YouSaid · the spoken record

Kip McDaniel

lines on the record: 107
first: 2017-08-07
most recent: 2017-08-07
sittings or episodes: 1
sources: podcast

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“Even with the factor movement, I sat back with a friend of mine no more than a year ago. And said, okay, what's going on with it? What does this factor stuff? And they started describing it. And I said, wait a minute. In the early 90s, Yale's U.S. equity portfolio and international equity portfolio long only were by choice biased toward small cap and value. Is that what you mean by factors? They're like, oh, yeah.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“The size, you don't have the track record where managers want to work with you, and it's not him being utisical, it's him being factual. Asset managers would love seed capital for meal and were willing to give up a lot to get it because of what it tells the market for the next fund.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Is a different question. And David Spenson would say the same thing. He's often said, you guys think you're doing what we're doing and you're not. And you know more about this than me, but his argument is don't try and do what I do because you don't have”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“No, the factor thing is obviously big right now. I'm a big cynic, so I'm always wondering, is that being overplayed? Is this just the next silver bullet that's going to get people, and I put silver bullet in air quotes, that's going to get people through the next three or four years until the next idea comes around? I'm not a great judge of whether it makes sense or not. It intellectually makes sense to me, but we need to wait a while to see if it actually works. And, you know, you can't eat factors. Eventually, you need to get the returns to pay the bills. And so I'm eagerly awaiting a time when we can be certain that this works for allocators and not just on a leading edge. The first people doing something are often going to have a good experience or maybe a bad experience too. But whether it can work for a few institutions versus all institutions.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“And how about different models of asset allocation? So you have this sort of Yale model is one example, asset classes. People think of it as less liquid. That's a whole separate debate. You have now the factor premium models, Jim Dunn's model at Verger is more about factors than specifically assets. Are there other frameworks that you've seen that you think make a lot of sense that might be less well known?”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“About I set up arrangement where they have to work for me because I'm going to give them so much money, which I have a lot of, that they have to give me their best ideas. You know, it's called a strategic partnership. Brit says, I'm going to have a TRS employee within their walls of their business, and we're going to have an Apollo employee in our offices every day. And so that's them using, that's Britt in this example, using their innate advantages of $100 plus billion dollar fund to get the most out of the asset managers. The opposite of that obviously is not everyone can do that, but the opposite is some small team with like three people on it just willing to pay two and twenty for everything. I think that's going the way of the dodo. It's what is it, 1.5 and 18 now, but nothing says it's going to rebound to where it was in average. There's always funds that are going to be able to charge what they feel like because they're really good at this game. But being long-term”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“From an industry-wide, going back to what makes a great CIO, in my view, it totally kills collaboration. If you think you found the great manager in shipping and you don't want university X down the road to get it, you're never going to collaborate with them on anything, right? So the long-termism thing clearly important to being a good investor, but I'm not sure the industry always lives up to that standard. The other ones always have to separate what's pressworthy and what's good, but I think of the things that always impress me is someone using their advantages, you know, their innate advantages to their advantage. Going back to Brid Harris, again, he's a very well-respected CIO who deserves the praise. He may be not pioneered, but really accelerated the use of strategic partnerships. Britt knows as the head of Texas teachers until a month ago, I got more money than God, and I got the smartest guys sitting in Apollo and KKR's office in New York.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“It does, you know, it didn't went back when I worked at Yale Because to exactly what you said, right? The goals of that pool of capital is to generate a certain return stream to support the spending for the institution. And you could make the case that it could be a positive sum game that if Yale and Harvard are both doing well, then there's more people who can be educated, there's more financial aid, whatever the case may be. But somewhere along the way. You bring benchmarking in. And I know I've heard about behavior where the head of a University of Endowment will go to a money manager who they like and tell them I'll invest so long as you don't bring in as investors this, this peer, this peer, and that peer of mine just because they think they're right about that. They personally.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“College, right? Exactly. But then you'll have a situation where you still produced six percent returns, but your peer set produced eight percent returns. Their comp, individual comp is actually tied to peer performance, which is not at all what it should be like because, you know, you can make the case that if you're always outperforming like a Yale, your alumni are more likely to give their money because they want David Swanson managing it. There's an argument to be made there. But again, if your people are being compensated on short-term targets relative to peers instead of long-term targets relative to the needs of the underlying institution, There's not really an argument that can make that okay, but it persists to this day”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, my understanding is basically every year all the universities who want to participate, their endowments submit their returns as a benchmarking tool. I don't know what they get in return, but they get something. And so you have the average return is three percent, and then there'll be some tiny college who had a horribly underversified portfolio who is way up there in the New York Times, right? It's a profile about, you know, Grenel.