Gavin Baker is the Managing Partner and Chief Investment Officer of Atreides Management, which oversees $7 billion across public, private, and crossover strategies focused on technology and the consumer.

Gavin's deep knowledge of semiconductors and AI may be second to none, but our conversation barely touches the space. We begin with Gavin's upbringing, intellectual curiosity, and path to investing, before turning to the beliefs that shape his approach. We explore his view that investing is a search for truth best pursued through debate, intellectual honesty, and a willingness to be wrong, and why people, culture, execution, and risk management matter more than investment process in driving long-term performance.

We then turn to the application of those beliefs at Atreides, where Gavin emphasizes the importance of deep fundamental understanding, hypothesis-driven research, and culture that rewards constructive disagreement. We discuss how crossover investing can create informational and behavioral advantages - particularly in AI - and how portfolio construction in both hedge funds and venture capital can narrow the gap between insight and performance.

As a disclaimer, I am both an LP and an advisor to Atreides, so I'm a little biased in my suspicion that you will really enjoy this conversation with Gavin Baker.

Learn more about our Strategic Investments: Thema.

Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

All opinions expressed by Ted and podcast guests are solely their own opinions and do not reflect the opinion of Capital Allocators or their firms. This podcast is for informational purposes only and should not be relied upon as a basis for investment decisions. It should not be construed as investment advice or a solicitation, recommendation, endorsement, or offering of any kind. Clients of Capital Allocators or podcast guests may maintain positions and securities discussed on this podcast. The statements and opinions contained herein may change at any time, based on market or other conditions.

Today's show dives into the state of the venture capital from the LP perspective. Sean Warrington is a Partner on the Private Investments team at Gresham Partners, a $13 billion multifamily office, and Ed Grefenstette is the CEO and CIO of The Dietrich Foundation, a $1.6 billion foundation with an unusually large allocation to private markets and venture capital. Ed was a past guest on the show and that conversation is replayed in the feed. Our conversation covers the changing landscape of venture capital, including pricing distortions, power law winners, liquidity issues, GP behavior, and scaled platforms. Throughout the insightful conversation, Ed and Sean share LP strategies to capture opportunities and navigate risks across stages, sectors –mostly AI – and geographies.

Learn more about our Strategic Investments: Old Well Labs.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

Ed Grefenstette is the CIO of The Dietrich Foundation, which supports charitable organizations in Western Pennsylvania through a truly unique investment strategy that seeks to first, last, and always grow the assets. Bill Dietrich, a successful industrialist, published historian, international investor, and innovative philanthropist, formed the foundation after selling his business for $170 million in 1997. Since then, the pool has grown 11.5x to $1.5 billion after distributing $400 million to supported charities, including contributions that make it among the largest donors every year to Carnegie Mellon University and the University of Pittsburgh. Over the last twenty years, the Dietrich Foundation's performance sits at the very top of all endowments and foundations.

Our conversation covers Ed's journey to investing and mentorship by Bill Dietrich, which led to him taking the helm at the Foundation in 2007. We discuss the Foundation's bold approach to illiquid investments, with 90% of assets invested in venture capital and private equity, its governance structure, and its thematic focus on innovation and emerging markets. Along the way, Ed shares insights into managing liquidity, constructing the portfolio, selecting managers, and navigating geopolitical risk to maintain conviction in an uncomfortably different strategy.

Ed's approach and results will open your aperture to what's possible in an institutional portfolio with the right goals, structure, and governance in place.

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Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)

Bobby Jain is the CEO and CIO of Jain Global, a global multi-strategy hedge fund he launched last year that manages about $6 billion with over 350 employees. Bobby's storied Wall Street career includes spending seven years as the Co-CIO of Millenium and twenty at Credit Suisse in a range of leadership roles spanning proprietary trading, derivatives, and asset management.

Our conversation traces Bobby's path from growing up as the son of immigrants in Queens to the trading floors of O'Connor and Credit Suisse, all of which shaped his thoughtful, framework-driven perspectives on markets. We explore the evolution of prop trading and the migration of risk taking from banks to hedge funds, proprietary trading firms, and private credit.

We then discuss Bobby's ambitious launch, including the principles guiding its design, scale and diversification out of the gate, talent strategy, risk management, portfolio construction, and the many tradeoffs that create the different cultures and complexions of multi-manager hedge funds. We close with Bobby's application of financial innovation to helping others.

Learn more about our Strategic Investments: Ascension.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

In a world dominated by short-termism, does it seem odd that private equity holding periods are getting longer? Private equity professionals don't have different genes than other investors. They face a structural problem: too many portfolio companies cannot find a buyer. Private equity-owned businesses continue to grow in number and size, but demand from IPOs and strategics has not – and likely will not – keep up. This means that more companies will have to remain within the private equity ecosystem. The end of the private equity bottleneck is not in sight. Instead, the industry may be heading toward structural change. In this WTT – Can Private Markets Normalize, I pose the question of whether private equity will ever be able recycle capital fast enough to support successive fundraises without strain. The answer, I'm afraid, is no.

Read Ted's blog here.

Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

Stephen Gilmore is the Chief Investment Officer of CalPERS, which at $600 billion is the largest public pension fund in the U.S. and one of the largest institutional pools of capital in the world. Stephen joined CalPERS eighteen months ago from a career spanning Wall Street, the IMF, and two of the most innovative sovereign wealth funds, where he was Chief Investment Strategist at Australia Future Fund and CIO at New Zealand Super Fund.

