Exploring distressed equity and credit for opportunities that can generate above average returns for institutional investors isn't always easy. However, if you can identify a catalyst to bring those distressed investments back to life then, your returns can generate huge upswings. That's the mission for our next guests on the Thematic Investors podcast. Listen in to hear more on the approach Plus Tick Management uses today.
Kieran Cavanna, Host of Thematic Investors Podcast Series
Exploring the depths of distressed investing can occasionally uncover undeniable proof that the asset is far from lifeless, revealing a scenario much more promising than the market price once suggested. All it takes is a catalyst to turn a dead investment into an opportunity with huge asymmetric returns.
In the latest episode of the Thematic Investors podcast, host, Kieran Cavanna, Chief Investment Officer and Co-Founder, Old Farm Partners sits down with the ‘dynamic duo’ of PlusTick Management LLC - Tommy Hill, Managing Partner and Portfolio Manager, and Adrian Keevil, Managing Partner and Portfolio Manager.
Tommy and Adrian discuss:
- investment risk taking and what it truly mean to be a distressed investor when you’ve beaten the MSCI World benchmark.
- their distressed flags that they target to highlight a potential investment opportunity and why they’re constantly swinging the bat to hit winners out of the park while insulating them from any larger losses.
- how investing in one distressed investment (regardless of oil, gas, AI, datacenters, telecom, etc) could lead to many other investments that have been overlooked, yet hold an opportunity for stronger upswings.
- the application of models to aid their thesis in distressed opportunities and how to understand the business, key stakeholders, outstanding litigation cases, and more.
- what is stakeholder theory and how it can help predict what a distressed opportunity will look like in the future.
- why they largely ignored early investing advice from past mentors, stating ‘nothing with wheels’, and how it played out with American and US Air.
- And more
All opinions expressed by Tommy Hill, Managing Partner, and Senior Portfolio Manager, and Adrian Keevil, Managing Partner, of PlusTick Management, LLC in this podcast (the “Podcast”) are solely their own opinions and do not necessarily reflect the opinion of PlusTick Management, LLC. This Podcast is for informational purposes only and should not be relied upon as a basis for investment decisions. Clients of PlusTick Management, LLC may maintain positions in the securities discussed in this Podcast. This is not an offer to sell, nor a solicitation of an offer to buy, any security in any fund managed by PlusTick Management, LLC. The statements and opinions contained herein may change at any time, based on market or other conditions. This Podcast includes forward-looking statements, including projections of future economic conditions, and information that is provided for illustrative purposes. PlusTick Management, LLC does not make any representation, warranty, guarantee, or other assurance whatsoever that any of such forward-looking statements will prove to be accurate.
Connect with Tommy Hill and Adrian Keevil
Plus Tick Management LLC
Thomas J. Hill is Managing Partner of the Investment Manager and the General Partner. He is responsible for investing activities at the fund, including investment selection, portfolio management and trading activities. Prior to founding PlusTick, Hill spent 22 years as a partner of New Generation Advisors, a distressed securities hedge fund manager that he cofounded in 1990. Prior to New Generation, Hill worked on the floor of the NYSE for Merrill Lynch, for Alex Brown & Sons and Hambrecht & Quist in Boston, as well as for briefly Wheat, First Securities in Virginia. He earned a BA from the University of Virginia in 1979.
Adrian Keevil is a partner and investment manager for PlusTick Partners, a distressed securities hedge fund based in Charlottesville. He joined PlusTick at its founding in 2012 and is responsible for security analysis and assists with portfolio management. He has developed a methodology for security analysis based on behavioral stakeholder theory, which informs investment decisions at PlusTick. Prior to joining PlusTick, he spent 10 years in corporate development and private equity.
He earned a B.A. from Yale, an MBA from the University of Virginia’s Darden School of Business with highest distinction (Shermet Award Recipient) and a Ph.D. from the University of Virginia’s Darden School of Business. He is a Senior Fellow at the Olsson Center for Applied Ethics and currently serves on the board of trustees for the Music Resource Center and St. Anne’s-Belfield School.
Kieran Cavanna is the Co-Founder and CIO of Old Farm Partners. Old Farm is a hedge fund allocation firm focusing on small and mid-sized hedge funds, as well as co-investment opportunities with $600m under management. Prior to Old Farm, Mr. Cavanna worked at Soros Fund Management where he served as the Head of the External Manager Selection team. Mr. Cavanna and his team performed due diligence on and allocated to a select group of hedge funds that deployed a wide variety of hedge fund strategies. Prior to Soros, Kieran was a Partner and the Head of Research at Titan Advisors, a $5b fund-of-hedge funds. In total Mr. Cavanna has been allocating to hedge funds for 18 years. Mr. Cavanna started his financial career at KPMG Consulting as Senior Analyst. Mr. Cavanna graduated from the University of Richmond with a BA and received an MBA from Vanderbilt University.
Please note, the information covered and posted represents the views and opinions of the guest, and does not necessarily represent the views or opinions of Vidrio Financial and or our host, Kieran Cavanna. The content has been made available for informational and educational purposes only. The content is not intended to be a substitute for professional investing advice. Always seek the advice of your financial advisor or other qualified financial service provider with any questions you may have regarding investment planning.
