Invest Like the Best with Patrick O'Shaughnessy

Latest Episodes:

Elizabeth Zalman & Jerry Neumann - Founder vs Investor - [Invest Like the Best, EP.351] Nov 07, 2023

Show notes

My guests this week are Elizabeth Zalman and Jerry Neumann. Jerry has been on this show two times before. He’s an early-stage Venture Capitalist, an adjunct professor of entrepreneurship, and an excellent writer. Liz is a two-time founder, most recently co-founding StrongDM, in which Jerry was a seed investor. Together, they have written a somewhat contentious book called "Founder vs Investor" that lays bare the relationship at the core of most new businesses. They take specific moments in a start-up’s life up to IPO and share their experiences on the friction that inevitably appears. In our conversation, we discuss the strong reaction to the book, the incentive problem at the root of the relationship, and explore best practices for other founders and VCs to follow. Please enjoy my conversation with Jerry Neumann and Liz Zalman.

Listen to Founders Podcast

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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This episode is brought to you by Tegus, the modern research platform for leading investors. Stretch your research budget with flexible expert calls you can trust. At a fraction of the cost of traditional expert networks, Tegus customers pay only what an expert charges – with zero markups and no confusing call credits – netting an average 70% savings. Don’t want to conduct a full hour call? Tegus offers the ability to schedule 30-minutes, an offer you won’t find anywhere else. And they don’t stop there. With white-glove custom sourcing for every project and robust compliance measures, including a dedicated 50+ analyst team that vets every call transcript, Tegus ensures your privacy and protection. As the industry innovator for qualitative insights, Tegus helps you find the right experts you need at a quality and speed that can’t be matched. For a limited time, as a listener, you can trial Tegus for free by visiting tegus.co/patrick.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here.

Show Notes:

(00:04:02) - (first question) - The controversy surrounding Founder vs Investor: The Honest Truth About Venture Capital from Startup to IPO

(00:07:53) - Considering the idea of firing founders

(00:10:44) - Navigating morally grey areas for founders and investors

(00:11:57) - Understanding the role of the board and their power

(00:15:05) - A PSA for founders

(00:17:48) - Identifying where incentives are most broken

(00:22:28) - Viewing founder friendliness as a temporary status

(00:25:41) - Offering good advice during the fundraising process

(00:32:41) - Ensuring delivery on promises as an investor

(00:37:04) - Strategies for a long-term relationship between a founder and investor

(00:41:44) - Structuring the ideal board meeting tactically

(00:48:13) - Determining which investing terms matter most

(00:51:18) - Managing the dynamic between a founder and an investor during company growth

(00:56:44) - Establishing a sustainable, differentiated position

(00:59:08) - Defining the distinction between a founder and an investor

(01:00:18) - Reflecting on lessons from exiting a business

(01:03:52) - Exploring the VC-to-VC relationship

(01:08:01) - Plans following their book release

(01:11:34) - The kindest thing anyone has ever done for Elizabeth

Palmer Luckey - Inventing the Future of Defense - [Invest Like the Best, EP.350] Oct 31, 2023

Show notes

My guest today is Palmer Luckey. Palmer is the founder of Defense company Anduril Industries, which makes next-generation military technology for the US and its allies. Since bringing the company to life in 2017, Palmer and Anduril have disrupted the established order in the Defense industry. Prior to Anduril, Palmer founded Oculus VR, a virtual reality business that he sold to Facebook for $2 billion.

Palmer is only in his early 30s, but he has already experienced more than most people will in a 40-year career. We talk about innovation, invention, differentiated thinking, and so much more. Please enjoy this great discussion with Palmer Luckey.

Listen to Patrick's Business Breakdown with Anduril CEO.

