Forget back-testing; all the new ETFs launched this year may need taste-testing first. The ETF industry threw spaghetti at the wall in 2025, unleashing a wave of new funds, and leaving advisors wondering which ones were the perfect al dente. Nearly 800 new exchange-traded funds hit the market in the first three quarters of 2025, blowing past the 746 that debuted in all of 2024. With more than $1.4 trillion in global ETF flows this year, trading volumes hit nearly $60 trillion in the US alone. Advisors now ...

Key Points New York City-based SIR Capital Management sold all 377,585 shares of Chord Energy in the third quarter. The shares were worth an estimated $36.57 million. The position was previously 3.26% of the fund's AUM as of the prior quarter. These 10 stocks could mint the next wave of millionaires › As of September 30, New York City-based SIR Capital Management reported in an SEC filing that it sold its entire position in Chord Energy Corporation (CHRD), representing a $36.57 million reduction. ...

Company Overview - Chord Energy Corporation is an independent oil and gas exploration and production company focused on the Williston Basin, emphasizing efficient resource extraction and disciplined capital allocation for long-term growth [6][9] - As of the latest report, the company's market capitalization is $5.21 billion, with a revenue of $5.16 billion and a net income of $170.64 million over the trailing twelve months (TTM) [4] Recent Developments - SIR Capital Management has completely exited its position in Chord Energy Corporation, selling all 377,585 shares for a total of $36.57 million, which represented 3.26% of the fund's assets last quarter [2][10] - The stock price of Chord Energy Corporation is currently $90.91, reflecting a 20% decline over the past year, contrasting with the S&P 500's increase of approximately 15% during the same period [3] Operational Performance - In the most recent quarter, Chord Energy delivered solid production above the midpoint of guidance, generating over $575 million in adjusted EBITDA and returning a significant portion of free cash flow to shareholders through dividends and buybacks [7][10] - Despite the stock's poor performance, the company's operational fundamentals remain strong, with management focusing on capital discipline and efficiency gains [10]

Amid a monster year and, more recently, a transformative deal announcement, this move raises a sharper question about how much upside is really left at today’s valuation.Charlotte-based Tikvah Management cut its stake in CompoSecure (CMPO +0.62%) by 280,000 shares and saw its position value reduced by an estimated $9.31 million, according to a November 14 SEC filing.What HappenedAccording to a Securities and Exchange Commission (SEC) filing dated November 14, Tikvah Management reduced its position in  Compo ...

Core Insights - Defined outcome ETFs are projected to grow fivefold to $334 billion in AUM by 2030 from $69 billion today, driven by increasing demand from baby boomer clients and faster home-office approvals by broker/dealers [1][2] Group 1: Market Growth Potential - Cerulli estimates an annual growth rate of 29% to 35% for defined outcome ETFs over the next five years, which is at least double the projected growth in the broader ETF market [2] - The growth is attributed to the increasing interest from advisors and their clients, particularly as baby boomers approach retirement [2][4] Group 2: Investor Preferences - Defined outcome ETFs provide downside risk protection, typically covering the first 10% to 15% of losses, making them attractive to investors nearing retirement [3] - A survey indicated that as investors age, they prioritize downside protection over market outperformance, with 61% of investors aged 50-59 and 83% of those aged 70 and above expressing this preference [4] Group 3: Advisor Considerations - Advisors appreciate the liquidity and tax efficiency of defined outcome ETFs compared to structured notes and variable annuities [5] - The use of packaged investment products like model portfolios may enhance advisors' reliance on defined outcome ETFs, allowing for customization based on clients' risk tolerance and investment horizons [5][6] Group 4: Adoption Challenges - Despite increasing inquiries from pre-retirement investors, broker/dealers and wirehouses have not widely adopted defined outcome ETFs due to their complexity compared to traditional equity ETFs [7] - The variability of outcomes based on investment timing poses additional challenges for these channels in adapting to defined outcome ETFs [7]

