investor

“Because most investors have no interest in, in, in risking their capital in a family controlled company when they have no way of controlling or in many instances knowing what the outcome will be, and they can't know whether the firm has an idiot uncle or a was…”

“And everyone pays the same.”

“The vast, vast majority of investors, unless you're in a professional shop, you have a very low quality feedback loop about how well you're doing. The only people who have really high quality feedback loops are professional PNs, sometimes analysts, who get lik…”

“Some of my former friends that are engineers make terrible investors. Not all engineers make, but my friends that were former engineers, because they kept thinking it's an engineering problem. I said, no, it's a, I mean, it is potentially an engineering proble…”

“What you find for reasons that are a little bit confusing is if you think of just normal business strategy, sort of one of Porter's models of price differentiation and product differentiation, investors really, for the most part, do not select their investment…”

“What I think you're going to see is that the people who understand where those vulnerabilities are and think about that creatively are going to make a lot of money off of it.”

“Almost everybody these days actually uses risk models that someone else developed. There's only a few someone else's, and they're all competing with each other in a marketplace. So guess what? There's conversion thinking on this, which is really bad, because e…”

“Most of the funds that do best by their investors aren't necessarily the ones that grow to be the biggest. They're the ones who care most about performance, not business growth.”

“If you want someone to invest in your own company, what you want to do is highlight how your company is very similar or has common characteristics as the investor, whether it is anything really, any similarity would help.”

“People like to invest in things that are closer to them, either topically or geographically. And I think one reason is just, well, they're more familiar, but that's not everything. We have this illusion that we have some control as if we do have a bit more con…”

“One of the things that we see in the hedge fund industry is that most investors are kind of skeptical of hedge funds as a whole, but they're very positive on the hedge fund managers that they've picked for their portfolio.”

“I would argue that there's not a complexity premium for investors.”

“I think probably regret is one of the most poisonous things that enters into investors' brains, either selling too soon or buying too early. And the problem is that those moments stay with you, right? And you always remember what happened last time, even if it…”

“In our investor surveys, investors Constantly put that as the number one or number two most important criteria when they're evaluating a fund.”

“I think, by the way, the biggest thing you'd be helping the new funds with is marketing and helping them tell their story because a new hedge fund manager, they have to have a great first year in terms of their performance and they have to raise money and ther…”

“As markets started to recover post the first quarter, there was a ton of momentum, and we didn't settle into that momentum. If anything, we added into it, whereas I think a mistake some investors would make is taking their ball and going home at that moment in…”

“Just because, you know, you were an operator in X space doesn't make you the greatest investor in that space”

“And then I guarantee you in three or five years, people won't be that worried about stuff like that anymore.”

“People tend to think, well, I want to pick the best stock, or I want to pick the best deal as against thinking, who should I partner with? Because the latter question implies that you're trusting and relying on somebody else in a way that People are often not …”

“You've got climate scientists who are analytically rigorous and so thoughtful, but know very little about capital markets. And then investors who know a lot about capital markets and very little about RCP scenarios or climate science.”

“We believe in the medium term, investors will be willing to give up some of the upside of the leanest possible supply chain, For a more resilient supply chain that can weather other tail risks.”

“And I actually tend to think it has very little to do with the data sources itself or the information. It's the competitive advantage you're looking for is the ability to integrate across your investors with your data scientist, with the people who are sourcin…”

“Everybody talks about alignment of interest in the alternatives industry, but the reality is, unless you sit around and discuss it, you have a situation where The investors pay the fees and the managers receive the fees, and you can't be perfectly aligned in t…”

“You get some investors who say, look, you should never have a management fee on a hedge fund. And I can understand why, from an investor's point of view, that might feel good, but actually it's not good from the long-term health of the business, because if you…”

“You know, it can take 10 years or longer to know if somebody's actually a really great investor. There's a lot of noise. There's a lot of luck involved.”

“I think you can be successful without knowing which way the market's going.”

“Investors, timing of their cash flow, in and out, potentially buying near the peak, selling near the bottom. They have this gap, and it's called the behavioral gap, that has averaged about two percent a year.”

“If you're an entrepreneur and you actually know the base rates of failures for entrepreneurs, you might never try in the first place, right? So there's this really interesting tension, I think, between we want that optimism at the global level. We want peopl…”

“Great investors are typically contrarian and you need that to generate returns. You have to see things others don't. You have to believe something that others don't. And that involves strong analytical skills, being very detail oriented. Whereas successful bus…”

“I'm shocked how many investors still don't talk to customers. I'm still blown away by that. It is just still like you learn more talking to a customer than you're going to learn to talk to the CEO.”

“I don't think you have to catch them all. If you didn't have the thesis, if you didn't have conviction, it is okay. We're investors. We're not Pokemon trainers. You know, we don't have to catch them all.”

