We believe true diversification combines not only stocks, bonds, and real estate — but also hedge funds, venture capital, private equity, commodities, and digital assets.

Within our investors’ broader portfolios, we aim to serve not only as a return-enhancer but also as a risk-reducer.

Take care of the downside, and the upside will take care of itself.

Perplexity innovating at intersection of investing and AI:

Jones on investing outlook: - Short-term rates will be lower 12 months from now - U.S. is in a debt trap - Inflation hedges are stocks, gold, and bitcoin - likes spending $4 billion to give newborns $1000 for investment accounts youtu.be/Bnrf4GgJxDU?si…

Who owns $29 trillion of U.S. debt?

David Swensen on what to look for in selecting fund managers: - High integrity - Unimpeachable character - Smart - Hard working - Obsessed with markets - Doesn’t define winning by getting as rich as possible - maniacally focused on beating markets (superior performance)

Some investment managers want to make it into the AuM Hall of Fame. Others want to make it into the returns Hall of Fame. We are the latter.

Alternative assets have moved from being optional to being essential. — JP Morgan Asset Management. youtu.be/DEJ0UOtbfls?si…

Picture this: Two assets. Same expected return. Same expected volatility. Zero correlation. Put them together in a portfolio and—wala—risk drops without diluting expected return. That’s the quiet superpower of diversification.

Investors deserve to sleep at night knowing that the magical risk-reducing properties of diversification are being fully and optimally utilized.

The number one rule of portfolio management is diversification. -Paul Tudor Jones youtu.be/Id2zHR269b8?si…

We believe that everyone deserves to have access to institutional-quality diversification (multiple managers and strategies spanning both traditional and alternative asset classes).

Hedge funds’ role as a risk-reducer within a diversified portfolio may never be more important than today, with elevated equity valuations, tight credit spreads, concentrated market leadership, and speculative exuberance that is palpable.

There are ~10,000 pools of capital in the world managing $1B+. Their portfolios go way beyond the stock market. They include hedge funds, private equity, venture capital, infrastructure, etc. Why? Not just to boost returns—also to reduce risk. That’s true diversification.

We believe optimal diversification goes beyond stocks, bonds, and real estate -- venture capital, commodities, crypto, and especially hedge funds all provide ways to not only enhance returns, but simultaneously diversify and mitigate overall risk.

Hedge funds are the uncorrected, stable foundation upon which we selectively layer riskier strategies.

This is one of our top 5 investment ideas for 2026. Full disclosure: we are long SKY and this post is not financial advice.

ChatGPT is great at asset allocation. Just ask it to help you do “mean variance optimization”.