John Merrill, Partner at GroveStreet sits down with David Weisburd to discuss GroveStreet’s $10.5B SMA model. In addition, they talk about the keys to building long-term SMA relationships, a highly selective set of criteria for managers and reasons why GP’s should prefer rigorous, discerning LPs vs. fast-followers.
The 10X Capital Podcast is part of the Turpentine podcast network. Learn more: turpentine.co
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X / Twitter:
@dweisburd (David Weisburd)
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LinkedIn:
John Merrill: https://www.linkedin.com/in/john-merrill-1379411/
GroveStreet: https://www.linkedin.com/company/grovestreet/
David Weisburd: https://www.linkedin.com/in/dweisburd/
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LINKS:
GroveStreet: https://www.grovestreet.com/
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NEWSLETTER:
By popular demand, we’ve launched the 10X Capital Podcast newsletter, which offers this week’s venture capital and limited partner news in digestible news bites delivered straight to your email. To subscribe please visit: http://10xcapital.beehiiv.com/
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Questions or topics you want us to discuss on The 10X Capital Podcast? Email us at david@10xcapital.com
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TIMESTAMPS:
(0:00) Introduction and background of John Merrill and Grove Street
(1:34) Benefits of separately managed accounts (SMAs) for institutional investors
(3:39) The problem Grove Street is solving for clients
(5:03) Importance of alignment in asset management
(6:30) Investment process and criteria for selecting funds
(10:13) Client management and characteristics Grove Street looks for in clients
(13:25) Benefits of a boutique client model
(16:17) Studying under David Swenson and his impact
(20:14) The give and take in LP-GP relationships
(22:27) Importance of landing an anchor investor for new funds
(24:25) Characteristics of a good partnership between LPs and GPs
(29:43) Characteristics of a top limited partner
(33:17) Global investment insights and local biases
(35:09) Final thoughts and closing remarks
