How do you nail the "wow factor" in a pitch?
I've never recruited for HFs, but I will be soon and have many friends in the industry. Time and time again, I have heard that including a pitch with your resume/cover letter when applying to HFs is crucial/makes a huge difference. Does anyone have any tips for hitting the wow factor in a pitch?
Personally speaking, I have always found the wow factor to be easy to show in event driven situations -- forced selling created by spin-offs/emergence from restructuring/in-flows or out-flows. In event driven, the mispricing is easy to explain and it just seems like it makes more sense. This makes it sound more impressive, in my opinion. BUT, event driven HFs are a dying breed, and I have my eye on a few L/S shops that are more and consumer stuff.
If the fund is not event driven, it doesn't really make sense to pitch an event driven name...you should always pitch something in line with the fund's strat. How do you hit the wow factor for something non-event driven, say some SaaS or enterprise software name? I feel like by saying "Company XYZ has only penetrated 5% of a $100bn industry" just doesn't cut it. Sure, that's the kind of shit that has made money over the past 5 years, but let's be honest anything with the word SaaS or enterprise software in public markets over the past 5 years has just skyrocketed, and I feel like that kind of pitch would not impress a PMyou're trying to land a seat at. I guess you could use alt data, but how much of that is there for SaaS names anyway?
If someone could please give some tips for how to really wow someone in the TMT/consumer space, or any pitches from the past that A. made sense AND B. made money, that would be HIGHLY appreciated!!! The whole "Secular growth, room to penetrate market" thing just doesn't seem to cut it, in my opinion.