[REPLAY] André Perold – Pockets of Inefficiency at HighVista Strategies (EP.169)

HighVista now sources idiosyncratic inefficiencies directly rather than allocating to asset-class buckets, comprising over half its $4B portfolio.

• Firm's evolution: HighVista, founded 2005, now runs $4B and shifted from allocating to asset-class buckets toward sourcing idiosyncratic, inefficient-market opportunities directly, now over 50% of the portfolio.
• Biotech as top example: ~600 of 4,000 US public companies are biotech (~$600B of $36T total market cap); small size and idiosyncratic science create inefficiency exploitable by specialist managers running 10-15 stock concentrated portfolios.

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