Director's Report – Spring 2015

Total Page:16

File Type:pdf, Size:1020Kb

Director's Report – Spring 2015 TheExchang e NEWS FROM THE FINANCIAL ECONOMICS INSTITUTE AT CLAREMONT MCKENNA COLLEGE CMC PRESIDENT VOLUME 19, SPRING 2015 Hiram E. Chodosh RDS BOARD OF ADVISORS Director’s Report Peter K. Barker ’70 P’01 (Co-Chair) by Joshua Rosett JP Morgan Chase & Co. (Retired) James B. McElwee ’74 P’12 (Co-Chair) Independent Venture Capitalist THE 2014-15 Economics for his thesis titled 10b5-1 Plans Gary Birkenbeuel ’80 academic year and Earnings Management by High-Level Ernst & Young proved successful for Executives , in which he showed that firms J. Baxter Brinkmann P’16 the FEI as we manipulate earning ahead of stock The Brinkmann Corporation continued existing transactions under these plans in order to Jose Campos ’91 programming and obtain favorable pricing at transaction time. Deloitte & Touche LLP began looking to We would also like to note that one of our Heidi Nelson Cruz ’94 expand our reach in FES graduating seniors, T. Connor Schlegel, Goldman Sachs & Co. some directions. was awarded the Best Thesis in Economics, Nicholas P. Daifotis ’79 P’17 Joshua Rosett Regarding for his thesis on Strategic Risk Taking in RBC Capital Markets, LLC (Retired) continuing programming, we employed 32 Tournaments through the Lens of PGA Match Alan M. Delsman ’68 students during the Fall and Spring Play . Another FES graduating senior, Elan Deutsche Bank AG semesters, hired 8 full-time RAs last summer Bernstein, won the Outstanding Achievement Christopher Dodds P’13 P’15 and we’ve hired 7 full-time RAs for this in Quantitative Economics award. A past FEI The Carlyle Group summer, co-sponsored and participated in RA and current BMGI/Michael Larson Asset Maureen Downey ’93 the New York City Networking Trip, helped Pantheon Ventures organize and sponsored a pitch event for the See Director’s Report on page 2 Russell Greenberg ’79 CMC Student Investment Fund and two Altus Capital Partners finance conferences, brought in Randall Christopher D. Harris ’98 Kroszner as an Athenaeum speaker, and In This Issue: Damitz, Brooks, Nightingale, Turner, and Morrisset continued to support students by providing Alan C. Heuberger ’96 PG 2: Directors’ Report Continued; tutors for the Bloomberg Terminal as well as BMGI FEI Summer RAs & 2015-2016 Excel, Python, and Stata. On the initiative Stella Ho ’97 BMGI/Larson Fellows Moelis & Company front, we expanded programming in several PG 3-4: Andrew J. Kaiser P’13 areas, including data and tutoring support, 2015 NYC Networking Trip local finance-related programming, social Goldman Sachs Bank USA PG 5: Spring 2015 Student Research impact support (co-sponsoring a trip by 17 Christine Huk Mann ’87 Analysts Goldman Sachs & Co. CMC students to attend a conference and I. Joseph M. Massoud ’89 training program regarding local micro- PG 6 : SIF’s Claremont Finance Conference Anholt Services (USA) Inc. finance via the In-Lend organization), and PG 7: FEI Affiliated Faculty Publications Susan Matteson-King ’85 participated in the Research Institute Fair on Allianz Global Investors campus on April 3rd (we thank Ed Leathers PG 8: Recognizing FEI Seniors Therese Mrozek P’15 ’15, for his excellent representation of the Weston Presidio FEI at the event). PG 9: Recognizing FEI Seniors Continued; Thomas B. Neff ’76 During the 2014-15 academic year, 11 Randall Kroszner Speaks at the Ath FibroGen, Inc. students successfully completed the Financial PG 10: Where Will FEI Students Be John R. Shrewsberry ’87 Economics Sequence, and Joshua Thomas Working?; Upcoming Events Wells Fargo & Company won the prize for Best Thesis in Financial Robert P. Thomas ’99 The George Kaiser Family Foundation Julius Wang P’14 P’15 Samena Asia Managers FEI DIRECTOR Joshua Rosett ADMINISTRATOR Brian Dennis The Financial Economics Institute fosters education and research in financial economics by ASSISTANT TO THE DIRECTOR offering a unique undergraduate curricular program, the Financial Economics Sequence, Terri L. Van Eaton supporting state-of-the-art databases, and encouraging student-faculty interaction on research. 