Scott Chan

Every time we are doing the collaborative model, we have to think about it from the perspective of would we just be better off as an LP and a fund for folks with a competitive advantage? Would we have a sourcing advantage with them? Can we add additional value to it? And if you look back, we've had one of the strongest periods of alpha generation.

If you look back five or six years, we have over 10 billion in value added returns over our benchmarks. You can say maybe 20% of that was cost savings and maybe 80% of that is a structural alpha that we're talking about, but also the expertise of the team and being able to select better risk reward for the fund.

If you look back five or six years, we have over 10 billion in value added returns over our benchmarks. You can say maybe 20% of that was cost savings and maybe 80% of that is a structural alpha that we're talking about, but also the expertise of the team and being able to select better risk reward for the fund.

If you look back five or six years, we have over 10 billion in value added returns over our benchmarks. You can say maybe 20% of that was cost savings and maybe 80% of that is a structural alpha that we're talking about, but also the expertise of the team and being able to select better risk reward for the fund.

If you think about the alpha 63 basis points over the last five years, that's on top of, if you looked at 10 years, we were 48 basis points. And so you can continue to see this upward trajectory. We estimate we're in the bottom quartile for costs in our peer group. So we're very cost effective. We're the bottom quartile of risk, but we're in the upper part of the return spectrum.

If you think about the alpha 63 basis points over the last five years, that's on top of, if you looked at 10 years, we were 48 basis points. And so you can continue to see this upward trajectory. We estimate we're in the bottom quartile for costs in our peer group. So we're very cost effective. We're the bottom quartile of risk, but we're in the upper part of the return spectrum.

If you think about the alpha 63 basis points over the last five years, that's on top of, if you looked at 10 years, we were 48 basis points. And so you can continue to see this upward trajectory. We estimate we're in the bottom quartile for costs in our peer group. So we're very cost effective. We're the bottom quartile of risk, but we're in the upper part of the return spectrum.

That's a great question. It's two sides of the same coin here. One thing that we've talked about is we just have a very long-term horizon. You're labeling me as contrarian. I think thinking long-term gives you the capability. to be contrarian because most of what you're seeing in the short term is noise, right? So that's number one.

That's a great question. It's two sides of the same coin here. One thing that we've talked about is we just have a very long-term horizon. You're labeling me as contrarian. I think thinking long-term gives you the capability. to be contrarian because most of what you're seeing in the short term is noise, right? So that's number one.

That's a great question. It's two sides of the same coin here. One thing that we've talked about is we just have a very long-term horizon. You're labeling me as contrarian. I think thinking long-term gives you the capability. to be contrarian because most of what you're seeing in the short term is noise, right? So that's number one.

Number two, I think the way you make money with a high degree of probability is bottom-up transaction by transaction, deal by deal. And so our science gives us the capability to build an expert team across markets. And I think what we've done, which is not typical for an organization of our size, is create a nimble and dynamic decision-making structure at the division level, right?

Number two, I think the way you make money with a high degree of probability is bottom-up transaction by transaction, deal by deal. And so our science gives us the capability to build an expert team across markets. And I think what we've done, which is not typical for an organization of our size, is create a nimble and dynamic decision-making structure at the division level, right?

Number two, I think the way you make money with a high degree of probability is bottom-up transaction by transaction, deal by deal. And so our science gives us the capability to build an expert team across markets. And I think what we've done, which is not typical for an organization of our size, is create a nimble and dynamic decision-making structure at the division level, right?

That's something that's unique. The second thing is scale economics, right? Some of the transactions we can negotiate from a collaborative model perspective is the scale. So if we're going to be a significant size, it just aids us in being able to negotiate better win-wins with our partners. Given our size, our ecosystem continues to grow.

That's something that's unique. The second thing is scale economics, right? Some of the transactions we can negotiate from a collaborative model perspective is the scale. So if we're going to be a significant size, it just aids us in being able to negotiate better win-wins with our partners. Given our size, our ecosystem continues to grow.

That's something that's unique. The second thing is scale economics, right? Some of the transactions we can negotiate from a collaborative model perspective is the scale. So if we're going to be a significant size, it just aids us in being able to negotiate better win-wins with our partners. Given our size, our ecosystem continues to grow.

And so more and more in the future, as we connect our own ecosystem together, we can create even more advantages. A simple example recently that I give you is we became one of the top life sciences, real estate developers in the country. We have a big footprint in Cambridge Crossing, for example.

And so more and more in the future, as we connect our own ecosystem together, we can create even more advantages. A simple example recently that I give you is we became one of the top life sciences, real estate developers in the country. We have a big footprint in Cambridge Crossing, for example.

And so more and more in the future, as we connect our own ecosystem together, we can create even more advantages. A simple example recently that I give you is we became one of the top life sciences, real estate developers in the country. We have a big footprint in Cambridge Crossing, for example.

And we connected private equity debt in the sense that within some of the real estate embedded, we can offer some of the space to venture capitalists. And so we can gain equity interest in that. But at the same time, we have this robust return just on the economics of the real estate itself. Connecting the ecosystem, how can we do that? But then there's significant challenges, right?