“The best investors in the world are generally running structures where they can get paid the most, where they can have the most creative freedom, and where they can attract and surround themselves with the best talent and the best investors, and that, that mom…”

“I'd say that the tailwinds to short selling right now are that there's been a quite a lot of speculation and quite a lot of, I think, willingness of investors to embrace Fanciful business plans with hockey stick projections that are currently unproven and in b…”

“If a founder was to spend the majority of their time trying to chase investment rather than improving their business, I think that is a crime. It's often, by the way, the same people who expect that every next round is going to be an up round, despite not meet…”

“I love the sixty-year-olds or fifty-year-olds. I love the twenty-year-olds. The 30, 35 are the most dangerous. Why? Because when you're 50, 60, you saw a lot of things, and you simplify. You know what works, what doesn't, and you do it very simple. When you're…”

“I do think strategic China will be the space where investors will have returns provided that it is legal for them to do that.”

“It's entrepreneurs building for capital markets instead of building for users. It's hard to put exactly unless you've been in like, 10,000 pitches Especially in unproven categories like crypto where it's unclear if you have product market fit or it's a complex…”

“I really value the track record, the integrity, and the trust that investors have placed with me for so many years. I just think that would be so disappointing to fold up shop during difficult times.”

“People that tell me they're long-term investors, they're always telling me they're long-term investors when they don't want to acknowledge a mistake they just made in investing.”

“I think you look at real assets, and traditionally infrastructure has had an inflation component, and most investors are probably under allocated to infrastructure and real assets.”

“On the buy side, you're getting constant feedback, because the position's on your book, so you can see it tick up and down every single day. You have some thesis about what the fundamentals are going to look like, and every day you can compare your thesis to h…”

“Ted, I think that's one of the biggest errors that we can make as investors is believing we have a longer time to prove out an investment approach than we really do. If the answer is, is you only have a couple of quarters to prove that it makes money, you bett…”

“Today, although that's starting to change as interest rates are rising, for the past 30 years, investors have been taking five times the amount of risk to get the same amount of return that they did 30 years ago.”

“The governments are often regulating price minimums and even escalating price minimums, which can create unique and interesting and positively skewed investment opportunities for investors.”

“I think that the best thing an investor can have is lack of FOMO. I think FOMO is the most dangerous thing an investor.”

“Somewhere along the way, the last five years or so, the Illiquidity premium somehow turned into an illiquidity discount. I don't really understand it. Used to be you demanded a higher return to lock up your capital, to lose the ability to make a change in mana…”

“Many managers have come out recently to meet this demand, and we just don't think the results collectively are going to be what people want, but they might not really care because the people in the seats making those decisions might change by the time the poor…”

“I thought instead of thinking of that network as operators who need tremendous oversight and who you don't give much discretion to, you could essentially upgrade To a network of people you think of as investors, whose judgment you trust, who invest their own m…”

“The alignment is one of the most important success factors for any investor. If you don't have long-term oriented clients, you can't make long-term investments, and since I have no idea how to make short-term investments that work, I don't know how people with…”

“The shorthand is the best investors are square pegs, ok? And that, there's lots of exceptions. In the investment world, there's lots of investment rules that have exceptions. We see that more often than not, that they're not Balanced individuals. They're worka…”

“If you're an investor and you want to be an investor, it's like understand the why. Also understanding your own why of what is your duration? Like is your duration matched with the expectation of that asset? Today's day and age, that's what gets called out mor…”

“I think the manager who has good performance, but it's a poor storyteller is just going to be on a very short leash with their investors.”

“The average time horizon for investors has shrunk rather than elongated. And I think that creates A time arbitrage opportunity, which essentially creates an inefficiency in the market.”

“I always tell my students, you have to earn the right to use a multiple. In other words, you can demonstrate that you understand what the economic implications are. That always bothers me that people are very comfortable throwing around heuristics or multiples…”

“And because venture and buyouts have essentially longer time horizons, whether people like it or not, they have to sit in their seats for a while. And that's actually, I think probably been to their benefit versus to their detriment.”

“So with an investment banking firm, you have a merger and acquisitions department. They get paid when you do a transaction. So often the people that are the best is getting people to do things so they can get them to do things. And I would often ask them, have…”

“And really what investors are looking for is not that people can't transform their businesses, but that they do it in an incremental way, in a way where you take small steps, You make sure they work and you get better and better over time rather than I'm going…”

“One of the problems with hedge funds is that they have to frequently manage to Not just quarterly reports, but monthly reports, or even weekly and daily reports. So they've got to show that they're staying with the strategy that they have outlined for their in…”

“One of the hardest things in our business is You establish something new, like a new fund or a new ETF, and investors won't typically look at it for at least three years.”

“It is incredible how investors are backward looking at numbers, and they create a narrative around what's existed versus actually being independent, but I've just come to accept that.”

“One of my pieces of advice to GPs and people in my role is always don't assume your investors are reading the end of a report. They're most likely not.”

“People say, well, what else would a good investor be good at? I said, like an investigative journalist. You're always asking questions, you're looking under rocks, you ask a question one way, you listen, listen, listen, then you ask the same question, but you …”

“There is a benefit because you only learn if you own a staff. We can talk whole day about how wonderful the business is, but once you own it, and once you're underwater in that name, it sharpens your thinking quickly.”

“Hey, this is a Bad setup for investors. Because we're reliant on operators to bring us the investment, we're not controlling our funnel of sourcing. Then we're giving up upside if things go well.”