2 THE FINANCIAL ECONOMICS INSTITUTE to the President, and from 2006 to 2009 As noted in the Fall newsletter, we hired Director’s Report from page 1 served as a Governor of the U.S. Federal Aviv Caspi ’16 to provide Python tutoring Reserve System. As such, he played an and support, and he assisted in a senior Management Fellow, Andrew Dodds, won important role in the Fed’s actions to thesis analyzing text components as part of a the award for Best Senior Overall. The mitigate the financial crisis that began in broader analysis of project financing via awards were announced at the Robert Day 2008. His talk at the Athenaeum focused on crowdfunding site Kickstarter. We are also School of Economics and Finance Awards the Fed’s responses to the financial crisis, as in negotiations with an outside group to Night at the Athenaeum on May 4th. well as initiatives to improve the stability of provide support for development of access Our previous report noted the Fall the financial sector and provide consumer to CommonCrawl, a web imaging project, 2014 Southern California Finance protection and disclosure for credit cards for projects in finance. Conference organized by Professors Mitch and mortgages. The Lowe Institute of Second, during the Spring semester, we Warachka and Eric Hughson, with keynote Political Economy co-sponsored Professor had two teams working on projects in local speaker Professor Ivo Welch of UCLA, as Kroszner’s visit to CMC. finance, one team constructing indices by well as the Student Investment Fund pitch In January, the FEI and RDS jointly geographic and industrial sectors for event including representatives of BMGI sponsored the New York City Networking publicly traded firms headquartered in and WestRiver Capital. We followed those Trip, taking 14 students to see a range of California. A second team began research up this Spring by helping to organize the firms across a variety of service types and on measures of deal activity in California, Student Investment Funds’ Claremont sizes within the financial sector. A highlight leveraging as one source of information one Finance Conference on February 13, 2015, was our visit to the floor of the New York of the new databases purchased last Fall. co-sponsored with the Pomona College and Stock Exchange. Several students These will appear on our new website, Scripps College Student Investment Funds. interviewed with firms while on the trip, slated to go online later this year. Though The conference included a luncheon at the and some will be doing their summer not yet begun, we also plan a real estate Athenaeum with a Keynote talk by Don internships this summer with firms we analysis component for Southern California Gould ’79 POM, President and Chief visited in January. We thank Michelle real estate segments. Investment Officer at Gould Asset Chamberlain for her excellent work Looking to next year, we anticipate Management, panel sessions at the organizing and leading the trip. working more closely with the CMC Freeberg Forum, a networking and cocktail During the year, we made progress on Student Investment Fund on several reception, and dinner at the Athenaeum several initiatives. First, regarding data, we aspects of our programming. Our tentative with Keynote Speaker Shaw Wagener ’81, reviewed our existing data offerings (we plans include collaboration in bringing Chairman at Capital Group International thank Gabriel Ayala ’16 for his excellent FEI/SIF alumni to campus for information and CMC Trustee. The event was co- work compiling this review) during the year sessions, and SIF participation in financial sponsored by the Robert Day School of and added two new databases from Bureau literacy training. Economics and Finance. Van Dijk noted in our Fall report. We Finally, in closing, on behalf of myself As