David Weisburd

Was that a mistake?

Taking a step back, you're a co-CIO of multi-asset investing.

How do you define what fits that bucket at Neuberger Berman and what is your role and what is your mandate?

What tools are you using to know that you have the right portfolio mix between public and private assets?

Because they fundamentally have different systems, different accounting standards.

Cliff Asness, previous guest and famous founder of AQR, coined this volatility laundering in that public books have to mark themselves up sometimes on a daily basis.

Private books get to wait quarter by quarter.

My whole argument would be, so what?

If you're keeping the client from themselves, or if the LP is keeping themselves from making bad decisions during stress tests, why does the fact that it maybe is technically volatility laundering, why should that matter to an investor?

The second order effects of volatility.

You don't want volatility.

Non-controversial statement, but why?

Two different answers.

One is you don't want to take the wrong action at the exact wrong time.

So I don't know many people that care about upwards volatility.

When it goes up 70%, they're not running.

They're not giving a call and complaining.

But when it does go down, do they take the exact wrong action at the exact wrong time, especially in the current market cycle where you have more of a V-shaped recovery?

So selling could cut off your returns by 10%, 20%.

The second is, I guess there's this tail risk of a risk of ruin.