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“And I've been writing, I looked back before this. I think I wrote on this in 2012 because Jim Dunn at Wake Forest said you should write on this, is like the Nukubo rankings. That's hugely inskews the incentives. And for some of the IV”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“I had Mariotherion on CDP. And that their compensation setup is, no, you're not going to maximize your short-term comp in any year, but if your long term and you stay around, you can get paid very nicely for a long time.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“There's a number of things. I would say I would almost coach them a lot of time as critiques. We all know that one of the major advantages is being long-term. That is, in some cases, the only advantage an institutional investor has. So the best ones focus on that. You know, Britt Harris has always said that's his key advantage. I'm a long-term investor. I can weight you out. The sad fact is a lot of allocators say that, but don't mean it. They say that, but their staff compensation is all short term. You can't actually be a long-term investor if every single person making a decision is compensated on a 12-month cycle. And so the best investors, I think, of New Zealand super is really trying to change that equation, figure out a way they're never going to be able to compensate their staff on a 30-year horizon, but can they compensate them on a three or four or five-year horizon?”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“I want to predicate by this by saying I actually don't even do much investing in my own portfolio out of fear that I don't know nearly as much as the people who can do it.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“All right, let's turn a little bit to sort of what you learned on investing and to start with, I think we can walk through this kind of often the same way I do with CIOs, which is what have you learned about the philosophy that CIOs bring to the table and how they think about managing a big pool of assets?”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Back, it was a huge learning experience in the sense that you just have, you know, every editor of Note has had this happen to them. Time Inc. is being sued every single day by someone, but it takes a lot of your mental energy. It helps when you have bosses who stand behind you, a lot of good media bosses do that. But it made us everything. Just make sure the lawyers see it before it goes. Because if they had sued, we would have won. We would have had to spend another million bucks and they could have easily shut down the magazine just to not incur those costs. And so everything that my team and I had worked for and Charlie Ruffle had worked for could have been destroyed by a bully. So I'm in retrospect a number of years later, I'm glad I went through it. I hope not to go through it again.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“I was the editor of the story, and we wrote something about this firm that I know to this day to be true. That article was vetted by lawyers every line, and we stand by it, but that person, because the accusations were so serious, within twenty minutes of clicking publish online, I had a call from a lawyer. And I said, you call my lawyer. And then it got to the point where we from the day one, my CEO stood behind me and said, is this true? It's true. But we spent a couple hundred grand on lawyers, and they eventually never sued us, but I still have a coffee of the hundred million dollars draft lawsuit they were going to send, which was full of silliness, but they were trying to bully a small media brand into taking down an article that they didn't like.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“I gotta be careful on this one. Use your words carefully. We can No, I was threatened with a $100 million lawsuit. They never filed it. And in my view, it was a bullying tactic. We wrote something about an asset manager.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“For me, the conversations that are the most fun are actually the investing conversations. One of the only things I've learned about investing is that there are people a lot better than me at it, and I shouldn't be doing it myself. So my friends think of me as running a big investing magazine, and they're always asking me, like, what should I do? I said, get a financial advisor. But, you know, talking, the CIOs, it's always fun talking about the business because as I said, they like talking about who's up, who's down, you know, what happened here, why did this fund crater? They like that stuff too. And they have a lot of intel. So those are the off-the-record conversations about the business of investing and not actually.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Most enjoyable experience That's a tough one. That's really tough. If the CIOs who know me usually know me through like awards dinners we put on, I always say that's my Christmas. I love hosting this group in a setting like an awards dinner. We're starting an awards dinner here at II because it's going to make us some money, but also because it's just a fun thing to do. Know usually it involves those dinners and the after party is the fun stuff. But most of my meetings occur over a drink or over coffee or in their offices. So it's more about”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“because she is as much a sounding board at this point as a reporter that people trust her to trust her to be fair with them. A fine balance, like everything, it's a trade off if everything had to be on the record, no one would speak to us. And if everything was off the record, we would never be able to publish anything. We wouldn't be journalists. So it's about getting the trust of people. And then the more fun side of how we get stuff, I still get random emails from fake email accounts. I got one last week, a text from someone, number I didn't know, telling me to Google something. And they were trying to take someone else down at Peg. And we didn't play along, but that's, you know, there's still fun stuff. I would say once a month I get an email that's clearly a made up Gmail account sending me something. You always have to have the tech guys check it to make sure you're not about to unleash malware on your company. But that still happens, right? This is a zero-sum business for a lot of people, right? And so...”