part of the FEI Speaker Series, the subsequently sponsored a video conference and the many students and faculty who have Institute brought Randall S. Kroszner to training session for our faculty and students benefitted from the FEI’s activities this year, CMC as an Athenaeum speaker the evening provided by a Bureau Van Dijk support I thank both Terri Van Eaton and Brian of February 12, 2015 (see article on page 9). specialist. We consider data to be a high Dennis for their excellent work at the FEI. Kroszner is the Norman R. Bobins priority for the FEI, and over the summer Also, as always, I am grateful to the Robert Professor of Economics at the University of will be looking to add several additional Day School Board members and others for Chicago’s Booth School of Business, twice databases. We are also pursuing a strategy their generous contributions which make served on the Council of Economic Advisers for incorporation of big data into the FEI. these activities possible. L Congratulations to the FEI Congratulations to the 2015-2016 BMGI/ Summer 2015 Research Analysts: Michael Larson Asset Management Fellows: AMBERISH CHITRE ’18, Economics major RACHEL DOEHR ’16, Economics major with the Financial Economics QIANYUN “CAROLE” GAO ’17, Economics/Psychology dual Sequence major BRIAN ECKHARDT ’16, BA/MA – BA degree in Economics, Master’s PHILLIP JAUREGUI ’17, Psychology/Economics dual major degree in Finance KANISHK KAPUR ’18, Economics-Accounting major with the AMBER FALKNER ’16, BA/MA – BA degree in Economics, Master’s Financial Economics Sequence degree in Finance MINGDA LIU ’17, Economics-Accounting major SEAN SAKAGUCHI, PPE/Economics-Accounting dual major with the CHENGWU “HARRIS” XUAN ’17, Economics major Financial Economics Sequence YI “NORA” ZHANG ‘17, Economics/Mathematics dual major ALBERT XU ’17, Economics and Philosophy double major CLAREMONT MCKENNA COLLEGE 3 2015 New York City Networking Trip By Brian Delaney ’16 and Kaitlyn Kelleher ’17 THIS JANUARY, THE FINANCIAL ’01 introduced Goldman’s Securities Division benefits of a liberal arts education for an Economics Institute and the Robert Day to the group.
Recommended publications
  • Deal Flow Report 2018 Idaho
    2018 IDAHO DEAL FLOW REPORT Deal Flow Report Presented by Deal Flow Opening Notes The Idaho Technology Council is pleased to present the 2018 Idaho Deal Flow Report! This is our fifth annual report, showcasing many of the companies that are starting, growing, and thriving in Idaho. The report confirms that Idaho continues to experience rapid growth and to be one of the best places in the country to do business! The data collected demonstrates the strong Idaho economy which is driving a demand for more talent and supports increased capital investment. Presenting Sponsor Hosting Sponsor In 2018, Idaho was recognized as the fastest growing state in the country. Idaho’s businesses are receiving increased attention and investment dollars from capital providers within the state and from around the country. More venture capital, private equity and angel funds are coming to Idaho to find new investment opportunities in Idaho companies. We want to recognize the many capital providers, service providers, and supporters of the Idaho entrepreneurial ecosystem, and especially the entrepreneurs and innovators who make Idaho such a great place! The most rewarding trend that we’ve seen over the last five years is the Sponsors reinvestment into the local economy by the entrepreneurs who have successful built and sold their business and used a portion of the funds to reinvest into the next generation of entrepreneurs and businesses. This trend is propelling Idaho’s growth even further and we believe it is key to Idaho’s future success. Community Venture Sponsors We would like to thank the members of this year’s Deal Flow Committee, and the various sponsors who supported our efforts, and congratulate the companies whose transactions are featured in this year’s report.
