Fund Managers and Asset Allocators are challenged with viewing risk from two, but not necessarily opposite, perspectives.  Asset owners are tasked with keeping funding promises to beneficiaries over long-periods of time. Years of depressed interest rates have made achieving the allocators’ return targets much more difficult.  Fund managers seek to deliver attractive risk/reward performance and compete to raise and retain assets.  While both the fund managers and asset allocators have strong incentives to balance risk and reward, the stakes of this delicate dance can become more challenging at the tail end of an old bull market that is exhibiting rising volatility.  Structured thinking about risk within a framework that is grounded in reality, humility and skepticism could be very helpful to both sides

Frogger has been on my mind a fair amount of late. For those of us involved in the markets, there may be no better metaphor for what we’re now experiencing on a daily basis. Fed hikes whizzing by. Missed earnings squashing investors like the most inconsequential frogs, toads and newts

Despite the New Year rally, we have now entered the expected choppy and grinding markets.  To combat this situation, we believe that 2019 has the highest propensity to reward those investing in opportunities that are known as “special situations”