Data shows Harvard Business School grads are moving to Silicon Valley

A recent report and interactive map shows where the majority of 2014 MBA graduates relocate following graduation. Based on a class of 913 students, the majority of graduates pursued their careers in either New York City or San Francisco shortly after earning their degrees. 

It’s no surprise that new graduates would look to New York City for work, being home to one of the largest finance centers in the world. The large number of graduates moving to the San Francisco’s Bay area is more surprising; however, and speaks to Harvard’s more recent enthusiasm for entrepreneurship. Silicon Valley is home to major tech players like Google, Apple and Facebook, and a growing number of startup companies looking to break into the game. 

The combination of entrepreneurship-related coursework at the school and growing startup scene in the San Francisco area should lead to more MBA’s making the move to the west coast.

Brookings Institute Draws Attention to Student Debt

The Brookings Institute’s Beth Akers and Matthew Chingos have conducted a study analyzing over twenty years of financial data. Using data from the Survey of Consumer Finances, the pair concluded that the student debt situation may not be as detrimental as some experts have led us to believe. 

Findings suggest that about ¼ of the increase in student debt can be attributed to Americans pursuing more advanced degrees, rather than a significant increase in the cost of obtaining a bachelor’s degree alone. It was also determined that the average lifetime income of Americans with a college education has actually kept pace with the increase of student debt, and an increased repayment period has allowed borrowers’ the monthly payment to remain consistent over the years. Overall, the study suggests that the average borrower (not those with incredibly high amounts of debt) is not suffering financially post-graduation. 

Dan Zwirn serves on the board of directors of the Brookings Institute, a nonprofit public policy organization.

Wharton School views online class offerings as advantageous

The University of Pennsylvania’s Wharton School is offering a series of Massive Online Open Courses (MOOCs) to those interested in getting an idea of the school’s class offerings, without actually enrolling in, and paying for, courses.

The courses are offered in subjects such as accounting and marketing, and is viewed as a means of giving the Wharton School an advantage over competitors that do not offer the same service. "The most successful courses don't try to replicate the classroom experience," said vice dean of innovation and professor of operations and information management, Karl Ulrich. 

MOOC courses are different than the originals, and do not equate to credits from the school, but students will be able to get an idea of the traditional Wharton course offerings. Dan Zwirn was a graduate of the Wharton School school in 1993, earning a bachelor’s in economics and a B.A.S. in computer science.

Patch of Land Signs Dan Zwirn as Advisor

Real estate crowdfunding platform Patch of Land, has signed renowned Wall Street hedge fund manager Dan Zwirn, to help guide the organization as it rapidly expands.

The fast growing, LA-based company has already done several million dollars in deals in just a few months. Currently, the company is only allowing work with accredited investors. Patch of Land understands real estate finance and the need for incorporating crowdfunding in todays industry. For this reason, Patch of Land has been able to stay ahead of the competitors.

It is certain is that real estate crowdfunding is going to boom, once other companies recognize the opportunity available, according to the Crowdfund Insider:

"The company currently is leveraging an interesting model.  Using internal capital they are acting as underwriters for the development project – and then turning to the crowd to sell the asset.  This means once they have approved a project, the developer may start.  No waiting on the crowd.  This also means they are pretty confident of the deal if they are using their own funds to facilitate the funding process.  Patch of Land is crowdfunding both residential and commercial real estate debt stating that they will work only with best in class developers. They intent to partner with developers who are rebuilding communities across the country, while offering investors new asset classes and high quality opportunities for portfolio diversification."

Dan Zwirn, who is Managing Member, Chairman and Chief Investment Officer at Arena Investors and Managing Member of Zwirn Co., will advise the executive team along with Patrick Gannon, of Archimedes Labs LLC.  Zwirn has also served as Founder/Portfolio Manager of the Special Opportunities Group of MSD Capital, L.P., the private investment firm of Michael Dell.