Listen to Founders Podcast

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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This episode is brought to you by Tegus. Tegus is the modern research platform for leading investors, and provider of Canalyst. Tired of calculating fully diluted shares outstanding? Access every publicly-reported data point and industry-specific KPI through their database of over 4,000 drivable global models hand-built by a team of sector-focused analysts, 35+ industry comp sheets, and Excel add-ins that let you use their industry-leading data in your own spreadsheets. Tegus’ models automatically update each quarter, including hard-to-calculate KPIs like stock-based compensation and organic growth rates, empowering investors to bypass the friction of sourcing, building, and updating models. Make efficiency your competitive advantage and take back your time today. As a listener, you can trial Canalyst by Tegus for free by visiting tegus.co/patrick.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes:

(00:03:28) - The importance of synthetic long-chain hydrocarbon fuel

(00:09:37) - Ranking America's potential for innovation

(00:12:43) - Why there aren't more Thiel Fellowships

(00:14:56) - The principles that motivate and drive him

(00:18:21) - What it has been like working in the world of defense after the attack on Israel

(00:20:34) - Surprising lessons learned when building a large company

(00:24:02) - How to approach a new field initially

(00:28:45) - Meeting other out-of-the-box thinkers

(00:33:11) - Inventors working backward from existing systems versus forward from their ideals

(00:34:51) - The most pressing issue in national security

(00:41:01) - What matters most for America from a defense perspective

(00:43:58) - How to determine which problems to prioritize

(00:50:24) - Lessons learned from working with AI

(00:57:21) - How Apple is shaping the future of VR

(01:01:36) - Which videogame a prospective employee should excel at

(01:04:06) - Why Oculus was so successful in marketing

(01:11:13) - The kindest thing anyone has ever done for Palmer

Aswath Damodaran - Making Sense of the Market Pt. 2 - [Invest Like the Best, EP.349] Oct 24, 2023

Show notes

Today’s guest is Aswath Damodaran, who is joining us for a second time on Invest Like the Best. Aswath is a Professor of Finance at NYU’s Stern School of Business and is often referred to as the Dean of Valuation for his clarity of thought on the subject. This conversation picks up where we left off 18 months ago and covers a wide range of topics from macro risks to Nvidia and the process of crafting a personal investment philosophy. Please enjoy this great discussion with Aswath Damodaran.

Listen to Founders Podcast

Episode #311 James Cameron

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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This episode is brought to you by Tegus Converge — the first virtual event centered on the world of investor research. When twin brothers Tom and Mike Elnick realized that the research process for investors was broken, they founded Tegus to fix it. Now the people behind the most trusted research platform are bringing institutional investors together to investigate the state — and the future — of fundamental research. On November 8th, join industry luminaries like IGSB Founder Reece Duca and Daniel Gross, AI Expert, Entrepreneur and Investor, to dig into the latest research trends and breakthrough technologies shaping the investment landscape. Register today at tegus.com/register.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes

(00:02:45) - (First question) - The general prevailing narrative in markets today

(00:05:00) - The biggest business implications given the current market landscape

(00:06:45) - Why it’s bad to have risky founders with cheap capital trying experiments

(00:08:53) - The natural rate of interest and how it’s priced

(00:09:55) - His updated view and thoughts on what’s currently driving inflation

(00:11:05) - What it’s felt like valuing companies given rates being where they are

(00:13:35) - Macro variables that most have his attention today

(00:18:45) - Whether or not international equities will become a place of interest

(00:21:53) - The unique absolute basis of NVIDIA’s growth

(00:23:25) - His take on the new wave of AI in a broad sense

(00:29:15) - Trying to value AI companies without tangible business models

(00:32:45) - The parts of his own valuation process that are beyond automation

(00:34:20) - Thoughts on a natural end state equilibrium for active management

(00:35:55) - Commonalities between investors who beat the benchmark

(00:38:35) - Episodes on his own path that lead him towards his investment philosophy

(00:42:05) - How he goes about valuing non-traditional companies like sports franchises

(00:46:45) - The world of entertainment and how he sees it as a business today

(00:53:45) - The best business models he’s ever seen

(00:55:40) - What valuing Instacart taught him about online grocery shopping

(00:58:55) - The most interesting company he valued over the last year

(01:03:25) - How bank failures changed his thinking on our financial systems and banks as businesses writ large

(01:06:15) - The changing attitude towards ESG investing

(01:11:11) - Why there are still so many pools of capital that pursue an active strategy

(01:11:06) - Being sick and tired of the conversation always revolving around central banks

(01:15:53) - What he’s most excited to look into over the coming year

(01:17:53) - Major differences between a financial and an accounting balance sheet

Patrick Collison & John Collison - A Business State of Mind - [Invest Like the Best, EP.348] Oct 17, 2023

Show notes

My guests this week are the co-founders of Stripe, Patrick and John Collison. My conversation with John in 2020 is still one of our most popular. A key theme that emerged from that first discussion was John’s boundless curiosity for all things business and this conversation continues that thread. We talk about setting a strategy and culture that attracts ambition, why the returns to sweating the details are high, and how they view Stripe’s progress against their mission to increase the GDP of the internet. Please enjoy this great and wide-ranging discussion with John and Patrick Collison.

