Trading Skill Isn’t Enough to Run a Hedge Fund | Benn Eifert of QVR Advisors
Almost everyone who works in finance dreams of one day showcasing their trading or investing prowess by starting their own hedge fund, but being a good trader is only one line item in a long list of skills required to be a successful hedge fund manager. Benn Eifert, Managing Partner of QVR Advisors, who himself has built his firm into one that manages $2 billion in assets, discusses the important interpersonal skills, operational considerations, and marketing duties that also fall squarely on the shoulders of the founding portfolio manager. Eifert also touches on why pod shops have been so dominant in attracting both assets and talent, his outlook for single managers and the hedge fund industry, and the growth of listed fund products using options and other derivatives.
Follow Other People’s Money on:
Apple Podcast https://bit.ly/4e7QJ1M
Spotify https://bit.ly/3Yhaazi
YouTube https://bit.ly/3C63VXR
Follow Max Wiethe on Twitter: https://x.com/maxwiethe
Follow Benn Eifert on Twitter: https://x.com/bennpeifert
--------
49:11
Will the Risk On Party Continue? | Chris Carrano on The Quantitative Factors Driving Markets
There are always many narratives about what drives markets higher or lower but increasingly investors are turning to quantitative measures like style factors to decouple the signal from the noise and pinpoint what is actually behind major market moves. In this interview, Chris Carrano VP of Strategic Research at Venn by Two Sigma breaks down the orthogonal market factors that drove asset prices in 2024 and what is driving them so far in 2025. He also examines key moments like the post Trump rally in November, December’s equity market wobble post FOMC, and the recent reaction to cooling CPI data. Filmed on January 17, 2025.
Follow Monetary Matters on:
Apple Podcast https://rb.gy/s5qfyh
Spotify https://rb.gy/x56dx5
YouTube https://rb.gy/dpwxez
Follow Jack Farley on Twitter https://x.com/JackFarley96
Follow Venn by Two Sigma on Twitter https://x.com/VennTwoSigma
Read the Venn by Two Sigma Blog: https://www.venn.twosigma.com/insights
--------
1:19:40
Luke Gromen: Foreigners To Dump Bonds If U.S. Dollar Continues To Strengthen
Why Hedge Fund Managers Must Adapt or Die | Kyle Mowery on The Future of Small Cap Value
If you weren’t in large and often expensive technology stocks you likely struggled as a hedge fund manager in 2024. For small/mid-cap value investors like Kyle Mowery, Portfolio Manager and Founder of Grizzly Rock Capital, who’ve sold their investors a mandate that makes it nearly impossible to go buy the NVIDIAs of the world you can only fall back on communication and the clear expectations you’ve set with your investors. The problems plaguing small cap value managers are not new though, and if you are still practicing what Mowery calls “the old ways,” 2024 was likely not the first tough year you’ve had to explain. Here, Mowery explains how he’s adjusted his strategy over 13 years of existence to adapt to changing market structure, why he thinks of you have skills joining a pod is better than starting your own fund, and things he would do differently if he was setting up Grizzly Rock in 2025.
Follow Other People’s Money on:
Apple Podcast https://bit.ly/4e7QJ1M
Spotify https://bit.ly/3Yhaazi
YouTube https://bit.ly/3C63VXR
Follow Max Wiethe on Twitter: https://x.com/maxwiethe
Find more on Grizzly Rock Capital here: https://www.grizzlyrockcapital.com/
--------
52:35
How The Treasury Decides Where To Borrow | Steve Hou on Maturity Issuance Policies of U.S. Treasury and Equity Index Construction
Steve Hou, Researcher at Bloomberg Indices, joins Monetary Matters to share his work on Treasury Issuance patterns and equity index construction. Hou explains that “the supply effect” (i.e. the degree to which issuance of long-term bonds rises bond yields is related to stock/bond correlation). He shares several findings from his work on indices related to pricing power, research and development (R&D), and other factors, and at the end he offers his macro views on bond yields and the increasingly concentrated stock market. Recorded on January 7, 2025.
__
Follow Monetary Matters on:
Apple Podcast https://rb.gy/s5qfyh
Spotify https://rb.gy/x56dx5
YouTube https://rb.gy/dpwxez
__
Follow Jack Farley on Twitter https://x.com/JackFarley96
Follow Steve Hou on Twitter https://x.com/stevehouf
Follow Bloomberg on Twitter https://x.com/Bloomberg
Follow Bloomberg Terminal on Twitter https://x.com/TheTerminal
__
Chapter 1 of Steve’s dissertation (“When is the supply effect large in the government bond market?”): https://finance.unibocconi.eu/sites/default/files/files/media/attachments/SteveHou_JMP20180115111812.pdf
Steve’s work on the innovation factor (R&D): https://t.co/VSSpiUExWL
Steve’s work on pricing power: https://www.bloomberg.com/professional/insights/financial-services/cracking-the-code-of-pricing-power/
Work on Analyst ratings upgrades: https://www.bloomberg.com/professional/insights/trading/analyst-ratings-improvers-a-bet-on-turnaround-companies/
Jack Farley interviews the very best financial minds about macro, markets, and monetary matters. Follow Jack on Twitter @JackFarley96.
Listen to Monetary Matters with Jack Farley, The Diary Of A CEO with Steven Bartlett and many other podcasts from around the world with the radio.net app
UK