Our conversation dives into the theory and implementation of the Total Portfolio Approach, drawing on Stephen's experience at Australia and New Zealand, and his plans for CalPERS. We cover the TPA mindset, its fostering of sound governance and accountability, comparisons to Strategic Asset Allocation, challenges of implementation, and the adaptation of the model at CalPERS.

Stephen is one of the most experienced practitioners of TPA in the world. Our discussion pairs well with my recent conversation with Ashby Monk, as more allocators learn and consider this approach to managing assets.

Learn more about our Strategic Investments: Thema.

Our Valentine's Day gift to you: 50% off your first year of a Capital Allocators Premium subscription. Use code WELOVECA50 at checkout.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

Matt Whineray is the CEO of New Zealand Superannuation Fund or Super Fund, one of the highest performing, most innovative and well-regarded large-scale investment allocators in the world. The New Zealand government created the Super Fund in 2001 to help defray the costs of retirees in the country in the decades to come. Matt joined the organization in 2008 and became the CEO in 2018 and oversees NZ$42 billion.

Our conversation starts with Matt's background and the creation and objectives of the Super Fund. We then walk through the Super Fund's investment philosophy, which is guided by four competitive advantages or endowments and nine investment beliefs. From there, we dive into the implementation of the strategy, covering the risk allocation process, reference portfolio or benchmark of liquid assets, long-term risk budget and medium-term tactical targets across five risk baskets. We discuss the difference between these risk allocations and a traditional asset class structure, hybrid structure employing internal and external managers, internal strategic tilting program, structure of the team, current perspectives on asset classes, ESG, scaling activities to support upcoming inflows, and culture.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

Raff Arndt is the Chief Investment Officer of Australia's AUZ$145 billion Sovereign Wealth Fund, the Future Fund. He trained as an engineer and dove into infrastructure policy at the beginning of Australia's privatizations in the late 1990s. After investing in the space for six year, he joined the Future Fund in 2008 to head the infrastructure team. Six years later, Raff became CIO.

Our conversation spans all aspects of the management of a next generation institutional portfolio, including a one team, one portfolio philosophy, disaggregating beta and factors from skill in public markets, separating the impact of leverage and timing from skill in private markets, venture capital and co-investment opportunities in a large pool of capital, the option value of flexibility, the team required to make decisions in this format, compensation, fees, views on China, and the current market environment.

Australia created the Future Fund only eleven years ago with a mandate to compound capital for 20 years before even contemplating withdrawals. It has been described to me as a pool of capital with the size and transparency of CalPERS and the sophistication of Yale. I'm sure you'll soon understand why.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

Brendan O'Connor is the CEO of Regal Partners, a premier alternatives manager in Australia with A$21B of funds under management across hedge funds, credit and royalties, real and natural assets, and growth equities. Brendan joined the firm in 2016 and has helped lead its expansion from a $1B long short specialist to a publicly listed, multi-strategy alternatives firm today.

Our conversation traces Regal's evolution from its origins as a founder-led hedge fund into an integrated multi-strategy platform. We discuss the unique economic and structural dynamics of the Australian market, and how Regal leverages its deep sector and cross asset expertise to hunt for alpha. We cover Regal's 4 step investment analysis and risk process, the integration of investment teams, and perspectives on the exciting future of Australian markets.

For more information, please visit https://www.regalpartners.com/ or [email protected]

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

Jonathan Lewinsohn is the co-Managing Partner of Diameter Capital Partners, a credit-focused investment firm he founded with Scott Goodwin in 2017 that manages $25 billion across hedge fund, dislocation, CLO, and direct lending strategies. Jonathan last appeared on the show five years ago interviewed by Kristen VanGelder from Evanston Capital, and that conversation is replayed in the feed.

Our conversation offers a comprehensive credit market update, including Jonathan's take on the business of credit investing, private credit, industry microcycles in AI, housing, telecom, chemicals, and healthcare, competition among creditors, the insurance-driven investment grade market, and the importance of macro awareness in credit investing.

Jonathan's blend of investment insights and market opportunities is a real treat, and comes on the occasion of a likely public listing of a Diameter BDC.

Learn more about our Strategic Investments: Ascension Data.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)

On today's manager meeting, Kristen VanGelder speaks with Jonathan Lewinsohn. Kristen is Deputy Chief Investment Officer at Evanston Capital, a $4 billion hedge fund of funds whose CEO and CIO, Adam Blitz, was a past guest on the show. She's spent the last eighteen years at Evanston alongside Adam and the team. Jonathan co-founded Diameter Capital four years ago alongside Scott Goodwin and today manages a $6 billion credit-focused hedge fund alongside $1 billion in CDOs and a $1 billion drawdown fund. The two were colleagues at Anchorage Capital, and Jonathan spent some time at Centerbridge Capital as well before starting Diameter.

Their conversation includes insights into the credit markets, Diameter's approach, and how it all comes together. Before we dive in, Kristen and I discuss how Evanston came to back Diameter on day one and how it fits into their portfolio.

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Editing and post-production work for this episode was provided by The Podcast Consultant (⁠https://thepodcastconsultant.com⁠)