    [Show full text]
  • 2002 Comprehensive Annual Financial Report (CAFR)
    Pennsylvania State Employees’ Retirement System • 2002 Comprehensive Annual Financial Report State Employees’ Retirement System A Component Unit of the Commonwealth of Pennsylvania COMPREHENSIVE ANNUAL FINANCIAL REPORT for the year ended December 31, 2002 State Employees’ Retirement System P.O. Box 1147 Harrisburg, PA 17108-1147 Including the Independent Auditors’ Report of Financial Statements for the years ended December 31, 2002 and 2001 State Employees’ Retirement System A Component Unit of the Commonwealth of Pennsylvania COMPREHENSIVE ANNUAL FINANCIAL REPORT for the year ended December 31, 2002 John R. Brosius Francis J. Donlevy Executive Director Director, Office of Financial Management State Employees’ Retirement System 30 North Third Street • P.O. Box 1147 Harrisburg, PA 17108-1147 Including the Independent Auditors’ Report of Financial Statements for the years ended December 31, 2002 and 2001 COMMONWEALTH OF PENNSYLVANIA STATE EMPLOYEES’ RETIREMENT SYSTEM 30 NORTH THIRD STREET P. O. BOX 1147 HARRISBURG, PENNSYLVANIA 17108-1147 PHONE HARRISBURG: (717) 787-6293 NICHOLAS J. MAIALE CHAIRMAN June 2003 Honorable Edward G. Rendell, Governor Commonwealth of Pennsylvania Members, Pennsylvania General Assembly Members, Pennsylvania State Employees’ Retirement System Dear Governor Rendell, Legislators and Members: The Board of Trustees of the Pennsylvania State Employees’ Retirement System (SERS) is pleased to present our Comprehensive Annual Financial Report (CAFR) on the SERS Fund for calendar year 2002. Within the CAFR, you will find relevant financial, investment, and actuarial reports with introductions from SERS management and the funds’ consulting actuary. Given the state of global investment markets and overall financial environment, SERS continues to encounter many challenges. However, as a result of long-term investment portfolio planning and the prudent management of Fund assets, the System is well prepared to meet its obligations and again this year maintains the fully funded status it has enjoyed since 1992.
    [Show full text]
  • Investment Committee Meeting Packet
    Alameda County Employees’ Retirement Association BOARD OF RETIREMENT INVESTMENT COMMITTEE/BOARD MEETING ACERA MISSION: To provide ACERA members and employers with flexible, cost-effective, participant-oriented benefits through prudent investment management and superior member services. Wednesday, June 12, 2019 9:30 a.m. LOCATION COMMITTEE MEMBERS ELIZABETH ROGERS, CHAIR ELECTED GENERAL ACERA C.G. “BUD” QUIST BOARD ROOM TARRELL GAMBLE, VICE CHAIR APPOINTED 475 14TH STREET, 10TH FLOOR OAKLAND, CALIFORNIA 94612-1900 DALE AMARAL ELECTED SAFETY MAIN LINE: 510.628.3000 FAX: 510.268.9574 OPHELIA BASGAL APPOINTED KEITH CARSON APPOINTED JAIME GODFREY APPOINTED LIZ KOPPENHAVER ELECTED RETIRED HENRY LEVY TREASURER GEORGE WOOD ELECTED GENERAL NANCY REILLY ALTERNATE RETIRED1 DARRYL L. WALKER ALTERNATE SAFETY2 Should a quorum of the Board attend this meeting, this meeting shall be deemed a joint meeting of the Board and Committee. The order of agenda items is subject to change without notice. Board and Committee agendas and minutes are available online at www.acera.org. Note regarding public comments: Public comments are limited to four (4) minutes per person in total. Note regarding accommodations: The Board of Retirement will provide reasonable accommodations for persons with special needs of accessibility who plan to attend Board meetings. Please contact ACERA at (510) 628-3000 to arrange for accommodation. 1 Alternate Retired Member (Votes in the absence of the Elected Retired Member, or, if the Elected Retired Member is present, then votes if both Elected General Members, or the Elected Safety Member and an Elected General Member, are absent. 2 Alternate Safety Member (Votes in the absence of (1) the Elected Safety, (2) either of the two Elected General Members, or (3) both the Retired and Alternate Retired Members).
