Excess Returns

Hedge funds are typically considered a place where high net worth investors can invest in sophisticated investment strategies that the average investor doesn't have access to. But that has changed in recent years. More and more strategies that have typically been deployed via hedge funds can now be accessed via liquid, lower fee vehicles like mutual funds and ETFs.  In this episode, we speak with Dynamic Beta Investments founder Andrew Beer, who has been a leader in this evolution. We discuss the hedge fund industry and how it has changed over time and look at how hedge fund strategies can be replicated via liquid vehicles like ETFs. We also cover a wide range of other topics including managed futures, the future of the value factor and the evolution of Warren Buffett over time.  We hope you enjoy the discussion.  ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

In this edition of Show Us Your Portfolio, we speak with Dr. Daniel Crosby. Daniel is an expert an investor behavior and the Chief Behavioral Officer at Orion. We speak with Daniel about how he thinks about constructing his personal portfolio and the steps he takes to limit the negative effects of behavior in it. We also discuss his views on both equities and bonds and how he incorporates them into his strategy, how he thinks about 529 plans and college savings, his views on leaving money to his children, some of his biggest investing mistakes and a lot more.  We hope you enjoy the discussion.  ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

In this episode we talk Low Volatility investing with Pim van Vliet, who is the Head of Conservative Equities and Quantitative Equities at Robeco. Pim's book "High Returns From Low Risk: A Remarkable Stock Market Paradox" serves as the inspiration for one of the quantitative models we runon Validea. We discuss all things low volatility, including how to define it, why it works and the benefits of blending it with other factors. We also cover the recent struggles of value investing, how factors perform in different economic environments, the use of short-term signals and how factors perform when the short side of their performance is removed.  We hope you enjoy the discussion. ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

In this episode of Show Us Your Portfolio, we speak with SpotGamma founder Brent Kochuba. We had Brent on the podcast previously in episode 151 where we discussed the impact of the options market and option dealer flows on stocks. In this episode, we talk about how Brent uses that expertise to construct his personal portfolio. We discuss his asset allocation, the volatility trigger he uses to manage equity market risk and some interesting things he invests in on the fixed income side. We also discuss charitable giving, obstacle course racing, Brent's biggest investment mistake and a lot more. We hope you enjoy the discussion. ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

The 60-40 portfolio forms the core of many investors' long-term portfolio allocations. And it has worked exceptionally well over the past 40 years. But the combination of high equity valuations, below average bond yields, and potential higher inflation has led many investors to question whether its future will look as good as its past.  In this episode, we bring together some of the smartest investors we have had on the podcast to look at the future of the 60-40 portfolio and some potential alternative approaches to it. We hope you enjoy the discussion. ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

In our latest episode of Show Us Your Portfolio we speak with 42 Macro founder Darius Dale. We discuss his systematic macro process and how he applies it to managing his personal portfolio. We also get his take on the future of the 60-40 portfolio, managing money in an inflationary environment, the use of valuation in investing and a lot more.  We hope you enjoy the discussion.  ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

We have looked at a variety of different investing strategies so far in our Show Us Your Portfolio series. We have talked to investors who use factor-based approaches. We have talked to investors who use trend following and managed futures. We have talked to investors who use passive approaches. But regardless of the approach any of us use in our personal portfolios, we can often lose sight of what we are actually trying to achieve. We can lose sight of the importance of aligning our portfolio with our purpose.  In this episode of Show Us Your Portfolio, we speak with our good friend Ryan Krueger of Freedom Day Solutions. We discuss how he aligns his personal portfolio with the most important things he is trying to achieve in his life. We work through his unique system of classifying his investments and how he uses that to connect his investments with his purpose in life.  We hope you enjoy the discussion.  ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

There has been a lot of debate about Federal Reserve policy in the wake of the pandemic. But many of those involved in that debate want to promote a specific position and interpret the facts in a way to accomplish that goal. In this episode, we wanted to take a step back cover the facts about the Federal Reserve and how it operates. And we couldn't think of a better person to do that with than our friend Cullen Roche. We discuss the history of the Fed, what its mandates are, the tools it can use to achieve its goals, and how all of that applies to the situation we find ourselves in today.  We hope you enjoy the discussion.  ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

This week we are joined by our good friend and first three time guest on the podcast Tobias Carlisle. We talk about a wide range of value investing topics, including the current state of value investing and how value looks relative to growth. We also compare the current period for value to the early 2000s period and look at what we can learn from that period. Finally, we take a deep dive into the many issues value investors face when constructing a value strategy in the real world, including using single metrics vs. composites, portfolio sizing, industry concentration, how to handle intangible assets and a lot more.  We hope you enjoy the discussion.  ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

Rick Ferri, President of the John C. Bogle Center for Financial Literacy, shares his insights on simplifying investing. He discusses his Core Four investment strategy, emphasizing a balanced mix of stocks, bonds, real estate, and small-cap value. Ferri explains why many investors complicate their portfolios and offers strategies to embrace simplicity for better long-term success. The conversation also touches on the psychological factors affecting our relationship with money and how a straightforward approach can lead to sustainable financial growth.