Buy a ticket to Patrick and David Senra's live show this Thursday in NYC.

Listen to Founders Podcast

Founders Episode 311: James Cameron

Subscribe to Colossus's New Show: Art of Investing

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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This episode is brought to you by Tegus. Tegus is the modern research platform for leading investors, and provider of Canalyst. Tired of calculating fully-diluted shares outstanding? Access every publicly-reported datapoint and industry-specific KPI through their database of over 4,000 drivable global models hand-built by a team of sector-focused analysts, 35+ industry comp sheets, and Excel add-ins that let you use their industry-leading data in your own spreadsheets. Tegus’ models automatically update each quarter, including hard to calculate KPIs like stock-based compensation and organic growth rates, empowering investors to bypass the friction of sourcing, building and updating models. Make efficiency your competitive advantage and take back your time today. As a listener, you can trial Canalyst by Tegus for free by visiting tegus.co/patrick.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes

(00:03:16) - (First question) - Stripe's curiosity-driven growth fuels enduring success and expansion

(00:08:34) - Why companies should resonate with founders' ideas but also have strong enduring cultures

(00:012:27) - Stripe aims to reduce friction and expand global commerce by solving practical barriers

(00:25:59) - Simplifying processes for startups and large companies to drive growth efficiently

(00:29:11) - Analyzing the enduring stories of ancient companies

(00:35:44) - Success in Hollywood and academia depends on unmeasurable vision and knowledge

(00:40:11) - Stripe's ubiquity, self-serve nature, and collective care drive its unique status

(00:43:16) - Success in tech is grounded in user-centricity, care, and connecting with customers

(00:48:17) - Parental influence on becoming entrepreneurs is complex

(00:50:21) - Adult perspective on parents, admiration for their work, and ongoing philanthropy

(00:52:30) - Stripe's challenges include complexity due to diverse payment methods and global programmable accessibility

(00:57:27) - Aiming for long-term durability, Stripe prioritizes beauty and craftsmanship in its pursuit

(01:02:50) - The most memorable conversation they had between them

(01:05:30) - Why the launch of Atlas was a defining moment in Stripe’s history

(01:06:35) - How their 25-year-old selves would react to what they are doing now

(01:10:19) - The various ways in which they feel proud of each other

(01:14:35) - The kindest thing anyone has ever done for them

Strauss Zelnick - Playing to Your Strengths - [Invest Like the Best, EP.347] Oct 10, 2023

Show notes

My guest this week is Strauss Zelnick, the CEO of leading game publisher Take-Two Interactive. Maybe most well-known for its hugely successful Grand Theft Auto game, Take-Two is a sophisticated, top-tier developer, publisher, and marketer of interactive entertainment that owns Rockstar Games and 2K. Strauss’s passion for entertainment led him strong and fast into the industry as he worked his way from sales to CEO and transitioned from motion picture to gaming.

Today we cover his approach to staying on the cutting edge of media development, unlocking talent and potential in those around you, and becoming the leader you were meant to be. His intensity and his standard for excellence come through clearly. Please enjoy my conversation with Strauss Zelnick.

Subscribe to Colossus's New Show: Art of Investing

Buy a ticket to Patrick and David Senra's live show.

