At year-end.
When I worked at an equity long-short hedge fund in New York City, all of us portfolio managers were seated and clustered together. My desk was right in the middle of a sea of men.
We had to work together to connect the dots.
As a group we could compare notes on:
- what companies were saying on earnings calls,
- weekly railroad reports,
- Chinese electricity usage,
- bulk freight index,
- steel inventory reports, just to name a few....
On the other hand, we were constantly in competition with each other ...
On Friday after the market closed, everyone’s weekly performance was emailed out.
The scorecard was a good way to keep us constantly on our toes.
The email listed by name:
- who made money and who lost money
- sometimes someone crushed it (like when one of my portfolio companies got acquired) or
- sometimes someone stepped on a landmine and blew up (like when I was short a stock that got acquired)
The only time of year we were friends, was close to year-end.
It's often a wonderful time of year if we ALL stay long, we will finish strong.
It was like from the movie, It’s a Wonderful Life!
George wanted to protect his community and everyone does well.
Disclaimer: All information provided is for educational purposes only and does not constitute investment, legal or tax advice, or an offer to buy or sell any security.
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