Reporter, Hedge Fund Manager, Movie Director by KATIE BENNER Touch the Yellow Box XXX XXX XXX XXX XXX for Company Info
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NEIL BARSKY 1 of 15 THE KID GETS HIS PICTURE Neil Barsky researched, directed, and produced a film about former New York Mayor Ed Koch. NEIL BARSKY: reporter, hedge fund manager, movie director By KATIE BENNER Touch the yellow box XXX XXX XXX XXX XXX for company info. FORTUNEFORTUNE SeptemberSeptember 16, 16,2013 2013 BAR.V.09.16.13.XMIT.indd 1 9/4/13 2:33 PM Neil Barsky 2 of 15 from Barsky Ventures is opu- lent:The Midtown view Manhattan from 57 stories up, eye to eye with the city’s penthouse apartments and executive suites. The office itself, however, is spartan. A few sticks of generic office furniture dot a sea of rough beige car- peting, giving the place the look and feel of a no-frills tax preparer’s waiting room. It’s quiet as a library. The only thing in the place at all flashy is a movie poster as tall as an 8-year-old, bearing, in big red letters, KOCH. THE MAN. THE MAYOR. THE MOVIE. Underneath is the world-weary face of the former New York mayor. This is where Neil Barsky works. Koch is his movie. Before he made his film, Bar- sky ran a successful hedge fund. But that’s all over. All that’s left is the movie. That’s all Barsky is doing. That’s all he wants to talk about—his film,Koch , all the time. JUMP TO THE NEXT STORY FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 2 9/4/13 2:33 PM Neil Barsky 3 of 15 Koch was released months ago, and promoting the film is Bar- sky’s full-time job. In the midst of talking up the DVD’s extras, he stops to grab a stack of Koch postcards and slips them into my hands. “Here,” he says. “Just in case. You never know.” Barsky may have been a hedge fund guy, but he is not “The Wall Streeter Goes Hollywood.” That is, he’s not financing films and then parlaying his production credit into trips to Cannes or Sun- dance or Tribeca and handshakes with Clooney or drinks with Tar- rantino. First of all, Barsky—who is 55—didn’t just financeKoch . It was his idea. He put together a crew. He directed the thing. He also conducted much of the research and all of the interviews. He learned, often painfully, how to do everything, even obtain music rights. Second, he made a documentary. About an octogenarian politician. And about a dying city. It’s a deeply unsexy movie. And Barsky loves it. Barsky defied expectations when he made Koch, but his career arc is generally hard to define. He started as a newsman, working the business desk at the New York Daily News in 1986. He moved to the Wall Street Journal in 1988, where he covered real estate and the gambling industry. In 1993 he became an analyst at Mor- gan Stanley. Five years later he co-founded a hedge fund. Then he went solo in 2002 with Alson Capital Partners—named for his children Alexandra and Davidson. At its height, Alson had $3.5 billion in assets under management. Wall Street was very good to Barsky, but he still talks about jour- nalism like the one that got away. “I loved getting up in the morn- FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 3 9/4/13 2:33 PM NEIL BARSKY 4 of 15 Touch the yellowBarsky box and KochXXX at a previewXXX screeningXXX for theXXX documentaryXXX Koch, for company info. at Lincoln Center on Jan. 13, 2013. Koch died just a few weeks later—Feb. 1, the day the film premiered. FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 4 9/4/13 2:33 PM Neil Barsky 5 of 15 ing, looking in the mirror, and saying, ‘I’m a reporter.’ I took no great joy in saying, ‘I’m an analyst’ or ‘I’m a hedge fund manager.’ I was reluctant to leave my identity as a journalist. I loved journal- ism for the excitement of discovery. I loved getting exposure very quickly to so many different things. I still consider it to be among the highest callings. I really do.” What Barsky most likes about reporting, it seems, is that he gets to be the one asking the questions. He peppers me with: “Do you know what you’re going to say? What’s your angle here? What do you think this will be about?” When I ask him what story he would tell, he says, “Wow! This guy doesn’t know fuck-all about documen- taries, and he did this great movie about Ed Koch! Koch is a great movie! Everyone