Listen toFounders Podcast

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes

(00:03:39) - (First question) - Why the entertainment media sector is so interesting

(00:05:08) - Key inflection points in the history of media

(00:09:17) - The role of pure content in businesses today

(00:10:32) - Requirements for being a successful media business operator

(00:12:03) - Strategies for working effectively with creatives

(00:16:13) - How to cultivate a conducive environment for creatives

(00:25:54) - The allure of collaborating with Take-Two

(00:30:09) - Strauss’ journey to becoming the chairman and CEO of Take-Two

(00:37:42) - Strategies for reducing costs in business

(00:41:16) - Embracing diversity in the video game industry

(00:43:41) - Identifying high-quality intellectual property (IP)

(00:46:04) - The inspiration behind Strauss’ book Becoming Ageless: The Four Secrets To Looking and Feeling Younger Than Ever

(00:51:12) - Influential leaders for learning and growth

(00:55:45) - The impact of technology and the rise of new platforms

(00:57:00) - Common misconceptions about Take-Two

(00:59:42) - Unique attributes of Take-Two projects

(01:00:36) - Defining moments in the history of the business

(01:04:19) - Anticipating the future direction of Take-Two

(01:13:41) - Sources of motivation and inspiration

(01:15:29) - The concept and value of a masterpiece

(01:11:08) - Paramount values as a parent

(01:11:38) - The kindest thing anyone has ever done for Strauss

Rick Buhrman & Paul Buser - Find Your X, Nurture Your N - [Invest Like the Best, EP.346] Oct 03, 2023

Show notes

My guests this week are Rick Buhrman and Paul Buser. Rick and Paul spent over a decade managing the public equity portfolio at Notre Dame’s Endowment before leaving in 2020 to set up a permanent capital vehicle called Sator Grove. As you’ll hear in this conversation, they know, have studied, or have invested with most of the world’s best capital allocators.

A few years ago, they also set up a class at Notre Dame for 40 of the college’s brightest students, called Art of Investing. The class is devoted to exploring the joys of compounding and each week, they bring in a world class investor or operator to share in detail how they’ve built their lives, portfolios, and businesses around the principles of compounding.

Starting next week, it will be available as a Colossus Podcast so that you too will be able to join their class and learn from the likes of Todd Combs, Andre Perold, Ho Nam and others. I’d encourage you to search Art of Investing in your podcast player and subscribe so you don’t miss the first episode. Now onto my discussion with Rick and Paul.

Art of Investing: Trailer

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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This episode is brought to you by Tegus. Tegus, the modern research platform for leading investors. Tired of running your own expert calls to get up to speed on a company? Tegus lets you ramp faster and find answers to critical questions more efficiently than any alternative method. The gold standard for research, the Tegus platform delivers unmatched access to timely, qualitative insights through the largest and most differentiated expert call transcript database. With over 60,000 transcripts spanning 22,000 public and private companies, investors can accelerate their fundamental research process by discovering highly-differentiated and reliable insights that can’t be found anywhere else in the market. As a listener, drive your next investment thesis forward with Tegus for free at tegus.co/patrick.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Show Notes

(00:02:30) - (First question) - Shifting from Notre Dame to Sator Grove

(00:06:20) - An overview of Sator Grove

(00:11:39) - Launching in April 2021, they manage $300M for diverse, flexible investments

(00:15:47) - Investing in meaningful projects with trust, long-term focus, and high potential

(00:25:30) - How Mitch Rales embodies insatiable curiosity and lifelong learning

(00:39:33) - Embracing change, adapting, and experimenting for success

(00:41:49) - How investors learn from failed companies

(00:51:59) - Investment success hinges on talent's judgment, character, adaptability, and trust

(00:56:53) - What they found concerning in firms and teams when assessing managers

(01:02:16) - Analyzing asset allocation challenges

(01:07:39) - Fostering disciplined habits for growth

(01:13:06) - The importance of nurturing compounding

(01:21:21) - Creating meaningful connections and providing lifelong lessons

(01:26:58) - Wisdom from their mentors and its impact on their investing philosophy

(01:43:49) - Defining the good life: Quality projects, quality people, and meaningful integration

(01:45:29) - The defining moments of their investing careers so far

(01:47:59) - The kindest thing anyone has ever done for Rick and Paul

Jack Altman & Miles Grimshaw - Building and Investing in Lattice - [Invest Like the Best, EP.345] Sep 26, 2023

Show notes

My guests today are Jack Altman and Miles Grimshaw. Jack is the co-founder and CEO of Lattice, an HR software platform. Miles is a General Partner at Benchmark, an early investor and Board Director at Lattice, as well as a former guest on Invest Like the Best. Jack started Lattice in 2015 and has scaled it into a multi-billion-dollar business that already serves over 5,000 organizations. In our discussion, we look at all aspects of building and scaling a software product from both an investor and operator’s perspective, which made this particularly fun to do. Please enjoy my conversation with Jack Altman and Miles Grimshaw.