    [Show full text]
  • Capstone Partners Investment Banking Advisors
    Juvenile Products Buyer Snapshots “Market Intelligence for Industry Players” Q3 2012 Capstone Partners Investment Banking Advisors BOSTON | CHICAGO | LOS ANGELES | PHILADELPHIA | SAN DIEGO | SILICON VALLEY Juvenile Products Buyer Snapshots CORPORATE AND PRIVATE EQUITY BUYERS ACTIVE The Juvenile Products industry has been enjoying a healthy level of M&A activity, with acquirers seeking to build product offerings, capture market share and secure new brands via acquisitions. While both corporate and private equity buyers are active in the space, CAPSTONE PARTNERS LLC 176 Federal Street we note the plethora of private equity groups that are targeting consumer products 3rd Floor companies, including those focusing on juvenile products. Boston, MA 02110 Private equity buyers have had a long-time attraction to the sector, primarily due to the www.capstonellc.com product innovations of smaller companies and the draw of orphan brands. Smaller companies in the juvenile products industry are known to invent entirely new product categories or to build a better mousetrap in an existing class. Such companies are ideal targets for private equity sponsors with the financial resources and operational JUVENILE PRODUCTS TEAM wherewithal needed to build a sizable company in the category. These private equity sponsors often look to combine several orphan brands into one powerhouse entity that John Ferrara can later be taken public or sold to a large corporate buyer. As a result, they are typically President, Managing Partner looking for acquisitions that can serve as either an initial platform investment or as a (617) 619-3325 [email protected] complementary add-on to an existing holding. Private equity firms are actively seeking sound investments in the sector with the belief Jacob Voorhees that it will benefit from a strengthening economy as well as the stable growth, high Director, Principal (617) 619-3323 margins and strong brand equity in this sector.
    [Show full text]
  • Patient Capital: the Challenges and Promises of Long-Term Investing
    CONTENTS Preface: Private Capital 101 ix Acknowledgments xiii 1 The Need for Investing Long- Term 1 What Is Long- Term Investing and Why Is It Needed? 7 The Challenges of Long- Term Investing 13 Road Map for the Book 18 Final Thoughts 23 2 The Most Important People in the Room 24 Endowments and the Centrality of Equity 25 Families and the Embrace of Illiquid Funds 30 Scaling Up and the Focus on Funds 35 Back to the Future 40 Final Thoughts 45 3 The Long- Term Conundrum 47 Appearance versus Reality 48 The Great Gazelle Hunt 56 Final Thoughts 70 4 Investing as If the Long Term Mattered 71 Governance 79 Measurement 85 Incentives 90 VI • CONTENTS Communication 94 Final Thoughts 98 5 The Genesis of Private Capital 99 The Pioneer of the Professional Long- Term Investment 100 Creating the Fund Model 105 The Broadening of Private Capital 108 Premature Expansion 113 The Scaling of Private Capital 117 Final Thoughts 123 6 The Fund Manager’s Challenge 124 The Design of Incentives 128 The Impact of Growth 136 Passing the Baton 142 Recent Initiatives: Is the Cure Worse Than the Disease? 146 Final Thoughts 154 7 Revisiting the Private Capital Partnership 155 A Benchmark and an Upstart 156 Building Flexibility 160 Governance 165 Measuring Performance 167 Structuring Rewards 171 Final Thoughts 173 8 The Best (or Worst) of Both Worlds 174 Why Go Direct? 175 What Are the Challenges? 178 Best Practices 192 CONTENTS • VII 9 The Future of Long- Term Investing 197 A Healthy Private Capital Industry 199 Déjà Vu All Over Again 203 The Limited Partners’ Desertion 205 A Broken Industry 207 Getting to the Upper Left Scenario 208 Wrapping Up 213 Notes 215 Index 239 CHAPTER 1 The Need for Investing Long- Term Long- term investing has never been more important than today.
