Siloed investment committees risk paying fees for canceling overlapping long-short positions
Paula Volent · Paula Volent – Star Endowment Manager's Next Act at Rockefeller University (Capital Allocators, EP.219) · Oct 25, 2021 · at 37:15
Paula Volent explains why she avoids team silos at endowments, citing how separate committees can lead to offsetting positions.
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“When I first came to Bowdoin, they had asset class committees. So they had a hedge fund committee, a core equity, private equity. And it was interesting because there were overlaps, but they're also like on the long, short funnel. Say they're a short Tesla, whereas in the long fund, they're long Tesla. So you're paying all this money for things that are canceling each other out.”
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