manager

“We are managing taxable money, and that means that the cost of wrong decisions is really high, because if we redeem from a manager, we're often reinvesting a 75 or eighty-cent dollar, so that means that the next manager has to be that much better.”

“It's shocking. I think sometimes managers use a lot of jargon when they talk about what they do, and when you ask really basic questions, even they have a hard time explaining it sometimes.”

“The more exposure you have to managers across the asset allocation spectrums, I really feel that, especially today, I learned the most from my actual managers.”

“Unweighted numbers, about 40% of managers beat the market in an average year. And the standard deviation is high. It's like 17% standard deviation.”

“We find managers should be trading around positions more. They're generally not, and the positions that's easiest to ignore is the one that's working and making you money, and so what happens in that situation is the price is going up, which means the position…”

“The foundations in the dynamic community had a lot more leverage. So you had leverage with managers. That's what made them become known as the smart money because you were doing these sort of more interesting structures and strategies. Very different than it i…”

“We have a maximum of no more than 50 managers, five, zero, four, six billion dollars. That makes us very different from our peers. It also makes the situation much more manageable.”

“Ultimately, it comes down to listening. I think that when you're in a dynamic, when someone enters a room to be presenting Their heart and soul, their business, their strategy. They do have a tendency to just tell their story. Press play and tell their story. …”

“We don't take any money from managers either, which is somewhat unique in our industry.”

“Generally speaking, if a manager is slow from allocation perspective in terms of, well, slow versus what, but you know, not seeing lots of opportunities, that's pretty useful information for us, because that says, well, actually, maybe this isn't that attracti…”

“Having the right networks to be able to access and find great investment ideas is, is pretty important. And it's one of the reasons why, you know, where we started some of these large endowments Have been able to perpetuate returns because they have long histo…”

“We found that a lot of Managers are really good investors, but aren't necessarily as practiced in, in telling their stories and helping connect what they do and why it's meaningful to LPs and other constituents.”

“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…”

“If you're too big, you can't access the best managers. If you're too small, You're not on their radar.”

“To me, there's no greater way to measure or test a manager's credibility Then to verify that they did what they said they would do a year or two or three ago.”

“So I find myself actually saying, yes, you should discount fees. You should agree to these requests from the institution. May it be around transparency. May it be around governance. May it be around structure. They're really meant to align incentives. And you …”

“There's been so much noise and so little signal because all those trees have been growing to the sky. You're just like, I don't know who's a great all weather manager.”

“Some of our managers were down 10, 15% so far in 20, 22, that's a big number, and some of them are down 50% from their peaks.”

“Because the record is very clear that investment committees tend to fire managers at the wrong time and to hire managers at the wrong time, creating a drag on investment results they could otherwise have had.”

“I think you'll see broken auctions. So managers will bring an asset to market, you know, when they're holding it at a certain multiple and they have certain price expectations. When those price expectations aren't met, they'll sit on it.”

“We've seen managers essentially fully equitize their companies today. With the view that they're just going to refinance out in a better market instead of taking it as much or at the same level of debt that they've used.”

“We modified it to actually really gauge not only where managers stand in terms of their diversity, but also what we call the faucet, because that's where we feel the biggest impact's going to be.”

“It is amazing to me how often managers say, oh, I can't tell you that because that is a trade secret or that's our secret. It is not a secret from anyone. All of your competitors know it. Let's say that Apollo told me that. I could call Carlisle and they'd be …”

“I have a tremendous amount of respect for people who do the CIO job because every day you're relearning things that you thought that you had figured out about a manager disappointing you, manager surprising you, things you missed”

“So when we actually evaluate managers, we have two different axes, role and conviction.”

“I think as alternative assets have institutionalized, managers have been asked to take on narrower and narrower strategies with very strong financial incentives, but the nature of investing is such that opportunity sets are transient.”

“They're looking to add endowment and foundation, which tends to be sticky, and particularly organizations that have an in-house team. Because then you're building the relationship directly with the client as opposed to going through an intermediary.”

“Historically in private equity, just on the principal investing side, managers had sold their best companies very early and got stuck with their worst companies. They cut their flowers and watered their weeds.”

“It always really bugged me when managers would take a risk, and then the risks blew up in their face, and they'd act like it was some act of God that they couldn't possibly have foreseen and so shouldn't be punished as it were for.”

“When you were an allocator meeting hundreds of funds a year, you've seen everything more than once. But every manager thinks their story is unique. They think their edge is unique.”

“By and large, managers have never been good at understanding the LPs. And by the way, I would say LPs have never been good at understanding the demands placed on managers. There's just a knowledge gap between the two.”

“We find that as these managers grow, they hire an hour person, suddenly you're being intermediated. You're not getting the same perspective. You're not able to read the temperament of the manager, understand what they're thinking about. It becomes more difficu…”