The hottest Asset management Substack posts right now

And their main takeaways
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Top Finance Topics

Inside the Private Equity Options Factory

Lewis Enterprises • 19 implied HN points • 02 Feb 24
💰 Finance Asset management
  1. GP Stakes investing is a late-cycle phenomenon that uses structures to enhance private equity outcomes.
  2. Financial transactions are often abstractions used for hedging, speculating, or leveraging capital.
  3. Private equity has evolved to create exotic forms of leverage and financial assets, impacting capital allocation.

ANNOUNCEMENT: The ValuationBot Research Desk is live

Valuabl • 1 implied HN point • 19 Jan 26
💰 Finance Asset management
  1. A new service works like a 24/7 personal equity research team that automatically finds and validates investment ideas.
  2. It delivers a steady daily stream of ideas from liquid, investable companies and focuses only on the markets you actually invest in.
  3. You get full access to every report, valuation model, and Excel export so you can dig into the analysis and make clearer investment decisions.

Get Your Retirement Money Out of The System

Anxiety Addiction & Ascension • 39 implied HN points • 05 Dec 22
💰 Finance Asset management
  1. Saving for retirement is essential, but being forced by the government to put money into certain funds can be questionable and may not align with individual financial goals.
  2. Asset management firms play a significant role in managing retirement funds, but their emphasis on ESG and socially responsible investing may not always align with traditional fiduciary responsibilities.
  3. ESG (Environmental, Social, and Governance) criteria can significantly influence how money managers handle investments, potentially prioritizing social and environmental factors over pure financial gains.

Improving factor returns through structural factors

Klement on Investing • 2 implied HN points • 04 Dec 25
💰 Finance Asset management
  1. Reported factor returns are partly driven by changing valuation multiples, not just fundamentals; removing those valuation effects reveals a structural premium that better reflects underlying, fundamental-driven returns.
  2. Valuation-driven revaluation effects shrink over longer horizons, so structural factor returns become more important for long-term investors and should guide long-term factor weightings.
  3. Constructing multi-factor portfolios using structural premiums improves expected long-term performance versus conventional approaches, though investors will still experience realized valuation swings that cannot be hedged.

People Have More Money Than Ever

Spilled Coffee • 32 implied HN points • 16 Oct 24
💰 Finance Asset management
  1. Many people have more money now than ever because wages have been rising faster than inflation for over a year. This means that they can buy more with their earnings.
  2. Homeowners are seeing their property values increase, while those looking to buy are facing more expensive housing costs. This shows the trade-off between rising asset values and affordability.
  3. Overall, both asset prices and wages are at all-time highs, which has led to a significant increase in net worth for Americans across all income levels, especially the bottom 50%.
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Catch Me If You Can

Net Interest • 15 implied HN points • 24 Jan 25
💰 Finance Asset management
  1. The US stock market has significantly outperformed Europe over the last 15 years, with US stocks providing much higher returns compared to European stocks.
  2. European companies lag behind in major tech innovation, lacking equivalents to successful US companies like Amazon and Google, which has contributed to their slower growth.
  3. Recently, there has been a shift in sentiment among investors towards Europe, with increased interest and consolidation in the asset management industry, indicating potential for future growth.

Ethical firms are more likely to merge

Klement on Investing • 1 implied HN point • 01 Dec 25
💰 Finance Asset management
  1. Firms that merge tend to have fewer ethical complaints because buyers avoid targets with poor records and targets resist buyers with bad ethics.
  2. After a merger reported ethics violations fall by about 17–22%, largely because combined firms disproportionately lay off employees with past complaints.
  3. Unethical employees often get rehired elsewhere, especially at larger firms, so misconduct persists and the industry gradually splits into high-integrity and low-integrity firms.

BlackRock’s Barbell

Net Interest • 13 implied HN points • 06 Dec 24
💰 Finance Asset management
  1. Warren Buffett believes that being both a businessman and an investor is beneficial. Learning from each role can help improve performance in the other.
  2. Many investment firms, like Schroders and Pimco, struggle when they focus too much on one area and lack diversification. These issues can hurt their profits and reputation.
  3. BlackRock, the largest asset manager, successfully mixes passive and alternative investments. They are moving into higher-margin areas to boost profitability and adapt to market changes.

The power of a trusted brand

Klement on Investing • 3 implied HN points • 05 Aug 25
💰 Finance Asset management
  1. People often confuse their personal success with the strength of their company's brand. When they switch jobs, they might be surprised that not many clients follow them.
  2. Investors generally trust well-known brands more, and they expect higher returns from funds associated with those brands. This trust can significantly influence investment decisions.
  3. Once a brand's reputation is damaged, it can be hard to recover. Renaming the fund might help, but strong brands should keep their name to maintain investor confidence.

