Michael Mauboussin – Active Challenges, Rational Decisions and Team Dynamics (Capital Allocators, EP.36)

<p>Michael Mauboussin currently is the Director of Research at BlueMountain Capital, a multi-billion dollar hedge fund and asset manager.  He spent the majority of his professional career thinking and writing about decision making, behavior and complex systems, with long stints at Credit Suisse and nearly a decade alongside Bill Miller at Legg Mason.  Michael has been an Adjust Professor at Columbia Business School for 24 years.</p> <p>Our conversation covers Michael’s early career, the paradox of skill, academic research more favorable to active management, decision-making, optimal size and composition of teams, unsettling features in the market, data analysis in sports, career risk, the Santa Fe Institute, and Michael’s new research on the horizon.</p> <p>Every time I speak to Michael I come away thinking better and feeling smarter, and this time was no exception.</p> <p>For more episodes go to <a href= "http://capitalallocatorspodcast.com/podcast">CapitalAllocatorsPodcast.com/Podcast</a></p> <p>Write a review on <a href= "https://itunes.apple.com/us/podcast/capital-allocators-with-ted-seides/id1223764016"> iTunes</a></p> <p>Follow Ted on twitter at <a href= "http://www.twitter.com/tseides">@tseides</a></p> <p>Join Ted’s mailing list at <a href= "http://capitalallocatorspodcast.com">CapitalAllocatorsPodcast.com</a></p> <p> </p> <p><strong>Show Notes</strong></p> <p>1:48 - What was Michael like as a kid</p> <p>2:26 – How Michael found his way to Wall Street</p> <p>6:18 – His start as an analyst in consumer and packaged goods</p> <p>7:52 – Why there are no .400 hitters in active management and the paradox of skill</p> <p>             8:15 – <a href= "https://www.amazon.com/Full-House-Spread-Excellence-Darwin/dp/0674061616"> Full House: The Spread of Excellence from Plato to Darwin</a></p> <p>14:26 – Why have there been massive flows into index funds over the last 3-4 years</p> <p>15:44 – Academic research supporting active management</p> <p>             16:09 – <a href= "http://finance.martinsewell.com/fund-perfo