Fri, Oct 21, 2016
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

De Francisci: mediocrity is highly respected in hedge fund industry, Part 1

Monday, August 04, 2014

Giovanni de Francisci
Benedicte Gravrand, Opalesque Geneva:

Giovanni de Francisci runs the Petschek Family Office out of Monaco. He described his unconventional views on manager selection, the state of the hedge fund industry and investment risks using various colorful similes during a recent Opalesque TV interview with Matthias Knab. Here are some of his views.

The key to successful investing is not a steady return 12 years ago, he was dissatisfied with the single digit returns the family office was getting, even though the family, being conservative investors, did not mind. He then told them that Warren Buffett was not considered a risky investor and yet gained 12%-13%; "maybe we should be investing with him." That was when his foray into hedge fund investing started.

"A Formula 1 race car driver is not considered a dangerous driver because he drives fast, he is considered a great driver because he can drive so fast that at the same time he is not crashing," he explains.

"That is why he is able to get around the Formula 1 course and win, by going fast and not crashing. That’s the key to a very successful hedge fund manager. Today, conventional wisdom has dominated our industry, such that hedge fund managers, if they are Formula 1 racecar drivers, would be moderating their speed because investors would be saying, "the higher the return the higher the speed" demonstrates ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. M&A - U.S. hedge fund HarbourVest is shock winner in the £1.1bn SVG Capital takeover saga, Hedge fund Parvus shows hand, toppling William Hill merger deal[more]

    U.S. hedge fund HarbourVest is shock winner in the £1.1bn SVG Capital takeover saga From The fierce battle to buy Britain's biggest private equity group has come to an unexpected conclusion, with the original bidder walking away with the prize. SVG Capital has agreed

  2. Marc Lasry: Energy is still a phenomenal opportunity[more]

    From Distressed debt specialist Marc Lasry said energy debt is still a "phenomenal opportunity" because investors can get "massively overpaid" for the risk they take on. There are "huge opportunities" in the energy sector especially in restructurings, the Avenue Capital Group CEO said Tues

  3. Opalesque Exclusive: Ex-SAC manager re-emerges with market neutral hedge fund[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: A manager re-emerged from the SAC battleground last year to launch his own hedge fund under the umbrella of New York-based investment firm Endicott Group.

  4. North America - Hedge-fund manager Kyle Bass says the U.S. is on track for stagflation, Billionaire hedge fund titans Dinan, Lasry on election, markets and best investment ideas[more]

    Hedge-fund manager Kyle Bass says the U.S. is on track for stagflation From Kyle Bass, founder of Hayman Capital Management, on Wednesday warned that the U.S. is headed toward so-called stagflation. Stagflation is typically described as persistently high inflation and hi

  5. Other Voices: Follow the advice of investment consultants - I think not[more]

    Mark Rzepczynski, Founding Partner, Chief Investment Officer AMPHI Research and Trading, writes on Harvest Exchange: Investment consultants are a force to the reckoned with in the pension world. They advise and drive many pension decisions around the globe. Consultants literally control trillion