Tony Robbins’ Favorite Asset Class

Net Interest • 18 implied HN points • 01 Mar 24
💰 Finance Asset management
  1. Tony Robbins has invested in over 100 privately held businesses with combined sales over $7 billion, leveraging his brand to immense success.
  2. Robbins emphasized the concept of 'GP stakes', where investors buy minority positions in asset management firms, such as what he did with Blue Owl through CAZ Investments.
  3. The GP stakes business model focuses on buying into asset management firms and can be highly lucrative, providing exposure to various private asset management firms.

The Fed Is Bankrupt

QTR’s Fringe Finance • 28 implied HN points • 18 Apr 23
💰 Finance Asset management
  1. The Federal Reserve has experienced significant operating losses, depleting its capital
  2. The Fed is considered insolvent due to exceeding liabilities over total assets
  3. To address its financial challenges, the Fed uses deferred assets to offset liabilities

New York State of Mind

Net Interest • 13 implied HN points • 02 Feb 24
💰 Finance Asset management
  1. The Federal Reserve's oversight of banks is divided by size, with different divisions supervising banks of varying asset thresholds.
  2. Regulators reacted swiftly to New York Community Bancorp surpassing the $100 billion threshold by implementing capital preservation measures.
  3. New York Community Bancorp's stock fell significantly after taking actions to strengthen its balance sheet, raising concerns and prompting discussions about reviving a retired series on banking crises.

Investment research is not as valuable as it used to be

Fund Marketer • 0 implied HN points • 18 Apr 24
💰 Finance Asset management
  1. Investment research is becoming less useful because many managers found alternatives, like news or blogs, to get the information they need.
  2. While regulations may allow investment research to be bundled again, the actual spending on it has dropped significantly, showing that its value has decreased.
  3. Market forces can lead to changes like bundling or unbundling, impacting sectors like renewable energy, where clearer reporting standards can increase investment.

Is the European ETF market competitive enough?

Fund Marketer • 0 implied HN points • 28 Feb 24
💰 Finance Asset management
  1. The European ETF market is heavily dominated by a few large players, with JP Morgan capturing a significant share. This raises concerns about the level of competition available for smaller ETF issuers.
  2. Larger firms often copy niche products from smaller issuers, making it hard for the latter to succeed. This behavior can limit innovation in the ETF market.
  3. Investment consultants prefer funds that are just above certain asset thresholds, affecting how funds are shortlisted and their potential inflows. Being over a $500 million mark can lead to more investment opportunities.

What Good is a Podcast Without Great Audio Quality? Yes, We Know—It's On Us.

James Ledbetter's FIN • 0 implied HN points • 26 Nov 24
💰 Finance Asset management
  1. Investing in whiskey casks is becoming popular, especially for those looking for alternative assets. It's not just for whiskey lovers; even non-drinkers find it appealing.
  2. The global whiskey market is huge, worth about $70 billion, and it's expected to grow even more. Many investors see it as a safe and tangible investment option.
  3. CaskX helps people choose which whiskey brands to invest in by looking for those with potential for high value. They believe this kind of investment can be as valuable as gold.

How a former hedge fund analyst built a six-figure newsletter covering Asia’s overlooked stocks

Simon Owens's Media Newsletter • 0 implied HN points • 25 Feb 26
💰 Finance Asset management
  1. On-the-ground experience and local language skills create a real information edge for finding overlooked stocks in Asia.
  2. Deep, original research packaged as a paid subscription newsletter can scale into a sustainable, six-figure recurring revenue business.
  3. Running independent publishing lets you control platform, billing, and compliance, which matters when monetizing financial research in a regulated space.

The Unaddressed Opportunity in Emerging Managers

Equal Ventures • 0 implied HN points • 10 Nov 22
💼 Business Asset management
  1. Emerging managers in the venture industry show potential for high returns despite receiving a smaller share of capital allocation.
  2. Diversity in emerging manager profiles and strong alignment with LP incentives make them attractive investments.
  3. The slow change in LP-GP dynamics, the challenge of identifying new managers, and the dominance of established firms hinder the growth of emerging managers, limiting diversity and innovation in the asset class.