    [Show full text]
  • Download Marketing, Media, and Technology Industries
    M&A and Investments Review DEAL Marketing, Media, and Technology NOTES Industries 3,037 Transactions Totaling $169.8 Billion in 2016 Overview 1 Segment Analysis Digital Media/Commerce was the Most Active Segment with 1,229 Digital Media/Commerce 6 Transactions, Followed by Marketing Technology with 980 Transactions Digital Advertising 7 Marketing Technology 8 Digital Media/Commerce was the Highest Value Segment with $72.4 Billion in Reported Deal Value Agency & Marketing Services 9 Traditional Media 10 Selected Recent Transactions 11 During 2016, Petsky Prunier tracked 3,037 M&A and investment transactions for a total of $169.8 billion About Petsky Prunier 12 in reported value across five broad segments: Digital Media/Commerce, Digital Advertising, Marketing Technology, Agency & Marketing Services, and Traditional Media. Digital Media/Commerce and Marketing Technology were the most active segments with 1,229 and 980 transactions, respectively, while Digital Media/Commerce was the highest reported value segment totaling $72.4 billion. [continued on page 2] Marketing, Media, and Technology Industries Marketing, Media, and Technology Industries 4Q15-4Q16 M&A and Investment Activity 2016 M&A and Investment Activity ($ in Billions) ($ in Millions) * Transactions valued at $6 billion or more have been excluded from totals to limit comparative distortions. The aggregate total for 2Q16 does not include Microsoft’s $26.2 billion acquisition of LinkedIn and Tencent’s $10.2 billion acquisition of Supercell. Securities offered through Petsky Prunier Securities, LLC 1 Deal Notes Second Half 2016 [continued from page 1] M&A Activity Acquisitions accounted for 43 percent of total transactions and 66 percent The majority stake taken by Advent International in Ansira Partners, a leading of reported value in 2016.
    [Show full text]
  • National Venture Capital Association
    YEARBOOK 2016 NATIONAL VENTURE CAPITAL ASSOCIATION INCLUDING STATISTICS FROM THE PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Reuters 2016 National Venture Capital Association Yearbook | 1 March 2016 Dear Reader: We are delighted to present the 19th edition of NVCA’s annual Yearbook, which docu- ments trends and analyses from the past year and summarizes the recent history of the venture capital ecosystem in the United States. Since the very first edition, the ecosystem has evolved and much has changed. One thing that has not changed, however, is NVCA’s commitment to bringing accurate and responsible transparency to this powerful economic force called venture capital. This publication provides commitment, investment, and exit activity data on the ecosys- tem to tell the story and convey the impact of venture capital in the United States. For the entrepreneurial ecosystem, highlights from 2015 include: • Venture capital firms raised $28 billion through 236 funds, 93 of which were new funds; • Nearly $60 billion in venture capital was deployed across 4,380 deals, with more than 1,400 companies receiving venture investment for the first time; • Venture capital investment spanned 133 Metropolitan Statistical Areas across 46 states and the District of Columbia; • Corporate venture groups deployed over $7.7 billion in 930 deals; • Growth equity deals attracted over $20 billion through 460 investments; and • Seventy-seven venture-backed companies went public, raising an aggregate of $9.4 billion. The ecosystem remains robust, covering a vast range of stages, geographies, sectors, and players. Though it continues to evolve, the industry’s goal remains the same: to create fast-growing and sustainable companies and introduce new technologies across a range of sectors, while providing an attractive return to those who trust the industry with their capital.
