"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Mills, 1867
CEO of Apollo, Marc Rowan, is one of the shrewdest investors out there. In Sept/Oct, his firm was on the other side of 1/3 of the liquidity supply that stemmed from LDI-related forced selling.
Here's what he had to say on his firm's earnings call today 👇
Bank analysts should really take a look at Maker DAO if they get a chance. It's a new, decentralised bank which already has $4.5bn assets on its balance sheet and makes >$100m a year.
After 15 years as a public company, Sculptor Capital Mgmt (formerly Och-Ziff)—one of the only listed hedge funds—finally called time. The experiment failed. The stock came to the market at $320 and goes out at $11. Along the way, employees took out $4.3bn of comp.
"Investors have now discovered that everything is correlated to the Fed. And they are also discovering that most, if not all, of last decade's investment acumen was really nothing other than market beta and in some cases, nothing other than levered market beta."
In 1969, Warren Buffett was top of the world. He’d grown a fund from $105k to $105m over 12 years, returning 31.6% pa without a single down year.
And then he wound it all up.
“The only way to slow down is to stop,” he explained. But he didn’t stop. So what happened? 👇
