Co-Founder and CEO
Rusty Guinn is co-Founder and CEO of Second Foundation Partners, LLC, and has been a contributing author to Epsilon Theory since 2017.
Before Ben and Rusty established Second Foundation, Rusty served in a variety of investment roles in several organizations. He managed and operated a $10+ billion investment business, led investment strategy for the second largest wealth management franchise in Houston, and sat on the management committee of the 6th largest public pension fund in the United States.
Most recently, Rusty was Executive Vice President over the retail and institutional asset management businesses at Salient Partners in Houston, Texas. There he oversaw the 5-year restructuring and transition of Salient’s $10 billion money management business from legacy fund-of-funds products to a dedicated real assets franchise.
He previously served as Director of Strategic Partnerships and Opportunistic Investments at the Teacher Retirement System of Texas, a $12 billion portfolio spanning public and private investments. Rusty also served as a portfolio manager for TRS’s externally managed global macro hedge fund and long-only equity portfolios. He led diligence, process development and the allocation of billions of dollars across a wide range of indirect and principal investments.
Rusty’s career also includes roles with de Guardiola Advisors, an investment bank serving the asset management industry, and Asset Management Finance, a specialized private equity investor in asset management companies.
He is a graduate of the Wharton School, and lives on a farm in Fairfield, Connecticut with wife Pam and sons Winston and Harry. He serves as a member of the Board of Directors of the Houston Youth Symphony, and with Pam has been a long-time supporter and founding Friend of the Houston Shakespeare Festival. He dabbles in cooking, whisky, progressive rock and beating Ben at trivia.
Articles by Rusty:
When we talk about and plan for inflation in our businesses and portfolios, we are usually focused on direction and magnitude. We also usually abstract away from price volatility.
Modeling common knowledge by analyzing missionary statements and their reverberations works. Except when it doesn’t.
Understanding changes in the big, zeitgeist-defining narratives, in the water in which we swim, means developing a way of thinking about the barriers that make it harder for the crowd to change its mind.
Most of us are under the impression that a protracted conflict within China will increase national unity.
Not this time.
Excessive complexity in a deal or structure isn’t necessarily nefarious, but it also isn’t a good sign. The distraction and confusion you and I feel reading about these deals is usually not the problem.
It is the point.
In the same way that narrative shaped a conversation about the role of police going forward in 2020, narrative can shape a conversation about the role of teacher unions and public sector unions more broadly. My money is still on the status quo, but I’ve been wrong before.
When we talk about bias, we usually think about a political bias. But the world of 2021 now supports persistent idiosyncratic biases and frames through which information is passed. How do we ensure that our information consumption habits account for this?
No, the real story here probably isn’t about a revolution against Wall Street. But that doesn’t mean that there isn’t an opportunity to build a movement – right now – to transform it toward fair, free and open markets.
The light research poured into sentiment analysis misses one rather important fact: that’s the game we used to play. Today’s Fiat News is a different game altogether.
There is a brief window where I think we have the opportunity to commit to building a common national identity together. Seizing this opportunity will mean leaving a lot of anger we will feel is entirely justified at the door.
Not seizing it, I fear, will mean that we all reap the whirlwind.
It may seem ironic that a narrative about the long-term could be deployed to distort the rewards of effective, market-based long-term capital allocation for short-term benefit.
This is, I think, the heart of The ZIRP Paradox:
The myth of infinite horizon investing is the enemy of long-term investing.