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“95% of my conversations are off the record now. I almost sort of assume conversations are off the record until we decide to go on. Yeah. It's important for we don't want to be shills, right? We have a job to try and keep an industry honest. But they have to be able to trust us as journalists. We don't play in the national security or the politics zone that we're never going to have to go to jail over a source, God willing. But certainly people want to know who our sources are sometimes. So we have to be completely trustworthy in terms of the sourcing. And so the rule we have, institutional investor is We can publish anonymous sources, but the editor always has to know who that is so that no one can be the only person to know. And so when Julie Siegel, who's our rock star reporter, is reporting, if we're going to put something in a story, she has to tell me who that is so that we're confident that this is being sourced correctly and that all our procedures are being followed. But even for Julie, most of her conversations are off the rest.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Not asset management, but financial services. You have asset allocators on the end. They're the nicest group. And then within that group, probably corporate funds are the nicest people in that group. Then you have consultants, then you have asset managers, and then you have quote-unquote Wall Street, the service providers and banks. The further down that chain you go, I find the a-hole quotient goes up. That's the only general rule I can pull from it”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“All after the fact because you misread it, right? Right. But it also seems to be Somewhat random, you know, I had the pleasure of interviewing Henry Kravis for our video series War Stories over board games. It was maybe four months ago, and he could not have been nicer. Henry Kravis, I don't know how many billions he's worth. He controls every aspect of his life, but he walks into the film studio. We have four or five people doing the filming. He walks around, asks everyone's name, sits down, is super blunt with us, is a complete gentleman, and Henry Kravis has a reputation of being a, you know, I've read barbarians at the gate, but he was unexpectedly pleasant. Now I won't name names on the flip side, but there are some people who are nowhere near Henry Kravis' level, but are complete a holes. This industry has them. The further down the value chain you get in asset management, in my view.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“And when they don't have control, they can lose it. And so I've had a number of instances where what I thought was totally fine turned out to be a nightmare of just trying to calm everything down, calm down the PR people, calm down the assistant internally.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“When they deal with the media, they can't do that. This is the media and markets, frankly, are one thing that they don't get to control. And for some of them, it infuriates them. Some of them deal with it by simply not doing any communication. Think of Seth Claran. Seth does do a little bit of press, usually when it's around charity work. That's his right, and that's the way he's chosen to run his business, and it's been very good for him and his investors. There are others who need media coverage because it is free advertising. It's only good, you know, unless you believe that all press is good press. They want to frame the story, but in the end it's the editor and the editorial team who really do have the decision about how to frame the story after talking to a lot of people. And so They love control.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“They are very hard to predict. The way I put it is when people get to a certain amount of wealth, it could be ten million, could be a billion, when there'll come a time when they control almost every aspect of their lives. They have the houses they want. They may always want more, isn't that a human emotion, but they have the vacation home, they have the family home, they're married, their kids want for nothing, they have assistance helping them with everything. They control every aspect of their day.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“I would say it's a lot harder coming to institutional investor, this is an absolutely phenomenal place to work. II has been around for fifty years, and the doors swing wide open for eye, so even in the last year I've had a real pleasure in meeting people that I never met before. And that's one of the great benefits of my job right now. I love it.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“On the one hand, you have this group of people who He said, have egos, but generally speaking, until you started shining light on them were out of the public eye. On the other hand, you talk about asset managers and there are billionaires who are often in the public eye who you've also reported on. And I'm curious what you learned about the difference in what someone might perceive of either an acetone or a billionaire or any other manager and what you experienced from being the reporter and the way you interacted with them.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Bit too, they will work with multiple asset owners, so they'll be able to compare certain people. This person is sharper, this person asks better questions, this person is doing more innovative stuff with their portfolio.