VERDENCE CAPITAL ADVISORS
EXECUTIVE DIRECTOR OF INVESTMENT STRATEGY AND RESEARCH
What’s top of your to-do list right now?
The current market environment – with expanding equity valuation, the potential for rising rates, credit spread contraction and no clear market dislocation – has us focusing on strategies that are uncorrelated to the traditional markets, with a structured and defined return outcome.
What is keeping you awake at night (work wise)?
How long this domestic equity rally will continue and whether we are doing all we can from an investment perspective to help clients meet their investment goals and objectives. It is our job to worry, not theirs.
What fund has had the most inflows this year?
We have been reducing our long-only S/Mid-cap exposure and reallocating the capital to a new S/Mid Cap Long/Short strategy, the Class VI New River fund. The managers’ concentrated, low net portfolio is allowing us to reduce our overall risk exposure to the asset class while still providing upside market capture.
Best meeting you’ve ever had?
I have had a lot of great meetings over the years. They all tend to be highly interactive, transparent and end with an understanding of how risk is determined, return expectations and why the investment manager is unique relative to their peers. The most recent example of this was with Ryan Caldwell and Brian Cho at Chiron Investment Management. Their ability to merge fundamental and quantitative analysis to allocate capital and select securities was highly compelling and unique for a global allocation strategy.
Worst meeting you’ve ever had?
I have had my share of bad meetings. The most memorable was approximately five years ago, with an investment manager who showed up late and then proceeded to pitch his idea for a new strategy he wanted to launch outside of his existing firm. We didn’t seed the investment.
If you weren’t doing this job, what would you be doing?
Carpenter or auto mechanic. It is such an accomplishment to build or fix things with your bare hands.
What are your interests outside of work?
I am a golf nut, although my handicap doesn’t reflect my love of the game. I also enjoy playing competitive tennis, rooting for my hometown Boston sports teams and spending time with my wife and three children.
If you could travel anywhere in the world, where would it be?
If we gave you $1,000, how would you invest it?
Since I have a long-term investment objective, and believe that the global economy is still developing, I would have to invest in an active small-cap frontier emerging market equity fund.
Do you have any hidden talents?
I have a knack for whipping up some tasty food in the kitchen.