Kelly Granat

And we weren't quick enough to react. And to the point earlier around believing we owned different bets and payments or e-commerce or software, when the regime changed, none of that mattered. And that nuance was lost. And they all traded like one stock. And so we had too much exposure. We had lost balance in the portfolio.

And we weren't quick enough to react. And to the point earlier around believing we owned different bets and payments or e-commerce or software, when the regime changed, none of that mattered. And that nuance was lost. And they all traded like one stock. And so we had too much exposure. We had lost balance in the portfolio.

And part of that, I forgive to some extent because the market had been rewarding that for many years prior, but we didn't. We didn't act quickly enough and respond quickly enough to a conversation we were having as well as the market was having at the same time around sort of a different regime from a macro perspective, an interest rate perspective. And so that was the huge mistake.

And part of that, I forgive to some extent because the market had been rewarding that for many years prior, but we didn't. We didn't act quickly enough and respond quickly enough to a conversation we were having as well as the market was having at the same time around sort of a different regime from a macro perspective, an interest rate perspective. And so that was the huge mistake.

We spent a lot of time internalizing the lessons, studying all the mistakes, points in time when we had this conversation and didn't make change earlier, a year earlier, 18 months earlier. And that was the right decision.

We spent a lot of time internalizing the lessons, studying all the mistakes, points in time when we had this conversation and didn't make change earlier, a year earlier, 18 months earlier. And that was the right decision.

And then the conversation we were having at the time and this decision to move some capital, but not enough and not quickly enough and really memorialized, I think, a lot of that thinking and learning around reinforcing that there are lots of ways to make money in the market. And we just got really narrow in our purview, I think, and lost the perspective on balance.

And then the conversation we were having at the time and this decision to move some capital, but not enough and not quickly enough and really memorialized, I think, a lot of that thinking and learning around reinforcing that there are lots of ways to make money in the market. And we just got really narrow in our purview, I think, and lost the perspective on balance.

And so I think the changes we made in the first quarter of 22 and sort of resetting the book to a much more balanced book that has lots of different flavors of things in it.

And so I think the changes we made in the first quarter of 22 and sort of resetting the book to a much more balanced book that has lots of different flavors of things in it.

Again, not top down prescriptively, but I think really prioritizing that in a different way and going back to, honestly, a lot of sectors where we had a lot of domain expertise, where we'd had a lot of success historically that we kind of got away from because the sex of the high growth,

Again, not top down prescriptively, but I think really prioritizing that in a different way and going back to, honestly, a lot of sectors where we had a lot of domain expertise, where we'd had a lot of success historically that we kind of got away from because the sex of the high growth,

internet-oriented kind of tech stuff had been so intoxicating, I think, for not only ourselves, but a lot of investors who are attracted to growth businesses that are creating value. We didn't own Nvidia. We didn't, you know, it wasn't three stocks that drove the whole portfolio. And they're across a number of different industries.

internet-oriented kind of tech stuff had been so intoxicating, I think, for not only ourselves, but a lot of investors who are attracted to growth businesses that are creating value. We didn't own Nvidia. We didn't, you know, it wasn't three stocks that drove the whole portfolio. And they're across a number of different industries.

And so the breadth that is driving our performance is very Lone Pine-esque to me and something that we got away from. And that's the mistake, I think.

And so the breadth that is driving our performance is very Lone Pine-esque to me and something that we got away from. And that's the mistake, I think.

I mean, it's all the things we're all searching the globe for. We want incredible leadership.

I mean, it's all the things we're all searching the globe for. We want incredible leadership.

really strong in economics, a really good moat around a business in terms of something that is different, incredible value proposition to the customer, whoever it may be, the ability to grow organically without investing meaningful capital, and a huge runway for growth that can last for many, many years without being disrupted if we're doing our jobs, right?

really strong in economics, a really good moat around a business in terms of something that is different, incredible value proposition to the customer, whoever it may be, the ability to grow organically without investing meaningful capital, and a huge runway for growth that can last for many, many years without being disrupted if we're doing our jobs, right?