The brightest and most creative minds in the hedge fund
industry will be under one roof Wednesday when Delivering
Alpha convenes at the Pierre Hotel in New York City. Now in
its third year, the conference has established itself as a
preeminent event at which top managers and investors talk
For the third straight year, Delivering Alpha starts with a
bang an interview with the current U.S. Treasury
Secretary (this time it's Jack Lew). At last year's meeting
thenTreasury Secretary Timothy Geithner kicked off the
day with a wide-ranging interview by CNBC's Larry Kudlow, host
of the nightly Kudlow Report. Private equity giant Henry Kravis
delivered the lunch keynote as attendees tried to listen
between bites of filet. And, of course, U.S. Attorney for the
Southern District of New York Preet Bharara the sheriff
of Wall Street was extremely candid, and funny, in his
sit-down with Mad Money's Jim Cramer.
This year, it only gets better.
Bharara will return on Wednesday, and with apologies to all
who will be in attendance, he will probably have enough subpoenas this
time around. One of the U.S.'s more recognizable lawyers
has become a household name in the industry as insider-trading
cases engulf the news.
This year's panelists represent some of the smartest names
in the investment game. Joining holdovers
Leon Cooperman of Omega Advisors and
Jim Chanos of Kynikos Associates on the must-see My New
Best Idea panel are Delivering Alpha newcomers Chris Hohn of
the Children's Investment Fund Management (UK) and Mark Kingdon
of Kingdon Capital Management. Hohn's former boss Richard Perry
will be back on the Global Stage panel, along with J.P. Morgan
Asset Management CEO Mary Callahan Erdoes and Harvard
Management Co. chief Jane Mendillo to discuss the world at
large and the investment opportunities in it. They will be
joined by Bridgewater Associates co-president David
Another new name to grace Delivering Alpha this year will be
Farallon Capital Management managing partner Andrew J.M.
Spokes, who took over from founder Thomas Steyer after he
retired at the end of 2012. The new head of the approximately
$19 billion San Franciscobased firm shares a panel with
Morgan Stanley Investment Management president Gregory Fleming,
CQS founder and CEO Michael Hintze and Canyon Capital
co-founder Joshua Friedman to talk about one of the most
intriguing issues that investors face today the great
rotation from bonds to stocks.
If the cost of admission weren't enough to keep attendees in
their seats the whole day, the final panel of the day should do
so. Fortress Investment Group principal Michael Novogratz,
Grosvenor Capital Management CEO Michael Sacks, Pine River
Capital Management head of fixed income trading Steve Kuhn and
Wisconsin Investment Board CIO David Villa will talk bubbles
and the effect of crowd mentality in investing.
Outside of the panelists, the one-on-one interview subjects
are sure to enlighten, entertain and energize conference
This year's lunch will be spent with the man behind what
some have called "the greatest trade ever." Recently, however,
John Paulson's gold gamble has not paid off, with Paulson &
Co.'s gold fund losing 23 percent in the month of June. Other
funds, including the Credit Opportunities and Paulson Partners
funds, were also down for June, though the funds were up 12
percent and 8 percent on the year, respectively.
Trian Fund Management co-founder Nelson Peltz also joins the
fun as an "Alpha Agitator." The serial board member, who has no
relation to Institutional Investor Editor Michael
Peltz, has delivered a 12 percent-plus return for the first six
months of this year. He is currently the non-executive chairman
of restaurant chain Wendy's Group, in addition to sitting on
several other boards of directors. Before founding Trian in
2005, Peltz was active in corporate acquisitions, and at one
time owned the beverage company Snapple, before selling it to
Cadbury Schweppes. As an investor, Peltz is known for his
hands-on approach, spending lots of time with management and
boards of directors of the companies in which he invests.
Perhaps the most enticing speaker is the oldest, Carl Icahn.
At 77, Icahn is as active as ever in the investing world and
should have plenty on his mind to discuss at Wednesday's
conference. His current fight with Michael Dell and the tech
giant's eponymous computer company has been front-page news for
months, as the billionaires have traded barbs while
restructuring offers and soliciting ballots ahead of the
following day's shareholder vote. He will close out a long day
of alpha-talk and usher a tired lot of listeners to the
Delivering Alpha is about just that alpha, or
outperformance. Finding meaningful investment returns requires
more than just hard work and smarts; it takes cunning,
precision and, yes, even a little luck. Delivering alpha
doesn't come easy Alphas are "so frightfully clever,"
Aldous Huxley wrote in his 1930s dystopic novel, Brave New
World . There are no shortcuts to finding value, whether
in equities, bonds, energy, health care or any other asset
class or investment area.
On Wednesday, those professionals taking the stage at the
Pierre Hotel have attempted to navigate these waters, and will
share what they've discovered. If you can't be there in person,
be sure to come to institutionalinvestor.com or follow us on
twitter for full coverage of the conference.
Institutional Investor and Institutional Investor's
Alpha writers and editors will be live-tweeting from
Delivering Alpha on Wednesday, July 17. You can follow us at:
@DeliveringAlpha, @mppeltz, @tombuerkle, @francesdenmark, @julie_segal, @ImogenNYC, @aarontimms, @amandakcantrell, @bbaris8, @JanaNYC