North Mill Capital Secures $90 Million Credit Facility

This week North Mill Capital announced it has obtained a $90 million credit facility led by Wells Fargo Capital Finance. The new, three-year facility, replaces North Mill's existing Senior Secured Credit Facility. The facility will also be used for working capital and to support future growth.  North Mill is excited to work with Well Fargo, according to president and chief executive officer of North Mill, Jeffrey Goldrich:

"We are pleased to work with Wells Fargo Capital Finance. As we have grown and expanded our products and geographic reach we now require the strength of Wells Fargo and the sophistication in lender finance that it brings with it," Goldrich went on to say, "We worked closely with Andrea Petro, Stewart Hayes and the Wells Fargo team to structure a credit facility, providing us with increased liquidity, the ability to pursue strategic opportunities, continue with organic growth and stay competitive."

Andrea Petro, senior managing director and division manager of the Lender Finance division at Wells Fargo Capital Finance, confirms the financial division at Wells Fargo is equally pleased about the partnership:

"North Mill is a strong brand and highly reputable company within the ABL market space and I am pleased to have Wells Fargo lead this credit facility... We look forward to continuing our long term relationship with North Mill."

Dan Zwirn founded the EX-BACC Management Team in order to create North Mill Capital and brought in private-equity firm, Monitor Clipper Partners, to co-invest in Colford Capital LLC.  In November 2012, Colford Capital created subsidiary North Mill Equipment Finance LLC, to acquire Equilease.

Read the full article on North Mill Capital's new credit facility led by Wells Fargo here.

Cameron F. Kerry, Former Acting Secretary and General Counsel of Commerce, Joins Brookings as Distinguished Visiting Fellow

Darrell West, vice president and director of Governance Studies, announced last month that former acting secretary and general counsel of the U.S. Department of Commerce, Cameron F. Kerry, joined the Brookings Institution. Kerry will join Governance Studies as the Ann R. and Andrew H. Tisch Distinguished Visiting Fellow.  He will participate in research projects and public forums within the program as well as its affiliated Center for Technology Innovation. In a statement, Vice President West affirmed that he looks forward to Kerry's contributions,

"We are honored to have Cam join Brookings and look forward to his contributions to our technology policy and international trade research... Cam was instrumental in the Commerce Department’s efforts in establishing new foundations for U.S. economic growth and prosperity in a 21st century global economy. He brings unparalleled expertise and insight that will further Governance Studies’ goal of delivering cutting-edge research and policy solutions to improve the performance of our national government."

Prior to Brookings, he attended Harvard College where he received his Bachelors degree, cum laude. In addition, Kerry earned his Juris Doctor from Boston College Law School, magna cum laude. It was here that he also served as executive editor of the Law Review and winner of the school's moot court competition. At Suffolk University Law School, Kerry worked as an adjunct professor. He has also operated as a senior advisor and national surrogate for the 2004 Democratic presidential campaign.

Kerry was the first to be named to the Ann R. and Andrew H. Tisch Distinguished fellowship.  Individuals part of the prestigious fellowship are particularly noteworthy and unique. The goal of the  fellowship is to host renowned representatives from a variety of areas including: government, business, journalism, and education, to write about the challenges the country is currently facing.

Dan Zwirn is a contributing author and member of the board of trustees at Brookings Institute.

Big Apple Circus Benefit Raises $430,000

The seventh annual Hospital for Special Surgery Big Apple Circus Benefit, co-chaired by Dan Zwirn's wife Monica Keany, was a success, raising $430,000.  The funds raised will support clinical research and medical staff, as well as social workers and nurses.  Keany, who was once a patient of the hospital, attended the event with their two sons. Guests were able to enjoy circus favorites including cotton candy, popcorn, face painting, photo booth, and juggler performances before heading to show.  

Actor Jack Gore, from NBC's "The Michael J. Fox Show," appeared as a special guest. Jack, who is 8 1/2 years old, is a former patient of the hospital.  Born with a birth defect, the young actor received treatment from Dr. David Scher. Jack, who is now fully recovered, is making Dr. Scher's job look easy—when comparing it to Santa Claus's tasks, according to the Wall Street Journal: 

"I'm going to mostly ask him for things that are made up—like something that can turn you into any animal and then you can change into the language of the other animal and then you can turn yourself back into a human. I could turn myself into a dog and play with my dog," Jack explained. "Or else I would be a fish so I could swim around in the bath tub like it's an ocean."