should see it!” ARSKY, LIKE KOCH, was born in the Bronx. Bar- sky briefly left the city, moving to Long Island and then New Jersey before returning to Manhattan in 1973 as a high school sophomore. That was four years before Koch ran for mayor. The city wasn’t justB broke—it was depressed. “Terrible things were happening,” Barsky says. “But for an intellectually curious teenager there was magic in moving to the city.” While a junior at the Walden School, Barsky and three class- mates went to Boston to make a short movie about the busing crisis over school integration. A federal judge had ruled that stu- dents from white areas of the city would be bused to black areas FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 5 9/4/13 2:33 PM Neil Barsky 6 of 15 to attend high school, and vice versa. The law was intended to remedy discrimination in Boston’s public schools, but it sparked riots and protests, particularly in the neighborhoods most af- fected by the ruling. Barsky and his friends wanted to figure out what was really going on, so they interviewed teachers, local poli- ticians, and other students. “The great stuff in the movie hap- pened when we interviewed other kids,” he says. Barsky heard a lot of raw bigotry, but also very honest statements about why peo- ple felt their way of life was being threatened. “There was a clan- nishness, but also a sense of community.” The Boston trip fed Barsky’s enthusiasm for two things: re- porting and politics. Neither interest has waned. While at the Journal he played poker at the Players, a club in a townhouse on Gramercy Park founded by Mark Twain, Gen. William Tecumseh Sherman, and the actor Edwin Booth (brother to John Wilkes). Barsky’s friend, the literary agent Chris Calhoun, recalls he some- times forgot to take off his work ID badge and would play with it draped across his chest. (Barsky insists that he would never have done so on purpose.) As a player, Calhoun says that Barsky “was constantly raising to get rid of the watchers. When he played a hand, he was committed to winning it. That’s the kind of guy you want to play with.” Barsky often won. At the age of 35, Barsky faced what he calls a mid-career cri- sis. He had a family and was fully ensconced in New York City. His dreams, like working as a foreign correspondent, didn’t make sense anymore. He left the Journal and began covering FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 6 9/4/13 2:33 PM Neil Barsky 7 of 15 Koch campaigning for New York governor in 1981; he lost to Mario Cuomo in the primary. FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 7 9/4/13 2:33 PM Neil Barsky 8 of 15 commercial real estate and the gaming industry for Morgan Stanley. Within a year he was ranked one of Institutional Inves- tor’s All-Star Analysts. In 1998 he started a hedge fund with fel- low Morgan Stanley alum Scott Sipprelle called Midtown Research, which grew to over $1 billion in assets under man- agement. The two parted ways when Barsky wanted to open his own fund in 2002. “Neil’s taken risks I would have judged to be foolish, and he’s succeeded at all of them,” says Nick Goldberg, the editor of the Los Angeles Times’ editorial pages and a friend since high school. When they were teenagers, Goldberg recalls a time when he and Barsky bought beer and resold it to concert-goers in Central Park. “He’s always had an entrepreneurial spirit,” Goldberg says. ARSKY IS SLOUCHY. He is folded into his chair, jacket scrunched up around his armpits, golf shirt askew. “I failed at everything I ever tried,” he says. “I graduated from Oberlin and couldn’t get a job in journalism. I went to Columbia Journalism School, andB it took me a while to get my momentum. When I wanted to start my first hedge fund, it took a while to raise money. This docu- mentary took two years. You know those Harvard Crimson guys who at 22 go to the New York Times and never look back? That’s not me.” Then he adds, “But I guess that’s not a bad thing.” Barsky’s friends sigh when I ask about this string of perceived failures. “It’s in his own mind,” says Josh Quittner, a former jour- FORTUNE September 16, 2013 BAR.V.09.16.13.XMIT.indd 8 9/4/13 2:33 PM Neil Barsky 9 of 15 Barsky says he relied on editor Juliet Weber and producer Jenny Carchman while making Koch.