Listen to Founders Podcast

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes

(00:02:55) - (First question) - How Jack & Miles met at Y Combinator in 2015

(00:04:22) - Lattice found a niche in mid-market HR software

(00:07:55) - Discovering Lattice's true market need

(00:11:14) - Fear of stalling drove the need for business growth beyond initial product

(00:12:06) - Deciding on multi-product focus over up-market expansion

(00:17:01) - Prioritizing quality of usage over frequency for customer health scores

(00:20:06) - Balancing customer health scores and actual needs

(00:24:31) - Prioritized community by spotlighting HR voices

(00:28:20) - Building community helps companies sell a vision or lifestyle

(00:31:05) - Cultivating broad awareness instead of hard-selling

(00:35:33) - Overcoming the culture of 'perfection’

(00:37:22) - Flywheel effect makes suites efficient: lower go-to-market costs, more focus on product

(00:41:06) - The challenges of juggling current needs and future demands

(00:46:27) - Navigating disagreements and trust-building within a company

(00:50:36) - Investors' roles extend beyond founders, focusing on their own goals and interests

(00:51:52) - How transparency eases the founder-investor dance

(00:55:16) - The changing employer-employee relationship

(00:58:37) - Navigating growth from startup to public equity

(01:05:43) - Lattice's ultimate aspiration

(01:07:42) - Evaluating founders' authenticity

(01:11:18) - What Jack & Miles are most embarrassed about, the most proud of, and the most excited for

(01:14:30) - The kindest thing anyone has ever done for Jack and Miles

Michael Simanovsky - A Platform Approach to Real Estate - [Invest Like the Best, EP.344] Sep 19, 2023

Show notes

My guest today is Michael Simanovsky. Mike is the Managing Partner of Conversant Capital, a real estate investment firm he founded in early 2020. Conversant aims to be the most flexible capital provider in real estate, investing across public and private markets as well as equities and credit. The firm will also incubate platforms where they see an opportunity to take advantage of a compelling theme that lacks existing business models for investment. We cover the most undersupplied part of the market, why he’s building Conversant to be so flexible, and the surprising appeal of billboards. Please enjoy my conversation with Mike Simanovsky.

Listen to Founders Podcast

Join Colossus live in NYC with Patrick O’Shaughnessy and David Senra on Oct. 19.

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes

(00:03:32) (First question) - Real estate investing through the lens of the capital cycle

(00:06:50) - The capital cycle in practice

(00:12:07) - Using evaluation of supply to determine where you are in a capital cycle

(00:13:16) - Why real estate drew Mike in

(00:15:35) - The quality of investors in real estate

(00:16:41) - What the US market needs most

(00:20:26) - The range of returns in real estate

(00:23:01) - Insights that stand out

(00:26:45) - Starting a new company vs. building a portfolio of assets

(00:28:46) - Key trade-offs and choices when building a firm

(00:31:10) - Where things go wrong

(00:33:59) - Best investment decision he ever made

(00:38:06) - Philosophy on CapEx

(00:39:52) - Misconceptions about real estate investing

(00:41:31) - Cold storage real estate

(00:43:13) - The most interesting corners of the real estate market

(00:46:13) - AI and its impact on the future

(00:48:30) - Common investor missteps

(00:50:51) - Three guests Mike would invite to a dinner party

(00:52:34) - The most impactful questions to ask a real estate investor

(00:53:17) - A defining moment of his career

(00:53:17) - The premise of the platform approach

(00:56:20) - Possible opportunities and an understanding of the current landscape

(01:03:38) - Lessons Mike learned from basketball coach John Wooden’s philosophies

(01:04:30) - The kindest thing anyone has ever done for him

David Senra - In Service of Founders - [Invest Like the Best, EP.343] Sep 12, 2023

Show notes

My guest today is David Senra, the creator and host of Founders Podcast. With an incredible appetite for biographies, David has delved into the lives of over three hundred entrepreneurs, extracting invaluable wisdom that he shares with his audience each week. Throughout the conversation, we discuss David’s love of podcasts, and what can be gained from studying the lives of not just entrepreneurs, but of athletes and film directors alike. I hope you enjoy this conversation with David Senra.

