Massimiliano Saccone

CFA. Founder. Fintech | Using duration to price the term structure of private market funds' returns | Invented DARC + PRIFFE | Private Fund Derivatives

[Massimiliano Saccone @mxsk1]

@CliffordAsness @MebFaber xF
Arts of air

[Massimiliano Saccone @mxsk1]

@Cr_patty64 .

[Massimiliano Saccone @mxsk1]

Sharing a post on PE indices. https://t.co/EQxPENehuh

[Massimiliano Saccone @mxsk1]

@philmop Thanks @philmop for sharing this!

[CFA Institute @CFAinstitute]

Private asset allocations are suffering from a severe denominator effect, Massimiliano Saccone, CFA, contends.

So what can be done about it?

@mxsk1

https://t.co/c5i5XNfbZl

[Massimiliano Saccone @mxsk1]

Mind the DPI Gap.

⭐ If DPI (private equity’s Distributed over Paid-In ratio) is viewed as "the new IRR", it doesn't occur under the luckiest star...

More here: https://t.co/1MVqCYAudK

[Massimiliano Saccone @mxsk1]

@prioritypasscom @JFKairport @Amex @AmexBusiness Rather than sharing IMHO your firm should #acknowledgeandapologise. And correct the overstated promise of service.

[Massimiliano Saccone @mxsk1]

@JFKairport @prioritypasscom @Amex @AmexBusiness
https://t.co/GZtpxaXRcZ

You can't be serious. The lounge is a restaurant, #prioritypass gets $20 discount BUT NOT if it connected to Amex!

No mention whatsoever of this ridiculous cascade of conditions - no lounge at terminal 8.

[Massimiliano Saccone @mxsk1]

@preston_mcswain soon your #simplebutnotsimpler will show up in the upcoming #DARC peer-reviewed article.

[Preston McSwain @preston_mcswain]

Related to the note below, I wonder:

If fewer IRRelevant figures were Pitched in Books and we had better ways to compare PE to other investment options in more apples to apples fashions, could we make better decisions?

@mxsk1 @verdadcap @newjawnfades

https://t.co/AxWtAIzYyu

[Massimiliano Saccone @mxsk1]

@preston_mcswain @verdadcap @newjawnfades Painful that many financially savvy individuals neither see the issue nor (want to?) get basic fin math:
1- IRR has no additivity attributes
2- IRR can't be averaged
3- IRR is not a CAGR / can't be annualised
4- Horizon IRRs are meaningless

#transparency #LPs #notagainstPE

[Massimiliano Saccone @mxsk1]

@prioritypasscom @JFKairport @Amex @AmexBusiness No it does not. You say there is a lounge, instead it's a restaurant just offering a discount. But if you have Amex there is no lounge no discount just a restaurant.

See below clear overstatement which puts members in uncomfortable situations.

Jfk terminal 8 = NO LOUNGE

[Massimiliano Saccone @mxsk1]

@CliffordAsness You're welcome. Timeless and timely.

[Massimiliano Saccone @mxsk1]

@HP @HP_Italia 4th time this laptop less than 1 year old is picked up. I brought 2 of them for my kids. One is #NOTWORKING.
#therapicfury does not help. We are wasting time and money trying all the remote fixes first but #notgaming!
#qualityflaw

[Massimiliano Saccone @mxsk1]

On derivatives.

This article by @CliffordAsness and his AQR colleagues is from 2010. Out again today on @iimag Investor.
Great read.
Investing implies managing uncertainty, and derivatives are one of the most valuable tools for this purpose.

https://t.co/nVjTxsSUtD

[Massimiliano Saccone @mxsk1]

@RobinBrooksIIF A question for you:
What if instead rating on Govvies rules included household debt (or lack thereof)?
Italy also has in that respect the ability to pay taxes and pay interests because its household net financial position allows that.
This would change the game for the ROW...

[Massimiliano Saccone @mxsk1]

@nexipayments con questo SMS ricevuto da voi ci sono caduto.
Per fortuna ho notato il nome del website (VEDI FOTO 2) e cambiato password al volo...
Mi sbaglio?
Segnalo per vostra e generale conoscenza.

[Massimiliano Saccone @mxsk1]

Ehi @PosteItaliane, non credo siate voi... ma aspettando consegne, chissà quanti ci cascano

[Massimiliano Saccone @mxsk1]

Thanks for sharing the article and good catch to the authors!

📡 I was writing a quick post along the same lines yesterday (starting from certain private credit expectations).

Here my thoughts: https://t.co/uTtKYDloSO

🔔 Bottom line, new private equity…https://t.co/6RwNTFoP9U

[Massimiliano Saccone @mxsk1]

Quote: “I would say whenever you can get equity-like returns taking debt-like risk, that’s something you should do"

This is just one of many similar statements I heard recently about private credit.

🤔All right - or not?

Please…https://t.co/Q7XOJwhNms https://t.co/F7pl9i2tOj

[Massimiliano Saccone @mxsk1]

Interesting perspective, thanks for sharing Steve Kim!

Adding a couple of thoughts, curious of your take, as I ultimately expect time-weighted returns of BOTH VC and PE to produce on average normal distribution.

I wonder IF:

1. the analysis of persist…https://t.co/gHJSUzgxVR