Finepoint Capital

“Year to year, you don't have big changes in the risk of a large hurricane. Over 10 years, 20 years you do, which is kind of what we've seen, but it's a slow moving increase in risk. That's what's fascinating to us is because you can have these year to year cha…”

“We ended up pivoting a number of years ago We don't want to be dependent upon what the market tells us something is worth, and that's why a lot of what we do is catalyzed. So that was one of the big huge change that I made in my investing style, probably start…”

“Nobody has their own P&Ls here. Everyone is really aligned to find the best investments.”

“Also take, for example, when the Chinese property developers all blew up, when Evergrande blew up back in 2023, we spent a lot of time trying to figure out, could we understand the risk? We ultimately decided we couldn't because so much of it was dependent upo…”

“Since we're fundamental investors, we hedge currency, commodity, and interest rates at the investment level. So for example, we hedge the yen. We don't have a view on the yen dollar. We think about ourselves as being dollar investors. So we hedge anything that…”

“I'd never been able to exactly quantify this number. I think over 90% of the market is passively managed. There's very, very few fundamental bottoms up investors in Japan.”

“Even though we're sitting here in the summer of 2025, our credit exposure is at historic low levels.”

“The way that it's priced across different structures, vehicles, and different markets is dramatically different. So actually, one of the hardest parts about reinsurance is just sourcing the risk. It's an opaque market. It's a lot of bilateral contracts.”

“One of the areas that we have gravitated away from over the years is take emerging markets, for example. So the sovereign risk, the macro risk often are the most important risk in any asset you're looking at in a specific emerging market. We don't think we're …”

“If you would have said to me, hey, Herb, when you started FinePoint, what's the chance that you're going to have Over a majority of your assets in Japan, I would have said you're crazy. And here we are.”

“Most of the companies that we invest in actually are most of their businesses outside of Japan.”

“One of the reasons that value investors have underperformed in the last 10 years is that There's a lot of technological disruption that's taking place, and it takes place faster than it used to. When we underwrite a mediocre business and we project out cash fl…”

“So we actually have recently found a derivative in an Asian market That we're buying for 10 to 20% of what we think it's worth, so 80 to 90% discount, and it's solely the result of the fact that there's a market in Asia that has such a large demand to be short…”

“So the Japan sovereign leverage is high, but net of the central bank is actually manageable. The banking system is well capitalized now. Corporates in Japan And then households, they're all net cash.”