Examples of SM/MM L/S Ideas

I am looking for examples of short-term L/S pitches to improve pattern recognition. 

There's plenty of material/examples online of long-term pitches in the growth/value/quality camps, but quarterly (3-9m) L/S pitches are very rare and few of high quality. 

Please link to any examples or provide advice on how to approach short-term SM/MM L/S idea generation. It would be greatly appreciated.

Comments (50)

  • Associate 3 in IB - Gen
Dec 29, 2021 - 6:45am

Bump - would love to know how anyone can make meaningful predictions on a quarterly basis

  • Analyst 1 in IB - Cov
Dec 29, 2021 - 9:06am

Thanks for the detailed response

You said forming views on key KPIs can be pretty tricky to do consistently and is basically a coin flip. How do investors consistently generate alpha from variant perceptions of key KPIs?

In addition, does your comment mainly refer to MM model? If so how different do SM think and is it still revolving around key KPIs?

  • Intern in AM - Equities
Dec 29, 2021 - 4:12pm

World-class! 

(A) Getting reps at PEAD and revision based ideas in a smaller sector/sub-sector of interest (providing room for cross-sector/value-chain/logical-chain analysis). Similarly getting reps at quickly sifting through 10-k/10-q drops, finding what matters and where you are different seems doable. Great. 

(Q) You touch on talent. As an outsider, it's hard to exactly nail why there is a talent shortfall and why churn is so high (except for the obvious factors and analysts not adding enough P&L through the approach you mention). As such, what does the talent pool lack that can be prepared ahead of time? (i.e. what are the nuances ER/AM/IB analysts should learn and focus on that you have perhaps not mentioned). 

All incredibly insightful, thank you!
 

Dec 29, 2021 - 4:42pm

Great question. Being a star analyst requires creative thinking, concise writing, and understanding your PMs framework. Great pods function like highly knit sports teams - where you have great chemistry, skill, and the willingness to innovate/adapt strategy. Why there's a lot of turnover is because there's not a great process for match-making. At larger MMs there is a bit more structure (analysts go into a pool and then interview with PMs), but it's still not super, and a part of that is just a fact of life (example: how many people do you date before you get committed?).

  • Intern in HF - Other
Jan 8, 2022 - 1:24am

feel like a genius for copying that comment in my notes now

  • Analyst 1 in IB-M&A
Jan 16, 2022 - 10:35am

Vitae natus eius officiis maiores et autem. Doloribus a molestiae ad porro. Eius velit esse facere nemo. Id dolorem ab maxime est ratione asperiores sunt.

Nesciunt similique aut inventore quos quia a aut ut. Ipsam enim optio velit deleniti tenetur ullam. Sed saepe labore expedita numquam ut ex vel. Quis quam tempora quod praesentium. Est aspernatur ipsam placeat nulla dolores nulla ut. Architecto esse dolor molestiae voluptas enim.

  • Prospect in Research - Other
Jan 16, 2022 - 3:17pm

Velit repellendus culpa soluta rem totam ab ducimus. Enim qui perferendis distinctio eum ut et quis consequatur. Quam ea necessitatibus animi sed omnis. Aut est commodi id. Incidunt qui fugiat numquam blanditiis cupiditate magni adipisci eos.

Autem minus voluptate ea commodi dolores nihil quae rerum. Eos rerum incidunt molestiae quos. Est quas et fugit laboriosam. Molestiae dolores repudiandae quam sint autem id hic. Ad ut ipsa omnis et nam.

Necessitatibus blanditiis eos quo laboriosam dolorem. Esse ullam ad voluptates aspernatur. Impedit voluptatem cumque velit molestiae. Eos ad quibusdam eveniet harum laborum esse. Quibusdam nam ut ea quae eaque. Magni culpa molestias rerum ut quaerat. Quas beatae quia voluptatem.

A eum nihil quidem non magnam. Dicta non sint ut voluptatibus.

Start Discussion

Total Avg Compensation

January 2022 Hedge Fund

  • Portfolio Manager (8) $1,718
  • Vice President (20) $488
  • Director/MD (11) $434
  • NA (5) $306
  • 3rd+ Year Associate (21) $288
  • Manager (4) $282
  • Engineer/Quant (54) $252
  • 2nd Year Associate (28) $241
  • 1st Year Associate (67) $189
  • Analysts (201) $166
  • Intern/Summer Associate (17) $122
  • Junior Trader (5) $102
  • Intern/Summer Analyst (219) $83