Dave Waters - Searching Nooks and Crannies

Dave Waters of Alluvial Capital Management, LLC stops by The Business Brew to discuss how he approaches investing.  You can find all his letters, partnership info, etc., at https://alluvialcapital.com/

Dave primarily focuses on investments that you probably haven't heard of.  He invests in illiquid securities, foreign securities, companies coming out of bankruptcy, and more.  His portfolio is as unique as his path to investing.

We hope you enjoy the conversation.

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Detailed Show Notes:

6:45 – Why Dave likes to look at obscure areas of the market

10:30 – When Dave found P10 Holdings

15:30 – Why your threshold for buying needs to be higher in microcap

21:15 – Rebuttable presumptions against microcap companies and the need for cheapness

23:00 – How Dave got interested in Garrett Motion

35:30 – Assessing incentives

41:50 – Community Development Financial Institutions

43:40 – What got Dave interested in investing

54:00 – Are microcaps destined to underperform?

59:30 – Potential risks and rewards around international investing

1:08:00 – Using subsidies to your benefit

1:10:40 – SPV banter

1:19:00 – Where Dave sees himself in 10 years