Financial Data and Key Metrics Changes - The company reported fee-related earnings of $1.15 per share, total operating earnings of $1.55 per share, and adjusted net income of $1.41 per share, all of which are among the highest in its history as a public company [4][6] - Management fees reached $1.1 billion, up 19% year-over-year, with a healthy growth of 16% excluding catch-up fees [4][5] - Total transaction and monitoring fees were $328 million, while capital markets fees were strong at $276 million, driven by private equity and infrastructure activities [5][6] - Adjusted net income was $1.3 billion, or $1.41 per share, reflecting an 8% increase year-over-year [7][8] Business Line Data and Key Metrics Changes - The insurance segment reported operating earnings of $305 million, with a run rate around $250 million [6] - Strategic Holdings operating earnings were $58 million for the quarter, significantly ahead of the previous year [6] - Realized performance and investment income totaled $935 million within the asset management segment [7] Market Data and Key Metrics Changes - The company raised $43 billion in capital during Q3, marking the second-highest fundraising quarter in its history [8][9] - Inflows from Global Atlantic within credit were $15 billion, significantly up year-over-year [9] - The private equity and real asset business lines raised $16 billion of capital in the quarter [10] Company Strategy and Development Direction - The company is evolving its insurance business to extend the duration of its book and leverage its global investment management capabilities [12][14] - There is a focus on raising third-party capital to grow Global Atlantic in a capital-efficient manner [13][14] - The company aims to achieve $4.50+ in fee-related earnings per share and $7+ in after-tax adjusted net income per share by 2026 [23][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the fundraising momentum and the ability to achieve 2026 guidance despite potential challenges in the monetization environment [24][26] - The company noted that the current monetization environment is constructive, with expectations for continued strong performance [26][34] - Management highlighted the importance of maintaining a conservative approach to capital deployment and portfolio construction [29][30] Other Important Information - The company has over $1 billion in monetization activity, indicating a healthy portfolio maturity [7][8] - There is a focus on cash outcomes in segment reporting, with a conservative approach to recognizing earnings [19][20] - The company expects to take a one-time charge related to the Asia Private Equity Fund, which will impact net realized performance income in Q4 [22][23] Q&A Session Summary Question: Can you summarize the international perspective regarding investor demand in Asia? - Management noted that investor demand for Asia continues to increase, with a broad understanding of opportunities in markets like Japan, India, and Southeast Asia [36][37] Question: What is the normalized level of ROE for the insurance business? - Management indicated that they expect to achieve an all-in ROE of over 20% as the insurance business matures and third-party capital contributions increase [42][55] Question: How do you see the capital markets business expanding from the GA side? - Management highlighted the potential for significant capital markets opportunities, estimating hundreds of millions of dollars annually as the business develops [60][61] Question: Can you elaborate on how changes in the insurance business enhance client partnerships? - Management emphasized that owning an insurance company provides a better understanding of client needs, allowing for improved service and competitive advantages [70]

Financial Data and Key Metrics Changes - The company reported fee-related earnings of $1.15 per share, total operating earnings of $1.55 per share, and adjusted net income of $1.41 per share, all of which are among the highest in its history as a public company [3][6] - Management fees reached $1.1 billion, up 19% year over year, with a healthy growth of 16% excluding catch-up fees [3][4] - Total operating earnings were $1.55 per share, a record quarter and 17% ahead of the previous quarter [5][6] - Adjusted net income was $1.3 billion, or $1.41 per share, reflecting an 8% increase year over year [6][7] Business Line Data and Key Metrics Changes - The insurance segment reported operating earnings of $305 million, maintaining a run rate around $250 million [5] - Strategic Holdings operating earnings were $58 million for the quarter, significantly ahead of the previous year [5] - Realized performance and investment income totaled $935 million within the asset management segment [6] Market Data and Key Metrics Changes - The company raised $43 billion in capital during Q3, marking the second-highest fundraising quarter in its history [8][9] - Inflows from Global Atlantic within credit were $15 billion, significantly up year over year [9] - The private equity and real asset business lines raised $16 billion of capital in the quarter [10] Company Strategy and Development Direction - The company is evolving its insurance business to extend the duration of its book and leverage its global investment management capabilities [12][13] - There is a focus on raising more third-party capital across its IV Sidecar strategy to grow Global Atlantic in a capital-efficient manner [12][13] - The company aims to achieve $4.50+ in fee-related earnings per share and $7+ in after-tax adjusted net income per share by 2026 [25][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving 2026 guidance, citing strong fundraising momentum and a constructive monetization environment [26][27] - The company noted that while the monetization environment is currently favorable, it may delay some activities if conditions deteriorate [27] - Management highlighted the importance of maintaining a disciplined approach to investment pacing and portfolio construction [30][31] Other Important Information - The company has over $1 billion in monetization activity, indicating the strength and maturity of its portfolio [6] - The company has $126 billion of dry powder available for future investments, positioning it well for growth [10] - The company expects to see a significant increase in third-party capital capacity, which could translate to over $60 billion of additional fee-paying AUM [17][18] Q&A Session Summary Question: Can you summarize your international perspective, particularly regarding Asia? - Management noted increasing investor demand for Asia, with a broad understanding of opportunities in markets like Japan, India, and Southeast Asia [36][37] Question: What is the normalized level of ROE for the insurance business? - Management indicated that they expect to achieve an all-in ROE of over 20% as the portfolio matures and third-party capital contributions increase [49][50] Question: How do you see the capital markets business expanding? - Management highlighted the potential for significant annual opportunities in capital markets, driven by the capabilities built out in distribution and origination [54][55] Question: What are the expectations for fee-related earnings in 2026? - Management expressed confidence in achieving the $4.50+ target for fee-related earnings per share, driven by strong fundraising and operational leverage [46][47] Question: How will the changes in the insurance business improve client partnerships? - Management emphasized that owning an insurance company allows for a better understanding of client needs and enhances the quality of engagement with insurance CIOs and CEOs [62]