Full article on wsj.com.

Hospital for Special Surgery, Big Apple Circus Benefit Returns December 7th

Dan Zwirn is a long time supporter of the Hospital for Special Surgery and their commitment to the treatment and rehabilitation of children.  On December 7th, they will be hosting the Seventh Annual Hospital for Special Surgery Big Apple Circus Benefit, where Zwirn has previously served event Co-Chair.  The Hospital for Special Surgery strives to provide the highest quality patient care, while advancing the science of orthopedic surgery, rheumatology, through research and education. This year his wife, Monica Keany, will be Co-Chairing, with both Dan Zwirn and Monica Keany acting as sponsors of this year's event. Keany is also a current member Hospital for Special Surgery’s Board of Trustees.

The Big Apple Circus Benefit is a non-profit performance that will support pediatric care and research at Hospital for Special Surgery.  The funds raised by the event will go toward three main programs of the hospital:  Pediatric Orthopedic Clinics, Alfred and Norma Lerner Children’s Pavilion, and The CHArm Center.  Popular for families of all ages, kids enjoy a real live circus performance with the added benefits of a more intimate venue compared to larger circus companies.  Pre-show entertainment at Lincoln Center, Damrosch Park, will provide face painting, juggling, stilt walkers, and more.

Dan Zwirn Quoted in Financial Times Article

The Financial Times' Tracy Alloway has published a new article titled, "Markets: The debt penalty" that discusses the shrinking of Wall Street bond-trading desks as banks hold more capital. Due to the financial crisis, big banks have reduced their business in dealing with corporate bonds, writes Alloway, as the amount of bond risk the banks hold is lessened.

Later, Alloway discusses exchange traded funds (ETFs) and their expansion to track corporate debt. In May, Fed Chairman Ben Bernanke hinted that the US central bank might phase down the emergency bond-buying program it launched during the financial crisis. When this occurred, market interest rates began to rise:

“When that happened, volume went to zero,” says Dan Zwirn, managing partner of Arena Investors, a hedge fund focused on special-situation lending to companies."

Alloway went on to discuss the lack of liquidity in the secondary bond market. While some officials believe that an increase of liquidity in the market would help if the corporate bond bubble burst. But Dan Zwirn said, "As soon as the dealer gets out of balance to a point where he can be accused of prop trading, he says I’m not doing it."

Click here to read the full article (registration required).



Dan Zwirn is Managing Partner of Arena Investors, and is married to Monica Keany.

Brookings: Do Americans Believe Capitalism & Government Are Working?

The Brookings Institute recently published findings from the Public Religion Research Institute and Governance Studies at Brookings regarding whether Americans think capitalism and government are working.

The 2013 Economic Values Survey explored Americans’ views on capitalism, government, economic policy, and financial well-being. 

Concerns:

• 26% felt the lack of jobs was most the important economic issue
• The budget deficit was the second concern (17%)
• 18% cited rising health care costs
• Education as the most important issue: 9%

Despite these statistics, 54% believe that capitalism is working at least somewhat well. Government on the other hand prompts over 60% of Americans to agree that government should do more to reduce the gap between rich and poor, and that it is the responsibility of government to take care of those who cannot take care of themselves. A majority (54%) believes that hard work and determination are no guarantee of success, while a majority (52%) also believes their generation is better off financially than the next generation will be.

From: The Brookings Institution

The findings also showed that despite polarization, "approximately 8-in-10 Americans agree that promoting freedom and liberty, encouraging people to live more responsible lives, and promoting equality and fairness are important guiding values. More than two-thirds cite promoting a public safety net as an important guide."

Click here to download the survey report


Dan Zwirn has recently joined the Brookings Institution Budget and Finance Committee. He has also served as a Trustee.

