Archives

Reviewing the history of key parts of the investment ecosystem can provide context for the structures and practices of today. This posting looks at the emergence of the consulting industry by way of a central player in its development.

From private credit to information garbage, from personal trading to the factor zoo, and from confirmation bias to searching for someone to sit in a CIO hot seat. All of that and much more in this edition.

In the stylized model, both asset managers and allocators add value for the owner of an asset that chooses active management. To deliver on that possibility, those at each level need to differentiate themselves in the methods employed.

A couple of recent events get headline attention, but there also are items on due diligence, total shareholder returns, advisor-sold investments, big drawdowns in bonds, and a dozen other topics.

A five-part description of an investment strategy offers a self-examination process for asset managers — and a way for allocators to classify and evaluate them.

It’s a new day in the ecosystem. This issue covers changes on the site, plus AI everywhere, portfolio management in PE, ESG returns, the evolving world of ETFs, SEC examinations, diverse managers, hedge funds, a flashback to 2008 (and more).

Investment recommendations, even those presented with a high degree of confidence, can easily go wrong. What factors affect whether someone reverses their previous recommendation or sticks with it?

In addition to the headline topics, there are items on AI in asset management, investing as science/art/practice, a research tip, hedge funds, investment philosophy, annual letters, politics, changing factor results, and more.

Readings on opening up the due diligence process, finding alpha from asymmetry, market anniversaries, the R&D factor, five ways of thinking about China, a history of the VIX, narrow perspectives, and much more.

Across the history of the Central Intelligence Agency, there have been efforts to understand and take advantage of lessons learned in practice. Maintaining that commitment should be a goal for investment organizations too.

A thoughtful paper offers perspective on the changing nature of performance persistence in alternative investments and some recommendations for changing manager selection practices.

Quite a mix of topics in this edition: the Yale model, portfolio optimization, asset management success, machine learning attribution, investment conferences, correlations, and Santa (a little early).

Complexity is found across an organization, from investment strategies and vehicles to due diligence, communication, operations, technology, and regulatory considerations. There are ripple effects among them.

It may be the August lull, but peek inside for articles on Goldman Sachs, AI investing, ideas from “Twitter,” multi-manager hedge funds, private credit, moats, macro illusions, investment networks, how many managers you should have, and still more.

Among the many topics in this issue: the single decision facing asset managers (and how they should meet allocators), a short history of the bond market, partisan portfolios, private debt, target-date funds, and innovation opportunities.