I was visiting a friend at Harvard a number of years ago. Unbeknownst to me, it was the day of the football game between Harvard and Yale. There were signs and chants all over campus: "Yuck Fale!"
I have no ties to Harvard or Yale, I admire both universities.
Anyways....
I am a fan of Yale's investment chief David Swensen. He authored a book in 2000 titled "Pioneering Portfolio Management: An Unconventional Approach to Institutional Investment." It is a great read on his investment principles. Mind you, the returns on Yale's endowment have been world-class since he started there in 1985.
In a recent interview at the beginning of 2009, he targeted distressed debt.
“There are some really extraordinary opportunities in the credit world,”
“Everything, from bank loans to investment-grade bonds to less-than-investment grade bonds, is priced at really extraordinarily cheap levels.”
Lets keep an eye out on the performance of bank loans and investment-grade corporates, and see how his calls turn out!
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