David Salem is a contributing author to Epsilon Theory and Co-Chairman of the New York City-based investment firm New Providence (NP).
Before assuming his current post, David served as managing partner of a Boston-based firm (Windhorse Capital Management) that merged with NP in 2018. For nearly two decades prior to his Windhorse tenure, David served as founding president for The Investment Fund for Foundations (TIFF), a non-profit investment cooperative that at David’s departure stewarded in excess of $8 billion on behalf of more than 700 endowed charities. In addition to his duties as TIFF’s president, David served as chief investment officer for all investment vehicles administered by TIFF, including partnerships employing private equity, real asset, venture capital and absolute return-oriented strategies as well as multi-manager mutual funds investing primarily in publicly-traded securities.
Prior to TIFF’s launch, Mr. Salem was a partner in the global money management firm GMO, where he worked closely with Jeremy Grantham on GMO’s asset allocation initiatives.
A graduate of Middlebury College, from which he received a BA summa cum laude in American Studies at roughly the same time the Yankees’ Bucky Dent put a dagger into the heart of Red Sox faithful, David has done his best over the years to overcome the handicap of perhaps too much post-baccalaureate education: a JD cum laude from Harvard Law School and an MBA with High Distinction from Harvard Business School, where he was named a Baker Scholar.
A longtime member of the District of Columbia Bar, David has held adjunct faculty positions at Middlebury and the University of Virginia, and served briefly in the office of White House Counsel while enrolled at Harvard.
A trustee of the U.S. Olympic and Paralympic Foundation, David served formerly on the investment committee of The Atlantic Philanthropies and as a trustee of numerous non-profits, including the Center for Effective Philanthropy, the Core Knowledge Foundation, the Initiative for a Competitive Inner City, and Middlebury College.
David and his wife Amory Rowe and two children live hahd by Hahvahd Yahd and hence not far from Fenway Pahk — not the ideal setting for exposure to truly diverse viewpoints but a fine perch for avid athletes to say nothing of diehard Bosox votaries like David and his kin.
Notes by David:
In both baseball and in investing, we need an all-purpose test of excellence, not just for identifying MVPs like Mike Trout, but for seeing how all of us mere mortals stack up.
ET contributor David Salem makes the case for an investing corollary to baseball’s Wins Above Replacement (WAR). It’s a defense of value investing, but with a twist.
ET contributor David Salem is back with five core tenets for achieving 5+% real returns over the next few decades.
It’s all a must-read, but I’m gonna highlight #4: “Favor equity investments in companies employing or serving primarily people with abundance as distinct from scarcity mindsets.”
This is the foundation for behavioral economics on a macro scale.
In baseball and in investing, how do we distinguish truly great practitioners from merely good ones? Let’s start by looking at two greats who revolutionized how the game is played – Branch Rickey in baseball and David Swensen in investing.
Imitation is not only the sincerest form of flattery, it’s also the engine behind so much of what we do in both professional baseball and professional investing. The trick, of course, is not to get beaned in the process!
Peer group comparisons are the primary measuring stick of both baseball GMs and investment PMs. Here’s how they are used and (more often) abused.
Allocators and investors can learn a lot from professional baseball about how to structure incentives and compensation for portfolio managers. And how NOT to do it.
Enmity and competitive games can be beaten. Sometimes doing so requires someone willing to be booed by his home crowd.
Part 2 of a multi-part series that seeks to enhance readers’ deployment of both human and financial capital through the exploration of parallels between money management and professional baseball.
Part 1 of a multi-part series that seeks to enhance readers’ deployment of both human and financial capital through the exploration of parallels between money management and professional baseball.