Dean Triantis, Our Esteemed Professors
Seniors, PhD’s
The Graduating Class, 2014.
You, my friends, are sitting where I was 3 decades ago.
30 years younger than me, Q: what will you make of your future?
Your heart may pound when your name is called to come to the stage to receive your diploma.
Your Diploma: Cherish it, respect it; IT positions you as a professional
Your Mother & Your Father; you’re are attached to them too J, by love.
The love & appreciation I have for my parents, I can’t begin to describe it-- the sacrifices they’ve
made. Hug your parents---they deserve it. Your parents are enormously proud of the person that
you’ve become, for what you’ve accomplished.
1.6 million Students will graduate this spring & enter the workforce. Most won’t have a job on
graduation day, or have taken sub-optimal jobs. It’s only natural for you to have a small dose of
trepidation for what comes next.
I will share 2 things with you today. First, my story & 2nd, some advice.
My story. I am humbled to serve as CEO and President of Marathon Asset Management. We
are a hedge fund manager ; employing 140 professionals, with offices in New York, London and
Singapore managing $12 billion. Marathon’s focus is the global credit markets; we invest in
distressed debt/corporate restructurings, special situations, structured credit like RMBS, CMBS,
& CLOs, & EM corporate debt. We invest based upon deep fundamental, bottoms-up researchdriven analysis involved in some of the biggest corporate restructurings around the globe. There
are 8 partners at Marathon, with a 14-person Executive Committee and a very seasoned PM
and Risk Management team. It is the Team that makes Marathon. No one person, just 1 Team.
That’s Marathon today. That’s not where we started, and that’s not how I started. When I left
Wall Street, with 15 years of experience running a trading desk, I believed I had the experience
to start a Hedge Fund. I knew how to make money, invest in the markets, hire and manage a
team, manage risk, set up financial and operational controls; all I needed was the capital to get
started.
It was hard at the beginning. Besides a couple of friends, we had no takers, no investors, so my
co-partner Lou (who by the way is from inner-city Baltimore)—the two of us funded Marathon
with our career earnings, just a few million. Today we manage $12 billion.
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How did I get to where I am? My parents grew up in Brooklyn; my brother, sister and me-Brooklyn. My father worked 2 jobs- --construction job by day; driving a newspaper truck on the
graveyard shift at night. Saving for his dream—one day he would open his own business.
When I was 7 years old, we moved from Brooklyn to Greenbelt, MarylandJ.
My parents opened up their business, a hardware store on Route, working 7 days a week.
When I graduated college, there was no dream job, no job at all. I moved back home to the
bedroom where I grew up—in Greenbelt, so I went to Bentleys for a beer--- to contemplate my
future. J
My mother would always say: "Bruce, the sky is the limit"; I was brain-washed into believing it, I
never lacked inner confidence & knew that I was a capable as the next person. All I needed was
for someone to cut me a break.
Wall Street was where I wanted to work. In Finance, on a trading floor. I purchased a greyhound
went to NYC & slept on my cousin’s apartment floor. I mailed hundreds of resumes & didn’t
receive a single job offers. I was told the same thing, you’re smart/ambitious, but we need
experience.
With no money, I came home to Maryland to find a job. Six months after graduating, in
November I landed a job with Uncle Sam, the U.S. government hired me at the Commodity
Futures Trading Commission. I knew from day 1 when I took that job it was just a stepping
stone. I spent that year at the CFTC working, and studying the markets, running the BlackScholes model. This time, when I sent out 20 resumes, I got 2 job offers. I took the lower paying
job, working as a junior derivatives analyst on a trading desk at a large investment bank.
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So, I moved to New York, rented a small studio in a walk up and as I looked around the
apartment at the paint chips falling off the wall and the cock roaches scurrying about, I clenched
my fist in victory, knowing this is what I want. My walk-up made Elkton Hall seem like a palace.
J
At work, I thrived; I was FILO, first-in/last-out of the office. After work, I had my ritual, late night
work-out, pick-up take-out dinner on the walk home and study myself to sleep--- every night. I
discarded anything that I considered a distraction, no more college party life---late nights were
reserved for work. I hit the books to evaluate balance sheets, asset valuations, and structured
securities. I became a Geek, and I loved it. The more I worked, the more I succeeded, and my
colleagues took note. One day I got lucky, my boss was out and I was asked to step in to trade
the mortgage derivative book. My research and analysis paid off; I made the right decisions in
securities selection, put on the right hedges and had a highly profitable day. Within weeks I was
given my own trading limit; within 5 years I was promoted to run the trading division responsible
for hiring and managing a highly successful investment and market-making trading team.
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Let me tell you the Wally Pipp story.
One day I was running a slight fever, and as run down as I felt, I was doing even worse in the
markets. At the closing bell, I went into my boss’s office, Greg. Greg was on the phone, had his
feet up on the desk, leaning back in his swivel chair; when I knock on his door, he waived me in
and motioned for me to have a seat. With the phone to his ear, his hand muffling the receiver,
Greg says "what's up?" I respond "fever, not feeling well, gonna leave early". He nods his head
to approve so I walk out and just when I walk thru the door, Greg says into the phone: "there
goes another Wally Pipp". I turn around with a puzzled look, and said "you talking to me?" Greg
hangs up the phone, tells me to take a seat. I say: "who's Wally Pipp". He laughs: "you don't
know who Wally Pipp is?" No.
Greg explains Wally Pipp was the starting first baseman for the NY Yankees. One day, Wally
was not feeling well so he sat out, the Yankees put in a rookie first baseman named Lou Gehrig.