Myth 5.1: If you don't believe in forever, you cannot do a DCF

Musings on Markets • 0 implied HN points • 30 Nov 16
💰 Finance Asset management
  1. You don't need to believe cash flows last forever to do a discounted cash flow (DCF) analysis. There are ways to estimate cash flows that make sense even if the asset doesn't last indefinitely.
  2. Terminal value is very important in DCF calculations, so you can use methods like annuities or liquidation value to estimate it. These options can provide a realistic view of an asset's worth without assuming it will last forever.
  3. One common mistake is using market multiples for terminal value, which can skew the true value of a business. It's better to focus on cash flows and intrinsic value rather than just market pricing.

Asset selection & Valuation in Illiquid Markets

Musings on Markets • 0 implied HN points • 26 Dec 10
💰 Finance Asset management
  1. When picking assets, consider how liquid they are. More liquid assets are often a better choice for those needing quick access to cash.
  2. To evaluate illiquid assets, you can adjust their value down by using an 'illiquidity discount' or increase their risk by raising the discount rate.
  3. Using relative valuation involves screening for both cheap stocks and those that are more liquid, helping avoid investments in hard-to-sell assets.

Asset allocation for illiquid markets

Musings on Markets • 0 implied HN points • 24 Dec 10
💰 Finance Asset management
  1. Illiquidity affects all stocks, not just a few, which can lead to challenges in investment decisions. It's important to understand that even seemingly liquid markets can experience periods of illiquidity.
  2. When deciding how to allocate assets, it's crucial to consider the potential underestimation of risks associated with illiquid assets. Ignoring this can result in poor investment choices.
  3. Investors should tailor their asset allocation based on their need for liquidity. Those who prefer more liquidity might focus on large, stable assets, while others might benefit from investing in less liquid ones.

All assets are illiquid

Musings on Markets • 0 implied HN points • 21 Dec 10
💰 Finance Asset management
  1. All assets are considered illiquid, meaning they can't always be sold quickly at their current price without costs involved. This changes how we understand and measure the value of assets.
  2. Illiquidity varies between different asset classes, like real estate being less liquid compared to stocks and bonds. Some stocks are also more liquid based on their size and price.
  3. Investors care about liquidity because it affects asset prices and returns. Illiquid assets tend to have lower prices and higher expected returns, especially during market crises.

Inflation, deflation and investing

Musings on Markets • 0 implied HN points • 14 Oct 10
💰 Finance Asset management
  1. Economists disagree on whether we are heading into inflation or deflation, but both have big impacts on investing. It's important to understand how these economic changes can affect your portfolio.
  2. Inflation can hurt stock values because it increases costs and taxes while the ability to raise prices might not keep up. Companies with strong brands can handle inflation better than others.
  3. If you expect high inflation, consider investing in real assets or companies that can pass costs to customers. For deflation, focus more on financial assets and companies selling essential products.

Past performance is no guarantee of future performance... but is anyone listening?

Musings on Markets • 0 implied HN points • 19 Sep 10
💰 Finance Asset management
  1. Investors often ignore the warning that past performance doesn't predict future success, and many still chase after funds that have done well recently.
  2. Successful investing usually depends more on how assets are allocated rather than just picking individual stocks.
  3. Momentum investing can be risky, as knowing when to sell is just as important, if not more so, than when to buy.

The dangers of relative valuation

Musings on Markets • 0 implied HN points • 27 Sep 09
💰 Finance Asset management
  1. Relative valuation can be risky because if one company is valued poorly, it can affect the valuations of other companies that are based on it. This is especially true for big companies like Facebook.
  2. Using relative valuation without careful analysis can lead to mistakes and potentially create market bubbles. Just looking at averages can be misleading.
  3. A better approach to relative valuation is to consider differences between companies and analyze the data thoroughly. This way, it can provide useful insights rather than just being a lazy shortcut.

Jekyll and Hyde revisited!

Musings on Markets • 0 implied HN points • 25 Nov 08
💰 Finance Asset management
  1. Citi's plan to split their assets into good and bad parts is interesting. This could lead to other companies doing the same, letting investors trade their good and bad parts separately.
  2. It's easy to see how the good part would be valued higher by investors. The challenge is figuring out how to make the bad part appealing, since it's often not profitable.
  3. If the government takes on the bad assets, it should demand something valuable in return, like a stake in the good part, to make sure the deal is fair.

Investment consultants are (quietly) doing great

Fund Marketer • 0 implied HN points • 01 May 24
💰 Finance Asset management
  1. Investment consultants are becoming very influential in the market, with 85% of large investors relying on them for manager selection. This shows they play a key role in guiding investment decisions.
  2. The top twenty investment consultants control a large portion of the industry, making it easier for them to shape which managers are chosen by clients. This concentration means fewer choices for investors.
  3. Investment consultants warn that trendy investment options, like private assets, can be risky and often lead to disappointing results for late investors. It's important to be cautious and think long-term.