Ali Akay, CIO of Carrhae Capital, has succeeded in an area where many others have failed, generating attractive and consistent risk-adjusted returns in emerging markets during one of the worst periods of performance for the asset class. In this interview with his former SAC Capital colleague Jamie McDonald, Akay discusses his framework for generating long and short ideas in EM, how he thinks about constructing and dynamically managing position sizes over time using risk-reward metrics and correlation clusters, and also how he goes about long-only EM investing, considering many allocators are looking at emerging markets as a place to take risk, not avoid it. More information about Ali Akay and Carrhae Capital can be found on their website here: https://www.carrhaecap.com/. To get a complete picture of Akay’s framework, please use these notes alongside the actual interview: https://rvtv.io/3wDCMUp