Lou's first game in the majors, tremendous game, and his nick name becomes the IronMan as
Gehrig never missed a game. Wally Pipp never played in another major league game. So, I
went out to the trading desk, sat down and continued to work.
Moral of the story: Don’t be Wally Pipp J
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My advice won’t fit everyone, but if you take 1 item that is helpful, these 10 points I want to
make will have been worthwhile.
1- To find a job, make it your mission, don't procrastinate, and don’t ever get discouraged.
Find your inner strength & Don’t listen to the naysayers.
2-
When you land that job, make your credo "all in, all the time", become the expert &
your value goes up; when you become the expert---the others firms will want you. At
first, you may build macros in Excel, program in visual basic, or develop financial
models. But to advance, become a critical thinker, make tough decisions, and cultivate
strong communication skills.
3- Be mobile-- it's a big world. Don't limit your job search to where you live. Consider
Silicon Valley & NYC; Tech is the leading growth industry, where fortunes are made;
finance is awesome. Healthcare, Energy are growth industries---companies need good
business minds. There are many great places to work in the U.S., great opportunities
right here: Virginia-Maryland-DC. Remember this: Business opportunities & jobs know
no borders.
4- Be immensely loyal to the firm you work for, they hand you your paycheck—they
deserve your loyalty. But, moving to a new firm might be required for advancement. Prior
to founding Marathon, I worked at 4 investment banks, each time moving for better
opportunity. Your first job will probably not be your last.
5- Starting your own firm might be the ultimate goal, but for most, it takes a long time to
hone your skills to be the best. Is the next Kevin Plank here? Kevin started Under Armor
selling t-shirts from the back of his van. Kevin and Mark Zuckerberg have inspirational
stories, no doubt, but take heed: you don’t want to be part of a start-up that’s a failure, so
be careful.
“Outliers” (HOLD UP BOOK). Malcolm Gladwell’s book---the 10,000 hour rule. I know I
could never have succeeded running a hedge fund without the 15 years of experience
working on Wall Street, making mistakes on some else's dollar.
6- Starting at the bottom. Flipping burgers, one day you will own a McDonald’s.
Michael Orvits, ran Walt Disney, & also Creative Artists. Michael started in the mailroom
at William Morris; the top Talent Agency in the World, the TV hit series Entourage was
based on this company. By the way, my daughter when she graduated 2 years ago; she
started in the mailroom at William Morris and after 3 months was placed with an agent in
TV division.
Just listen to Drake’s lyrics, soundman: “started from the bottom now we’
heeeere”
7- Making Mistakes. Learn, get over them. Michael Jordan missed more shots than he
made, MJ --best ball player of our lifetime, despite the fact he was a Tar Heel. J.
I can't begin to count my mistakes. The important thing is that you learn from mistakes,
be a TERP! Let it roll off your hard shell. The baseball player, rounding 3rd base,
heading home at full steam, slides in-- it's a bang-bang play. The ump, standing above
him, yells "you’re out". The home town fans boo. Gotta stand up, dust off the dirt, reflect
as you walk to the dugout to grab your glove; go out to the field shrug it off, re-focus to
perform next opportunity you have. #7--TERPs have hard shells—use it, it is a great
defensive mechanism.
8- Road blocks. Do you remember “The Pursuit of Happyness?” I am not referring to "Life,
Liberty and the pursuit of Happiness" in the Declaration of Independence, written by
Thomas Jefferson. I am referring to the movie starring Will Smith. Rent it on Netflix;
read the book ( HOLD UP BOOK) —it’s a true story about a dear friend of mine, Chris
Gardner—he grew up in poverty, enlisted in the service, returned home—couldn’t get a
job, became homeless, he and his son. Chris is brilliant, a driven man, no one gave him
a break, until Bear Stearns hired him. He is now the CEO of his own broker-dealer,
wealthy and proud. Always remember to give back & help those in need.
Steve Jobs once said, quote “Sometimes life's going to hit you in the head with a brick,
don’t lose faith”, end-quote. In 2003, Jobs was diagnosed with pancreatic cancer; 2
years later Jobs (HOLD UP I-PHONE) invented the I-phone, 7 years later in 2010, Jobs
invented the I-pad.
I was diagnosed with Prostate Cancer 7 years ago; I’m now clean now, healthy and run
a successful business. Your health and well-being always come first, before work--you
will need your health to provide for your family. One day you will be lucky like me--- with
a loving spouse & and the best children. When you encounter a road block, think it
through, focus, dig deep--- you’ll get past it.
9- Integrity, it’s everything. One thoughtless e-mail, being Lindsey Lohan for 1 night;
one embarrassing picture on Facebook—it care really set you back. In business, Social
Media is a two-edged sword, it can serve you well and propel you forward, and it can
also do you in.
Integrity: When I got to Wall Street, a senior manager asked me to join him for a beer
after work; he offered me advice & told me that all traders and bankers need a touch of
larceny to fully capitalize from the seat they sit in. When I think back to those comments,
I get a pit in my stomach: Its that mentality that leads to Price Fixing, The Libor Scandal,
Insider Trading, Tax Evasion. Ethical business is the basis of all long-term success.
Step over the line and you’ll join Madoff.
Orange is NOT the new Black J
10- Stay humble. Treat others with respect. Do onto others as you would want them to do
onto you. Show Jay Z-like restraint, even while under attack (DIAMOND). Stand above
the noise, be a TERP.
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The Business Students from the graduating class of 2014 is a great class.
Go forth.
Be Proud.
Good Luck & God Bless