In this episode, founder of Elm Wealth and co-founder of LTCM Victor Haghani shares lessons from Long-Term Capital Management and contrasts today’s highly levered hedge-fund world with LTCM’s era. He also explains Elm’s Dynamic Index Investing framework and why simplicity and discipline outperform complexity and return-chasing over time. Enjoy!

__

Follow Victor: https://x.com/ElmWealth

Follow Felix: https://x.com/fejau_inc

Follow Forward Guidance: https://twitter.com/ForwardGuidance

Follow Blockworks: https://twitter.com/Blockworks_

Forward Guidance Telegram: https://t.me/+CAoZQpC-i6BjYTEx

__

Grayscale offers more than 30 different crypto investment products. Explore the full suite at grayscale.com. Invest in your share of the future. Investing involves risk and possible loss of principal.

https://www.grayscale.com/?utm_source=blockworks&utm_medium=paid-other&utm_campaign=brand&utm_id=&utm_term=&utm_content=audio-forwardguidance

—

Timestamps:

(00:00) Introduction

(01:04) Insights from Victor’s Storied Career

(09:22) Today’s Market vs the 90s

(16:32) Grayscale Ad

(17:11) Fat Tails & Return Chasing

(28:41) Grayscale Ad

(29:29) Is Discretionary Macro a Fool’s Game?

(37:42) Portfolio Construction & Managing Risk

(44:33) Balancing Risk, Sizing, & Expected Returns

(50:15) What is Good Diversification?

(55:55) Exotic Forms of Diversification

(59:52) Final Thoughts

__

Disclaimer: Nothing said on Forward Guidance is a recommendation to buy or sell securities or tokens. This podcast is for informational purposes only, and any views expressed by anyone on the show are opinions, not financial advice. Hosts and guests may hold positions in the companies, funds, or projects discussed.

#Macro #Investing #Markets #ForwardGuidance