The Allen-Stevenson School Exceeds Annual Fund Goal

The Allen-Stevenson School is an all-boys elementary school in New York City. Believing in a vigorous curriculum the school employs a mix of academics, athletics and the arts to wholly educate a student and prepare him for the future. The school offers eight sports, seven physical education teachers and boasts 250 student athletes. Dance is also offered, and with 14 instructors, there are over 220 instrumental students.

The school is kindergarten through 9th grade and was founded in 1883 as The Allen School by Francis Bellows Allen. With a staff of 142 and 414 students in 2012-2013, the school prides itself on being very conscious of technology, possessing approximately .8 computers for every student in every classroom.

The school relies on donations to help cover 10% of its operating budget. Dan Zwirn and Monica Keany have contributed to this cause, and in the period of 7/1/2012-6/30/2013, the school raised over 2.5 million to its Annual Fund, exceeding its goal by over $60,000.

Dan Zwirn Participates on Panel at Bloomberg Hedge Funds Summit

The Bloomberg Hedge Funds Summit opened last week in New York City with a panel discussion titled "Hedge Funds Hit the Mainstream." The panel featured Dan Zwirn, a managing member of Arena Investors, Tim Garry, chief risk officer at Passport Capital, Averell Mortimer, founder and chief executive officer of Arden Asset Management, Girish Reddy, founder of Prisma Capital Partners, and Charles Stucke, chief investment officer at Guggenheim Investment Advisors. Interviewed by Pimm Fox of Bloomberg Radio and Questioner in Chief Jason Kelly of Bloomberg Link, the panel discussed the outlook of the hedge fund industry. The video of the discussion is below.

North Mill Equipment Finance Closes $50 Million Loan Facility With Wells Fargo

North Mill Equipment Finance announced on Wednesday that they had closed a $50 million loan facility with Wells Fargo Capital Finance.

The facility will allow North Mill to expand its business throughout the US. North Mill originates small-ticket equipment leases and loans through vendors, dealers and brokers. North Mill was born out of Colford Capital's acquisition of Equilease Financial Services in November of last year.

The Senior VP of Wells Fargo Capital Finance, Stewart Hayes said in a press release, "We are pleased to have completed such important financing for North Mill Equipment Finance. The new loan facility for North Mill will support the senior capital they need to fund loans and leases to their customer base. We are proud to have been able to work with a leading independent specialty finance company like North Mill and look forward to supporting their plans for successful business growth."

President of North Mill, Gary Silverhardt, views the loan facility as a chance to originate and fund a number of leases in the target markets of transportation, materials handling and construction.

As a third party servicer, North Mill has the capacity to handle thousands of accounts for multiple parties. In the last 11 years, they have purchased over 30 lease and loan portfolios, totally over $1 billion in asset value.

Dan Zwirn, is a Co-owner of ALDA Capital, which owns a minority stake in Colford.

Click here for the full press release.

Dan Zwirn Quoted in Recent Opalesque Article

Bailey McCann, of Opalesque New York recently published an article titled "Regulators look more closely at non-bank lending as hedge funds, investors see opportunity." In her piece, McCann addresses shadow banking being a concern for regulators. Despite that, more and more businesses and hedge funds are flocking to that space, as liquidity in traditional areas is hard to come by.

Arena Investors, Dan Zwirn's new private investment firm, is still in its brainstorming stage, writes McCann. With new COO and Head of Business Development, Marcel Herbst, Arena is looking at a "variety of options" in this space. Zwrin told McCann in an interview, "As more people move into what is typically referred to as 'shadow banking', the boom and bust cycles are only going to get more extreme. It's going to look more like when everyone made the initial jump into ABL funds. Conventional hedge funds often don't want to take on long duration. Duration often gets mistakenly conflated with illiquidity."

Zwirn went on to say that an opportunity for returns exists but investors who are seeking returns in specialty finance need an expert, rather than going in quickly, as there are blow up risks involved in shadow banking. He added, "Few people have the experience to understand all the different forms of non-bank specialty finance businesses."

