Who's on the Other Side?

Michael Mauboussin is the well-known investment strategist currently plying his wares at Blue Mountain Capital. He joined me for the second time to discuss his new research entitled “Who’s on the Other Side?”

Our conversation dives into the work, discussing how investors can focus on process over outcome, the four types of investment edges, behavioral traits of single and group portfolio managers, portfolio position weighting, informational edges available from paying attention and complexity, the principal-agent issues that create cycles and opportunities during dislocations, the growth of private markets, and implementing his research. We close with a discussion of data analytics in the game of lacrosse.