Man + Machine, Moats, and Power of the Outside View

This podcast is sponsored by:

The CFA Institute. The CFA Institute is the global association of investment professionals whose mission is to lead the investment profession by promoting the highest standards of ethics, education, and professional excellence for the ultimate benefit of society. CFA Institute serves a global community of investment professionals working to build an investment industry where investors' interests come first, financial markets function at their best, and economies grow. The chartered financial analyst credential is the most respected and recognized investment management designation in the world.

[00:02:15] – (first question) - Where is the point for equilibrium between active and passive, starting with a look at the Berkin Green model.

[00:08:13] – A look at how four factors; technology, regulation, market environment, and the balance between informed and uninformed sellers.

[00:10:49] – What do you think of the distortions that are created by active

[00:19:50] – Back to exploring the behavioral gap

[00:23:26] – What about companies that are less prone to list and their value is captured in the private markets.

[00:30:34] – What are the negatives that are keeping companies from going public and can we fix those issues?

[00:36:02] – Is there a way for main street investors to get access to venture capital action?

[00:40:47] – What is a base rate

[00:42:13] – Regression towards the mean

[00:49:21] – What’s the formula for plugging inside views vs outsides views because it appears the combination of both is probably stronger than either alone

[00:53:01] – Where are the best opportunities to getting an edge using some of this data

[00:59:33] – What are some examples of people buying for non]fundamental reasons

[01:02:53] – Taking a deep dive into moats and the components that make them up.

[01:16:20] – One example of a conscious tradeoff for competitive position

[01:18:28] – The competitive pressures in the asset management industry

[01:22:35] – A look at harvest strategies and what that means

[01:24:58] – Some of the recent resources that Michael finds fascinating