GAIM USA 2007: Highlights
Here is a brief summary of some of the many highlights from the 2007 program.
DAY ONE
Stu Schweitzer, Global Market Strategist, JP Morgan presented a compelling 2007 Global Economic Forecast to a packed room and his projections provided a great starting point for discussions on the opportunities and challenges presented by global markets in 2007. This subject was ably tackled by leading global managers Madhav Dhar, Traxis Partners Jacob W. Doft, Highline Capital Management, LLC and Geoffrey L. Symonds, GLS Capital.
Controversy ensued in the following panel where Jeffrey M. Solomon, Ramius Capital Group, LLC, Uwe Eberle, RMF Investment Management and Ted D. Seides, CFA, Protégé Partners LLC were not shy of sharing their opinions in an enlightening panel moderated by Robert Klugman of Credit Suisse Prime Services.
Robert L. Chapman, Jr. Managing Member, Chapman Capital LLC presented a provocative, out-of-the box testimonial to the allure of activist investing in the keynote presentation that he entitled “The Delivery of Pain”
Morning sessions were brought to a close by the effervescent Sorina Givelichian, Russell Investment Group who led a very insightful discussion between three of the most influential investors currently allocating to alternatives: Orin S. Kramer, Chairman, New Jersey State Investment Council, Rene Nunez, Trustee and Vice-chairman, Texas Permanent School Fund Committee and Dominic Garcia, Deputy Director of Investments, Public Employees Retirement Association of New Mexico.
In the afternoon, leading investors David J. Gordon, CFA, Veritable LP Sandra Manzke, Maxam Capital Management Jin H. Park, Lehman Brothers Alternative Investment Management, LLC and George Main, Diversified Global Asset Management, addressed the critical subject of the advantages and risks involved in investing at different stages of a manager’s life cycle and the implications for manager selection.
In the next room performance forecasts for global macro, emerging markets and commodity based strategies were presented by leading managers and experience allocators.
It was standing room only for one of the most thought-provoking presentations of the event given by Mark Yusko President & Chief Investment Officer, Morgan Creek Capital Management, LLC. Mark Yusko achieved the rare feat of keeping the audience enthralled when cocktail hour was beckoning by with the illuminating and controversial ideas presented in “Beyond Contrarianism - How to add value from extreme investment positions.”
The evening cocktail reception, generously sponsored by Bisys was only one of many networking opportunities at this year’s event which included an invitational golf tournament and reception, sponsored by HSBC plus a cigar and cordial’s reception sponsored by Northern Trust.
DAY TWO
Tuesday’s proceedings were kicked off by a seminal panel on the changing paradigm of global asset management by industry thought-leaders, Felix P. Chee, President & CEO, University of Toronto Asset Management, Michael Kelly, CIO and Head Absolute Return Strategies Group, Morgan Stanley Investment Management and in his second turn, Mark Yusko.
Skillfully moderated by Nancy Donahue, formerly Harvard Management Company, the panel explored some of the most important changes impacting the industry as the traditional and alternative worlds converge and integrate.
The morning continued with exceptional presentations that pursued the theme of how institutional investors are integrating alternatives into their portfolios. Some of the highlights were:
Donald Pierce, San Bernardino County Employees’ Retirement Association (SBCERA) explaining the evolution of SBCERA’s investment strategy and portfolio allocations, implementation of an ‘informed rebalancing program’ and the structuring of a customized portable alpha program.
Kam Chang, General Motors Asset Management described the allocation strategies for GMAM’s global equities, fixed income mandates and broad scope mandates. Also highlighted was the use of portable alpha vehicles and other portfolio enhancements to meet the Global Public Markets Group’s alternatives objectives.
Jonathan Glidden, CFA, Emory Investment Management shared a case study of building a 130/30 fund in a traditional equity portfolio examining the portfolio construction, mechanics of allocations and investment philosophy behind the manager selection process.
Other leading investors who presented on Tuesday included Johannes
(Eddy) van de Wetering, Senior Portfolio Manager, ABP Investments
and Jeremy Ellermeyer, Director, Alternative Investments - High
Return Group, MetLife
on embedding hedge funds into an institutional portfolio to benefit
from uncorrelated return streams while balancing the downside
risk – case studies from leading institutional investors.
Mihir Meswani, Head of Hedge Fund Investments & Director of Public Market Securities, Robert Woods Johnson Foundation, Matt Robertson, Portfolio Manager Alternative Assets, Teacher Retirement System of Texas and Jaime Sanchez-Cano Torres, Vice Director of Pensions, Endesa, S.A. shared their insights into the practicalities of building an in-house direct investment program.
At lunch, renowned manager Dan Zwirn shared his insights into the future of the hedge fund industry.
In the afternoon, performance forecasts for event driven, structured credit and fixed income strategies presented by leading managers and experienced allocators.
The hugely popular Champagne Roundtables provided a convivial yet informative atmosphere as delegates had the opportunity to enter into engaged discussions with some of the event speaker faculty.
Interested in investing in volatility? Have a dispute to resolve? Want to meet 3 leading consultants and interested in gaining some strategic early stage investing? It was the talk of the Champagne Roundtables…
DAY THREE
On Wednesday morning the podium was graced by industry legend Wilbur Ross who shared a most compelling presentation of his thoughts on distressed investing today. As investors anticipate the sea of opportunity in the distressed sector, attendees relished the opportunity to hear from surely the most successful turnaround financier in living memory.
Wednesday lunchtime we were all treated to a thought-provoking and passionate presentation by the Executive Director of the Robin Hood Foundation, David Saltzman, who reminded us all of the impact we can all make through philanthropic activities. David shared the highly successful track record of the Robin Hood Foundation that applies sound investment principles to fighting poverty in New York.
Most of all, at GAIM USA, whether it was talking to old friends, taking a breath of fresh air between sessions in the gentle Florida sun, tucking into the buffet or enjoying a glass of champagne, the delegates of GAIM USA 2007 did seem to be having a very good time.