Capital Allocators – Inside the Institutional Investment Industry Jon Glidden - Delta Airlines Pension Fund Turnaround (EP.417)
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Nov 18, 2024 
Jon Glidden, CIO of Delta Air Lines, expertly transformed the airline's pension fund from a staggering $13 billion deficit to full funding status. In this discussion, he unveils the innovative strategies behind this turnaround, such as portable alpha and private equity. Drawing from his naval background, Jon recounts pivotal lessons in risk management and the importance of teamwork. He also shares insights on navigating financial challenges during crises like COVID-19, emphasizing governance and collaboration in investment decisions.
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Private Real Estate Internship
- During his internship at Lazard, Jon Glidden gained experience in private real estate.
- He learned the potential of undervalued assets and the impact of active management.
Four Forces
- Jon Glidden's investment philosophy is driven by four forces: private markets, portable alpha, portfolio construction, and governance.
- These forces combine to create a framework for achieving higher returns.
Interviewing for Delta
- When interviewing for the Delta CIO role, Jon Glidden emphasized a balanced portfolio, leverage, and aggressive alpha pursuit.
- This direct approach, even using potentially controversial terms, proved effective.