Keep pulling the thread on Stan Miranda.
Partners Capital's assets under management grew to $1.5 billion by 2005, at which point the firm temporarily stopped accepting new capital to institutionalize its technology and processes.
Partners Capital's investment philosophy is based on three pillars: maintaining a high static risk profile without market timing, multi-asset class diversification with a bias to illiquids, and investing with specialist, owner-operated asset managers.
Partners Capital has approximately $50 billion in assets under management and a team of 360 people.
Over the last 10 years, the average private equity firm's 15% net return was composed of 7.5% from multiple expansion and 7.5% from earnings growth, implying no real value-add.
Stan Miranda predicts that Partners Capital will increase its direct investing activities in the future to capitalize on opportunities not being exploited by external managers.
Partners Capital started with an initial capital base of $7.7 million.
Partners Capital's strategy for absolute return hedge funds is to build a diversified portfolio of 12 to 20 managers to create a stable 3-4% alpha stream, which is then leveraged.
Partners Capital has grown and scaled to become a leading Outsourced Chief Investment Officer (OCIO) firm.
Stan Miranda and Paul Dimitrik founded Partners Capital after the tech bubble burst, motivated by their own over-concentration in private equity.
Prior to founding Partners Capital, Stan Miranda found that major private banks like Goldman Sachs, Citibank, and UBS had significant conflicts of interest and a lack of transparency in costs and performance benchmarks.
Partners Capital was founded on the principles of being completely independent, using proper analysis, and being fully transparent with clients on costs and performance, terming it an "island of integrity."
Partners Capital launched on April 1, 2002, with 43 initial clients, who were primarily private equity general partners.