Pre-Fund Niche Strategies With Nickels To Deploy Dollars Rapidly During Dislocations
Charles Van Vleet · Charles Van Vleet – Thinking Differently with Pensions at Textron (Capital Allocators, EP. 283) · Nov 28, 2022 · at 39:26
Charles Van Vleet, CIO of Textron, explains his method of incubating small positions across niche strategies like BDCs and fallen angels to exploit short-lived opportunities.
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“I just will have a lot of niche strategies that I leave a nickel in so I can push in a dollar later. So for example, I keep a nickel in Fallen Angels. I keep a nickel in these closed-in funds. I keep a nickel in BDCs because when you get a banana peel moment, you just can't move fast enough to get the legal docs and get the IMA and get the signatures and get the bank account set up and Some of these things, you only have a two week window. So you need to keep incubating these small things along with liquidity ready for those moments.”
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