    [Show full text]
  • In Your Own Backyard: Investment Opportunities in Emerging Domestic Markets
    GREGORY B. FAIRCHILD Assistant Professor of Business Administration Darden Graduate School of Business Administration University of Virginia IN YOUR OWN BACKYARD: INVESTMENT OPPORTUNITIES IN EMERGING DOMESTIC MARKETS Council of Urban Investors Institute Connecting Communities with Capital The Council of Urban Investors Institute Council of Urban Investors Institute Board of Directors: Connecting Communities with Capital Daphne Dufresne Principal Weston Presidio Capital Wanda Felton Dear Friends, Director Credit Suisse First Boston The Council of Urban Investors Institute (CUI Institute) is Jay Ferguson pleased to sponsor this informative report on investment Partner opportunities in America’s Emerging Domestic Markets Kline Hawkes & Co. (EDM). Founded in 2002, The CUI Institute was established Jacques Garibaldi to facilitate independent fact-based research to address the Royal Capital Management most important issues shaping the debate on investment with emerging managers in EDMs. We believe that EDMs Christopher C. Graham represent an exciting asset category within alternative Consultant Salomon Smith Barney investments that has tremendous investment opportunity. Lloyd Metz Your interest underscores your commitment to expanding Principal the reach of institutional capital deeper into the growing ICV Capital Partners community of emerging investment managers in EDMs. Joyce Johnson Miller We hope that you will find this research interesting and Managing Partner thought-provoking and will help us communicate the JME Opportunity Partners importance of the opportunity presented by EDMs to the Tarrus Richardson broader marketplace. Managing Director ICV Capital Partners We look forward to working with you to encourage the implementation of the recommendations advanced by Frank Rodriquez Vice President this report as well as developing new opportunities to Joseph Littlejohn & Levy realize the vast potential in America’s Emerging Domestic Markets.
    [Show full text]
  • Private Equity Performance
    LOS ANGELES CITY EMPLOYEES’ RETIREMENT SYSTEM DECEMBER 31, 2007 ALTERNATIVE INVESTMENT REVIEW GSB Building One Belmont Ave, 9th Floor Bala Cynwyd, PA 19004 www.hamiltonlane.com P 610 934 2222 F 610 617 9855 Los Angeles City Employees’ Retirement System December 31, 2007 Table of Contents Section 1: Market Update 1-1 - 1-7 Section 2: Portfolio Update 2-1 - 2-7 Section 3: Portfolio Assessment Performance Summary By Investment 3-1 - 3-3 Performance Summary By Category 3-4 Private Equity Benchmark 3-5 - 3-6 Section 4: Portfolio Analytics Commitments By Vintage Year 4-1 Portfolio Diversification as Measured by MV of Funded Commitments and Unfunded Commitments (managed by HL and PCA) 4-2 Portfolio Diversification as Measured by MV of Funded Commitments and Unfunded Commitments (managed by HL) 4-3 Portfolio Diversification as Measured by MV of Funded Commitments (managed by 4-4 Public vs. Private Holdings 4-5 Cost and Fair Market Value (Exposed Market Value) of Portfolio Holdings 4-6 Appendix A: Glossary of Terms Appendix B: Disclosure Statements Los Angeles City Employees’ Retirement System December 31, 2007 Section 1 Market Update Los Angeles City Employees’ Retirement System December 31, 2007 Market Update 2007 Year in Review Private equity in 2007 was record-breaking in several ways. Private equity firms raised more funds, did more leveraged buyouts and executed the largest-sized deals ever. The credit turmoil that developed around mid-year last year might have made a few of those records the high water mark for now. However, U.S. banks have made progress on the overhang of leveraged buyout loans, paring their exposures to $129 billion from $163 billion at the beginning of the year.
    [Show full text]
  • Nber Working Paper Series Pay Now Or Pay Later?: The
    NBER WORKING PAPER SERIES PAY NOW OR PAY LATER?: THE ECONOMICS WITHIN THE PRIVATE EQUITY PARTNERSHIP Victoria Ivashina Josh Lerner Working Paper 22660 http://www.nber.org/papers/w22660 NATIONAL BUREAU OF ECONOMIC RESEARCH 1050 Massachusetts Avenue Cambridge, MA 02138 September 2016 We thank participants in the CalTech/USC Private Equity Finance Conference, the London Business School Private Equity Symposium, Ashwini Agrawal (discussant), Yael Hochberg (discussant), Anna Kovner, Edward Lazear, Ludovic Phalippou and a number of seminar participants at various schools and practitioners for helpful comments. Grace Kim, Andrew Green, Lucy Zhang, Yulin Hswen, and Kaveh Motamedy provided remarkable assistance with the analysis. Harvard Business School’s Division of Research and the Private Capital Research Institute provided support for this project. One of the authors has advised institutional investors in private equity funds, private equity groups, and governments designing policies relevant to private equity. All errors and omissions are our own. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research. NBER working papers are circulated for discussion and comment purposes. They have not been peer-reviewed or been subject to the review by the NBER Board of Directors that accompanies official NBER publications. © 2016 by Victoria Ivashina and Josh Lerner. All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit, including © notice, is given to the source. Pay Now or Pay Later?: The Economics within the Private Equity Partnership Victoria Ivashina and Josh Lerner NBER Working Paper No.
