Finny Kuruvilla, Co-CIO of Eventide Asset Management, critiques conventional ESG rating methodologies for relying on superficial disclosure checklists rather than core product impact.
0:00 / 0:15exact quote · 15.9s
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“So we have often marveled that Philip Morris, which is a widely known provisioner of cigarettes and tobacco, rates more highly on many of these databases than on companies that are actually trying to treat lung cancer.”
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“The thesis is that those types of businesses that are creating value for its stakeholders will outperform over the long haul in general, those businesses that are focusing only on one form of capital, i.e. Financial capital.”
Finny KuruvillaOct 12, 2023▶ 20:57Finny Kuruvilla – The Fourth Source of Alpha at Eventide (EP.343)
“I think the best studies out there would suggest that there's somewhere in the neighborhood of three percent annualized alpha that the market hasn't captured while controlling for size and market cap and all the standard factors there that is to be harvested.”
Finny KuruvillaOct 12, 2023▶ 31:18Finny Kuruvilla – The Fourth Source of Alpha at Eventide (EP.343)
Insight
Kuruvilla: Deep domain expertise provides the real edge against Wall Street
“The basic line that Peter Lynch hammers home is that there's a few disciplines you need to learn in terms of accounting and some basic knowledge about investing, but the real edge that you can have to beat Wall Street is if you have deep domain expertise in a …”
Finny KuruvillaOct 12, 2023▶ 6:39Finny Kuruvilla – The Fourth Source of Alpha at Eventide (EP.343)
Opinion
Kuruvilla: Much of biotech makes minor drug tweaks to charge $300k
“Okay, so a lot of biotech, unfortunately, is based on taking something that's already out there and tweaking it very, very slightly, changing a few atoms here and there in order to get a patent worth 20 years of life, and then going to market there with an inc…”
Finny KuruvillaOct 12, 2023▶ 23:24Finny Kuruvilla – The Fourth Source of Alpha at Eventide (EP.343)
Insight
Kuruvilla: A 10% edge in biotech trial forecasting creates outsized alpha
“It's the same thing in our field here, where if you can be even 10% better than the average, then you're going to be an all star because these events tend to be so Dramatic. So companies can go up two or three fold, a hundred percent, 200% moves overnight, or …”
Finny KuruvillaOct 12, 2023▶ 27:43Finny Kuruvilla – The Fourth Source of Alpha at Eventide (EP.343)
Insight
Kuruvilla: Public equity investing confers ethical responsibility for corporate actions
“Investing is ownership. Investing confers an ethical responsibility To the owner for the activities of the firm.”
Finny KuruvillaOct 12, 2023▶ 38:03Finny Kuruvilla – The Fourth Source of Alpha at Eventide (EP.343)
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