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“You just have to look at first where they are at what age, and then their bosses will quite often be honest with you. There is a fund in Texas where we had identified one person who we thought could be 40 or 40 material because a few asset managers had emailed us and said this person should be right there. And we went to the CIO and he said blank no. That person's an idiot. And so we basically checked it with the boss and he said that's not the kind of person you want on your list. Here's another person within my organization who really deserves to be here who's a rock star. They're the best checks on this. They'll be ranking their employees every year in their heads at least and charting paths about who they love to keep around. And so we relied a lot on the CIOs there. Consultants of”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“That's hard as criteria. Am I allowed to swear on this? It's tough. You got to look at where they are. I always, what I'm saying here, I always use examples because it's the way I think about things. But their age relative to their position, so the great example is Sarah Samuels at Massprim. Sarah is the deputy CIO. When you speak to her, she knows exactly what she's talking about. She's at a big public plan. She will be a CIO one day. And at that time, she may still be in her late 30s. I wouldn't pretend to name her age right now.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“There's no better sign of success in this industry than spending time at the Allen Down. So that's how we broke it down. There was those five factors weighted somewhat differently with innovation and collaboration being the foremost. And so, again, it is subjective to some degree. All journalism is subjective to some degree, but we relied a lot on recruiters and seven or eight years of just talking to these people day in and day out and getting a sense of who's the best. The question I ask in every meeting with CIOs is which one of your peers do you respect the most? And there's a lot of commonality there. They'll always say one of the Canadian plans, they'll always mention Australian or a sort of Nordic style plan. And then there'll be something else. But there's a lot of commonality there. And so that's the best question you can ask, just to get a sense of who they think are...”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“In a sense because his people spread out throughout the universe Seth Alexander Andy Golden, Randy Kim, Paul Valen, people all over the world you could go on Rob Wallace. All these people are Swenson protege and they're collaborating with each other still, at least theoretically they are following the same system. But Svensson doesn't actually do a ton of outreach to other ENFs. So we got a little dinged there. And then team building, he's again, a 20 out of 20 because, you know.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“So every year we formalized it more. And I think it really hit its stride and it's still the way I think about things in this industry, that we came up with five criteria that equaled power. And this was a lot of help from the recruiters. I think there's some very big powerful recruiters here. I think Deb Brown, David Barrett, Jane Marcus, people like that really have been helpful in formulating the thinking. But we said, what's power? Power is innovation. Power is collaboration. Power is team development. Power is tenure and fun size. So tenure and fun size, you can't, they're objective, right? David Swenson runs $30 billion and has been there for 30 years. Then we sort of weighted them. Innovation and collaboration were the most weighted, innovation being David Swenson is a 30 out of 30. He changed the game. Collaboration, he did all right.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“And I, as the editorial director of III, get a call, and I haven't been warned about this, I'll be upset because if you really know your subject matter, you'll know who you're pissing off. And that was part of my education with the Power 100 and other lists, always knowing who to expect to be mad.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Gonna piss people off when we're writing stuff at Institut Investor we're trying to be what I call responsibly provocative We never are gonna slander anyone we're never gonna be mean about it but sometimes people do wrong or do poorly in this industry and we have to be willing to call them out. The rule is though you have to know who you're gonna piss off before you do it if you haven't figured out you're gonna piss off a person or a company”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“We're going to anonymize it, but I would say it's a CIO that I hugely respect and very much like and has returned every phone call I've given in the last three years. But we put that person far down the list because I totally misjudged their goals, what they wanted to be in their egos. And I emailed afterwards and said, hey, I'm going to be near your office. Can I come from meeting? And he goes, I said, you said, I think I said I can always call on you. And he goes, that was before the Power 100. And after that, it was, in one sense, what people care about it to some degree. And the second sense was I need to be very careful. And so the rules we have now at institutional investor, basically any, it's a good journalism rule.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“That was a big challenge for us. It forced us to really learn the industry hard. It was great education for myself and for everyone who worked with me. But there were some hiccups along the way, some bruised egos that weren't.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Clearly the most influential allocator of our time. He changed the game. We would look silly if he's not number one. But David Swenson also does not care in the slightest if he's number one on that list if he even knows it, right? But there are people who care about their careers and see this as a way to reinforce their position in the industry, especially when we started getting the recruiters involved and really helping us formulate this list. And we call it, we made sort of a zaggot guide of CIOs where recruiters would anonymously give comments. This person is very good at team building. You know, I'm thinking back from memory, but a jagdeep basher. Phenomenal at team building. So that's one of the things that we write in his Zagit style thing.