Core Insights - The Federal Reserve's interest rate decisions significantly influence borrowing costs, stock valuations, and overall market liquidity, prompting investors to reassess their portfolio strategies in anticipation of rate cuts [2][3][4]. Group 1: Impact of Fed Rate Cuts - Rate cuts generally make borrowing cheaper, encouraging spending and investment, which can boost corporate earnings and support higher equity valuations [5][6]. - Historically, sectors such as technology and consumer discretionary tend to benefit the most from rate cuts, while financials may gain if yield curves steepen [8][20]. - Emerging markets (EM) often see renewed inflows as investors seek higher yields, with EM bonds outperforming even before rate cuts take effect [8][9]. Group 2: Fixed Income Dynamics - Lower policy rates can create favorable conditions for Treasury and investment-grade bonds, but credit spreads may behave differently depending on the economic outlook [12][19]. - Municipal bonds, such as those tracked by the VanEck Long Muni ETF (MLN), have shown resilience during easing cycles due to their high tax-equivalent yields [20]. - EM debt strategies, like the VanEck Emerging Markets Bond ETF (EMBX), can benefit from declining US rates and a weaker dollar, improving financing conditions for sovereigns and corporates [20]. Group 3: Portfolio Strategy Adjustments - Investors should consider a balanced allocation of equities, fixed income, and alternatives, focusing on sectors sensitive to rate changes [22][23]. - Extending duration in fixed income can capture price appreciation, while assessing equity exposure to rate-sensitive sectors is crucial for intentional allocation [23]. - Exploring income-generating alternatives becomes essential as traditional fixed income yields compress, pushing investors toward private credit and dividend-focused equities [23][24]. Group 4: Market Themes and Investor Behavior - Investor responses to rate changes are highly individual and context-dependent, necessitating a focus on long-term objectives and macro awareness [10][15]. - The actual market response to rate cuts often depends on broader factors such as fiscal policy, global growth, and investor sentiment, rather than just the Fed's actions [25][26]. - A risk-aware approach is critical, as rate cuts introduce new dynamics that require thoughtful navigation to capture opportunities while mitigating risks [27].

Investment Strategy - The company focuses on identifying high-potential winners before they break out, emphasizing asymmetric opportunities with an upside potential of 2-3 times outweighing the downside risk [1] - The investment methodology includes leadership and management analysis, market disruption and competitive positioning, financial health and risk management, valuation and asymmetric risk/reward, and portfolio construction and risk control [1] Leadership & Management Analysis - Proven track record in scaling businesses is essential for investment decisions [1] - Smart capital allocation and insider ownership are key factors [1] - Consistent revenue growth and credible guidance are prioritized [1] Market Disruption & Competitive Positioning - A strong technology moat and first-mover advantage are critical for success [1] - Network effects that drive exponential growth are sought after [1] - Market penetration in high-growth industries is a focus area [1] Financial Health & Risk Management - Sustainable revenue growth with efficient cash flow is necessary for long-term viability [1] - A strong balance sheet and long-term survival runway are essential [1] - Avoiding excessive dilution and financial weakness is a priority [1] Valuation & Asymmetric Risk/Reward - Revenue multiples compared to peers and DCF modeling are used for valuation [1] - Institutional backing and market sentiment analysis are considered [1] - Ensuring downside protection while maximizing upside potential is a key strategy [1] Portfolio Construction & Risk Control - Core positions (50-70%) consist of high-confidence, stable plays [1] - Growth bets (20-40%) are allocated to high-risk, high-reward opportunities [1] - Speculative investments (5-10%) are made in moonshot disruptors with massive potential [1]

Investment Strategy - The company focuses on spotting high-potential winners before they break out, emphasizing asymmetric opportunities with an upside potential of 2-3 times outweighing the downside risk [1] - The investment methodology includes identifying high-conviction opportunities through leadership and management analysis, market disruption and competitive positioning, financial health and risk management, valuation, and portfolio construction [1] Leadership & Management Analysis - Proven track record in scaling businesses is essential, along with smart capital allocation and insider ownership [1] - Consistent revenue growth and credible guidance are critical factors for evaluation [1] Market Disruption & Competitive Positioning - A strong technology moat and first-mover advantage are key competitive advantages [1] - Network effects that drive exponential growth and market penetration in high-growth industries are prioritized [1] Financial Health & Risk Management - Sustainable revenue growth with efficient cash flow is a focus area [1] - Maintaining a strong balance sheet and long-term survival runway is crucial, along with avoiding excessive dilution and financial weakness [1] Valuation & Asymmetric Risk/Reward - Revenue multiples compared to peers and DCF modeling are used for valuation [1] - Institutional backing and market sentiment analysis are considered to ensure downside protection with significant upside potential [1] Portfolio Construction & Risk Control - Core positions (50-70%) consist of high-confidence, stable plays, while growth bets (20-40%) are high-risk, high-reward opportunities [1] - Speculative investments (5-10%) are allocated to moonshot disruptors with massive potential [1]