    [Show full text]
  • Evolution Managers Capital Backs Conanicut Capital, a New Private
    EVOLUTION MANAGERS CAPITAL BACKS CONANICUT CAPITAL, A NEW PRIVATE EQUITY FIRM LED BY VETERAN INVESTOR JARED PAQUETTE Represents Inaugural Investment by EMC’s Platform For Emerging Private Equity Managers Conanicut Brings Long-Term Investment Focus to Underserved Lower-Middle Market Business Services Companies CHICAGO & BOSTON – March 9, 2020 – Evolution Managers Capital (“EMC”), a platform for emerging private equity managers to launch their own investment efforts, today announced the backing of a new private equity firm, Conanicut Capital LLC (“Conanicut”). Conanicut will make investments in lower-middle market business services companies ranging in size from $3 to $15 million of EBITDA. EMC was formed in October 2019 by HC Private Investments (“HCPI”), a Chicago-based private investment firm, and Landon Capital Partners (“LCP”), a Boston-based family office, and provides financial backing and support to private equity managers who are focused on lower-middle market businesses. HCPI Managing Partners, John Kelly and Matthew Moran, and LCP Managing Partner, Chris Sullivan, serve as co-Managing Partners. Led by veteran middle market investor, Jared B. Paquette, Conanicut was founded as an alternative to the traditional private equity model given its highly patient and flexible capital base and long-term investment horizon. Conanicut’s strategy is to partner with existing owners and management teams in the business services sector to help their companies achieve scale and reach their growth potential. Prior to founding Conanicut Capital, Mr. Paquette was a senior investment professional with Bunker Hill Capital and held positions at Nautic Partners and Weston Presidio. “We are delighted to partner with Jared Paquette, a highly experienced and successful investor, to launch Conanicut Capital, the first firm on the Evolution Managers platform,” said Messrs.
    [Show full text]
  • Prepare for the Insurtech Wave
    September 2016 Financial Technology Partners Prepare for the InsurTech Wave Overview of Key Insurance Technology Trends The Only Investment Bank Focused Exclusively on Financial Technology © 2016 Steve McLaughlin Founder & CEO OVERVIEW OF FT PARTNERS Tel: 415.992.8880 [email protected] FT Partners – Focused Exclusively on FinTech www.ftpartners.com • Financial Technology Partners ("FT Partners") was founded in 2001 and is the only investment banking firm focused exclusively on FinTech with offices in San Francisco and New York • Founder and CEO, Steve McLaughlin, was formerly a senior investment banker in Goldman Sachs & Co.'s Financial FT PartnersTechnology –GroupFocused and Financial Exclusively Institutions Group on inFinTech New York and San Francisco • Named Investment Banking Firm of the Year in 2016 & Deal maker of the Year in 2015 along with Deal of the Decade and many more industry awards and accolades FT Partners’ Advisory Capabilities FT Partners’ FinTech Research Named Silicon Valley’s #1 FinTech Ranked #4 Most Influential Person in Numerous Awards for Transaction Banker (2016) and ranked #2 Overall all of FinTech in Institution Investors Excellence including by The Information “FinTech Finance 35” “Deal of the Decade” 2 INSURANCE TECHNOLOGY TRENDS Table of Contents I. Executive Summary ............................................................................................... 5 Click title to skip to section II. Industry Overview and the Rise of InsurTech ...................................................
    [Show full text]