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“It was a ranking in our view of the most influential, powerful CIOs on the planet. It was hugely successful. It comes with some drawbacks, it will surprise no one there are huge egos in this space, and I don't always get right who has a big ego and who doesn't. I like to think I can usually judge and gauge how it's going to go. You know, David Swenson,”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Yes, so the creation of the lists. It wasn't again wasn't my idea. My first employee was a young woman named Paula Vassan. Paula had worked at Yahoo Finance, she's now a newscaster in New York City here, and she said we should do a 40 under forty of this only of asked allocators. And at first I poop-pooed the idea. I think I said everyone else does that. We don't need to do that. And then we realized that no one actually did that. People did crossover lists. So on a list of a 40 under 40, there might be 10 allocators, but no one was doing that thing. And so we did it, and it was remarkably easy to...”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Chris is a great guy and an absolute true believer in the mission of Causters, and it won't surprise me at all if Chris ends his career there. He's nowhere near the end of his career, but he could be the longest tenured public fund CIO in America because he's a true believer in what he's doing and it's hugely admirable to see that.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Spoken to a lot of recruiters and they sort of lay out the rules. You know, spend some time at a public fund. Get some experience in that real mission-driven investing. Get some experience in the private sector. Spend some time at the corporate world, really understand the accounting behind it. So people are always trying to figure out where the next job is. Now, again, there's exceptions to that. Some people, Scott Malpass, will never leave Notre Dame. He's in his dream job. I think of even some public funds. I think of likes of Chris Aylman.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“About the business of investing. Fee structures aren't really investing. They're the business of investing. Britt Harris moving to UTimco isn't about investing. It's about the business of investing. But we published a piece, I called it page six for investors. We published it yesterday, and it got a huge reception because it was the inside story of how Britt moved from Texas teachers to you Timco. And people read it because they like to be on the inside. They like to be in the know, but they also, everyone in this industry wants a better job. If you're an allocator, there are huge exceptions to this rule. But I would say certainly of a majority of the allocators would love to end their careers as a CIO of a Ivy League endowment, and they will take creative paths to go there.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“His private capital is our core audience, and so he took an idea that could be read by your mother. She's had a horrible fight experience as well, but applied it to our audience. So I like to say I've never really had a novel idea in my life. I'm just taking stuff that I see in New Yorker, in the Atlantic, in other magazines, and applying them to our niche universe. And it seems to have worked. The other thing, I talk about those four things that investors care about. They care much more when you look at their reading patterns about industry gossip?”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“So, in terms of just like purely making content or journalism interesting, I'm a voracious reader of other people's journalism. And there's great journalists out there not in the financial space, and you can take a lot of their formats and apply it here. So many people write business journalism boring. And our view, an institutional investor now, is that it doesn't have to be. You just have to put an interesting twist on what you're doing. So the first major cover story that we really got our hands on here at Institutional Investor, Liana Orr, who has joined II as well and been my longtime deputy, we basically said like, I think one of us was flying through Lagardia and we said, man, this sucks. And so I said, while we write an article called Why America's Airports Suck and talk about how institutional capital, which is actually in place now, is really solving this problem because the American government system doesn't want to foot the whole.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Asked allocation, portfolio construction, manager selection, and risk management. And that is a paradigm that I've now taught to a lot of journalists that have worked for me because it's the most effective way to get them to understand what an allocator cares about. And so when we're designing magazines at CIO and now at institutional investor, that's how we still think that how does this fit into the day-to-day job of our audience? Because if it does, and if we can make it exciting and not dry, you know, the world doesn't need another tri-piece on smart beta, they'll read it. And so that's been the theory all along.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“Forrest does and did, and he also explained to me, you know, these are the four things that CIOs care about within their investment sphere.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source
“The first CIO ever met with J. Vivian. He was at that point the ex CIO of IBM. J is a quirky guy, has strong opinions, but he's like a lot of CIOs, really nice and wanted me to meet other people. So he introduced me to Carol McFate, who is a Harvard Business School classmate of his, who is now the Xerox CIO. People know Carol, a bit like J, an iconoclast. We call them curmudgeons lovingly. And then Charlie also introduced me to Jim Dunn of Wake Forest in Verger. And Jim was the first CIO to literally invite me to his office. And so the first time I ever met an allocator in a work environment, I flew to Wake Forest. Jim took me into his office and he said, how much do you know? And I said, I don't know anything about what we're talking about here. And so Jim laid out his sort of mantra of what Wakefield.”
2017-08-07 · Capital Allocators · Kip McDaniel – CIO Whisperer (Capital Allocators, EP.20) · IDENTIFIED FROM THE TRANSCRIPT · source