Listen toFounders Podcast

Join Colossus live in NYC with Patrick O’Shaughnessy and David Senra on Oct. 19.

Our first interview with David, Episode 292: Passion & Pain

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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This episode is brought to you by Tegus. Tegus is the modern research platform for leading investors. Tired of running your own expert calls to get up to speed on a company? Tegus lets you ramp faster and find answers to critical questions more efficiently than any alternative method. The gold standard for research, the Tegus platform delivers unmatched access to timely, qualitative insights through the largest and most differentiated expert call transcript database. With over 60,000 transcripts spanning 22,000 public and private companies, investors can accelerate their fundamental research process by discovering highly differentiated and reliable insights that can’t be found anywhere else in the market. As a listener, drive your next investment thesis forward with Tegus for free at tegus.co/patrick.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more.

Show Notes

(00:02:43) - (First question) - David's journey so far

(00:05:13) - Why there are no negative surprises linked to his work

(00:07:13) - Being bullish on podcasts

(00:13:27) - The importance of storytelling to the entrepreneurial journey

(00:17:43) - The impulse of entrepreneurs who are world-builders

(00:23:03) - The universal trait of successful entrepreneurs

(00:27:43) - What David has learned from filmmakers

(00:31:23) - The dark side of the Type-A personality

(00:35:13) - What he has learned from athletes

(00:42:27) - The effects of early childhood on success

(00:43:48) - Insights gained from conquerors

(00:49:33) - Ranking the importance he places on power, wealth, and fame

(00:56:13) - The possibility of episodes on spiritual figures

(01:02:17) - How Henry Ford created something bigger than himself

(01:05:43) - His thoughts on ‘high agency’ people

(01:11:57) - Why David is not afraid to talk about anything publicly

(01:16:27) - His favorite line from Game of Thrones

Will England - A Primer on Multi-Strategy Hedge Funds - [Invest Like the Best, EP.342] Sep 05, 2023

Show notes

My guest today is Will England, the CEO and Co-CIO of Walleye Capital. Walleye is a multi-strategy hedge fund headquartered in Minnesota that manages around $5 billion. Our conversation is a primer on multi-strategy hedge funds, which have become a force in markets through the success of firms like Millenium, Citadel, Point72, and Balyasny. We discuss the operational complexity behind the model, which managers best fit this type of investment style, and what happens in stress events like the Gamestop short squeeze in early 2021. We also talk about performance culture, the All Blacks, and Will’s experience as a US National Team rower. Please enjoy my conversation with Will England.

Listen toFounders Podcast

Founders Episode 311: James Cameron

For the full show notes, transcript, and links to mentioned content, check out the episode page here.

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Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.

Show Notes

(00:03:22) - (First question) - His fascination with Robber Barons

(00:04:49) - He explains the style of investing he has built at Walleye Capital

(00:08:51) - The importance of scale and what it means for firms like this

(00:13:01) - A breakdown of the component parts of a 15% return structure

(00:16:56) - His advice to new portfolio managers trying to succeed with long/short investments

(00:21:23) - His reaction to an efficient market hypothesis

(00:27:33) - He tells us what happens above the individual manager level

(00:29:42) - The universe of talented people behind the business

(00:35:26) - The backstory of Walleye Capital and why he chose Minnesota

(00:42:37) - He discusses the felt experience of being at Walleye versus other firms

(00:47:25) - Whether he identifies more as an entrepreneur systems builder or as an investor

(00:50:04) - What he says about the half life of successful quantitative strategies

(00:54:03) - A breakdown of style allocations and the percentage of managers within each

(00:56:30) - How he determines how much leverage to use and how to be great at applying it

(00:59:59) - How the firm handles tough investment periods

(01:02:34) - How he knew Citadel wasn’t taking down gross during the GameStop short

(01:03:51) - What he looks for when hiring a portfolio manager

(01:06:37) - His philosophy on performance and how he blends that into his firms culture

(01:09:21) - Inspiration he’s taken from the All Blacks team

(01:11:25) - Addition aspects of the firm he believes are important

(01:13:46) - Historical finance pioneers that inspire him

(01:16:07) - The kindest thing anyone has ever done for him

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