Mathieu Chabran explains why he and Antoine Flammarion chose to leave investment banking to found Tikehau Capital in 2004.
Opinion
Chabran: Carried interest is a cheap alignment option versus real sweat equity
“We all know that the alternative markets have generated this optionality, which will be by way of carried interest, incentive fees, that people would put as a The alignment of interest, I actually think, you know, it's a fairly cheap option compared to any oth…”
Insight
Chabran: Asset managers remaining largest shareholder eliminates incentive distortions
“And by remaining the largest shareholder here, we had created what I think is the perfect alignment of interest, where effectively not only you put your money where your mouth is, But you know that you do not create some kind of distortion of interest that som…”
Insight
Chabran: In European private markets, 'good deals have no wheels'
“We have a saying at TKO, we like to say, good deals have no wheels. And by the time the opportunity hits, you know, some investment banker's desk, you know, in London, a lot of smart people on the ground have seen the opportunity.”
Opinion
Mathieu Chabran: Generating Returns Was Rolling Double Sixes Last Decade
“We're just coming out a 10 years period where, no offense, but it was easy to generate some performance when you are throwing the dices and it's double six all the time.”
Assertion Not checkable as stated
Chabran: Small emerging funds cannot overcome traditional institutional consultant diligence
“When we started, you know, these four million euros were effectively an evergreen structure that we grew over time, you know, not only by the income that the deal we made and the successful deal, you know, we exited and contributed to the earning, but then we …”
Assertion Contradicted
Chabran: Tikehau Ranks Among Top Five Global Asset Managers by Equity Base
“If you were to look at the equity base, I'm not talking the market cap, right? I'm looking at the odd equity base that TKO is benefiting from. You'd be surprised to see that we rank within the top five of the global asset manager, albeit with a much smaller AU…”