day out to always like and always hate something. But what if your sector or your subsector is simply out of favor? That can give rise to some perverse incentives that w…”
Mar 3, 2025 negative
Zorub: Pods and ETFs drive non-fundamental volatility, harming stock pickers
“The continued rise of passive, for sure, But also the rise of ETFs, the rise of the pod investing model. I would also add to that the rise of style factors, which are big business on Wall Street right now, have all conspired to, I think, create more non-fundam…”
Mar 3, 2025 positive
Zorub: High active share and concentration systematically drive investment alpha
“Strategies that do three things over time really outperform. And those three things are invest with high active share. So you don't, by definition, look like an index. Second, concentrate in your best ideas in recognition of the fact that actually markets are …”
Mar 3, 2025 neutral
Mar 3, 2025 positive
Zorub: Identifying why securities misprice beats screening for cheapness or quality
“When you tilt your lens away from asking, hey, is this business cheap or expensive? Is it good or bad? And instead ask, is it mispriced? If it is mispriced, why? And to what degree can I exploit it through my process? It becomes a very powerful algorithm for t…”
Mar 3, 2025 neutral
Zorub: Institutional incentives block managers from running high-alpha concentrated portfolios
“When I contemplate why the combination of high active share, concentration, and volatility tolerance yields alpha over time, it's simply because it's too damn hard for most people in our industry to actually invest that way. It's too damn hard for managers to …”
Mar 3, 2025
Zorub: Analysts waste time analyzing businesses instead of finding actionable setups
“Another key learning that I've experienced in my career is that when you think about the analyst job from identifying to breaking down a business to ultimately monetizing it, most spend far too much time analyzing and trying to monetize at the expense of reall…”
Mar 3, 2025 negative
Mar 3, 2025 positive
Zorub: Generalist investors spot inflection points faster than deep sector specialists
“As a specialist, you're going to be able to react faster. You're going to identify situations and probably have access to data that maybe we don't even have. As a generalist, you're never going to be at the tip of that spear, but the advantage that you have is…”
Mar 3, 2025
Mar 3, 2025 positive
Zorub: Teams should reject ideas lacking potential for 5% to 7% sizing
“Mediocre ideas tend to cancel each other out in the end, and they consume a lot of time and bandwidth, and so core to our process is I tell the team, don't spend any time on something that we don't think has the characteristics of becoming a large idea. Now, i…”