Are the tiger cubs all that long term?
I know the view is that the top tiger cubs are all buy and hold investors (who have shorts to offset) with 2-5 year views, but looking at 13Fs and in meetings you notice there is still a decent amount of focus on quarters and earnings. What is the view from your experiences with them? Or are some longer term than others (e.g. maybe Viking is more pod-like and lone pine more buy and hold)
Tiger Cubs follow a premier, deep value, highly analytical investment strategy aimed at underperforming the S&P500
@allhedgefunds #wasteoffees
Long term, but also focuses on quarters / alt data / channel checks ;)
Genuinely curious, what should they be focusing on if not earnings?
Pure vibes
"Long-term" investing at hedge funds is a myth.
This is the part I like about MM pod shops: at least they are not hypocrites.
Most single managers: "Private-equity approach to the public market, focusing on long-term earnings power / free cash flow generation, 3-5 year time horizon, with strict valuation discipline and a preference for quality bought at significant discount to intrinsic value. We don't focus on quarters." And then going on management / IR calls asking about monthly trends and quarterly guidance while the other party does the following:
If they weren't before, they are now. Any fund down 30% becomes "long term" in a hurry.
Just because you have a long term view and stable capital doesn't mean you want to hold a large position at full size through a terrible quarter (or any time period) where you think it will trade poorly.
If the valuation rerates so that the prospective 3-5 year return isn’t attractive anymore (I.e. hits or is near their 5 year price target after earnings), the fund will start selling
I don't think they're having this problem right now...
Et deleniti magnam sit non voluptatem est. Voluptatum voluptates veniam amet voluptatem voluptatem. Est aliquam dolorum voluptas officia optio. Unde quia excepturi omnis sequi rerum qui aut.
Iste labore tempore fugit. Voluptatem et sequi excepturi itaque. Odit reiciendis et aut. Iure magnam quis rerum et est. Amet asperiores culpa ut repellendus cupiditate natus.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...