Arena Investors, LLC Hires Marcel Herbst

Arena Investors, LLC (Arena) has hired Marcel Herbst as Partner & Head of Business Development.

Arena is a private investment firm seeking to maximize risk-adjusted returns across a variety of fundamentals-based, asset-oriented investment areas. Managing Member Dan Zwirn has started the process of shaping the firm as he rebuilds an investment business that managed $6 billion in equity capital and $12 billion of assets from 2001-2009. The firm employed 275 people across 15 offices globally.

Herbst had previously been an executive at Swiss-based Harcourt Group, where he was COO & Head of Business Development for US business. In addition, he was Managing Director of Harcourt's joint venture with Weston Capital Management.

Read the full release.

Dan Zwirn to Speak at Second Annual Stern Hedge Fund Association Conference

Dan Zwirn will be speaking at the Second Annual Stern Hedge Fund Association Conference tomorrow, March 8th 2013. The conference, titled, "Generating Alpha in a Low Growth Environment," will take place from 9:30 am until 6:00 pm.

The Stern Hedge Fund Association (SHFA) exists within New York University's Stern School of Business. Dan Zwirn was added as a member of the SHFA Board of Directors in November, and he will be a speaker at tomorrow's conference. Zwirn's speech is titled "The Global Chaser of Illiquidity; Harnessing Opportunities in 2013 and Beyond."

The conference features some of the most prominent and influential investors and academics in the hedge fund industry. With two panel discussions and several keynote addresses, equity and credit best ideas, hedge fund trends and other topics will be covered.

In addition to Zwirn, prominent speakers include:

Marc Lasry, Co-Founder & CEO, Avenue Capital

Whitney Tilson - Managing Partner, T2 Partners; Co-Founder, Value Investing Congress

Daniel Posner - CIO, Golub Capital

Ezra Zask – Founder and President, SFC Associates

Robert Picard – Senior Advisor to InfraHedge

Javier Di Fiori – Investment Manager, Eton Park Capital Management

Edward Altman – World Renowned Bankruptcy Expert and NYU Stern Professor

Jim Liew - NYU Stern and Johns Hopkins Professor

S. Basu Mullick - Principal and Portfolio Manager, Integre Advisors

Paul Zummo - CIO, JPM Asset Management


Location:
Gardner Commons KMC 1-100
44 West 4th Street, Suite 6-130
New York, NY 10012

More Details

The SHFA Conference Agenda

Robin Hood Foundation Announces More Sandy Relief Grants

The Robin Hood Foundation is an organization that has fought poverty in New York City for over 20 years. Robin Hood seeks out programs that are effective in fighting poverty and supplies them with funds to continue and enhance their missions. With the Board members covering administrative and fundraising costs, 100% of donations to Robin Hood go directly to the New Yorkers who need them.

Robin Hood structure is broken into four influential and effective groups: Advisory Boards, Board of Directors, staff, and the Leadership Council. The Leadership Council is a diverse group of donors who work closely with the board and staff to spread awareness and broaden the poverty-fighting resources. Membership to the Council comes via a personal invitation from the Robin Hood Board. Dan Zwirn is a former member of the Leadership Council. Notable members of the Advisory Boards include Tom Brokaw of NBC News, Doug Morris of Sony Corporation of America, Jon Stewart of Comedy Central and Bob Woodruff of ABC News. The Board of Directors includes Brian Williams of NBC Nightly News, actress Gwyneth Paltrow, and CNN's Jeff Zucker.

With the devastation caused by Hurricane Sandy, the Robin Hood Foundation has been vital in providing funds to groups aiding in the relief effort. Last week, Robin Hood announced a round of grants totaling $10.5 million, increasing the total amount given to $45 million.

The large majority of the grants went towards housing, totaling $8.205 million to groups in New York, New Jersey and Long Island. The rest went towards benefits counseling, food, education and emergency assistant in those same areas.

Robin Hood executive Director David Saltzman said, "Robin Hood is working diligently to get Hurricane Sandy relief funds into the communities that are struggling to rebuild from the storm."

To take action and help Robin Hood, visit their website.

WRDS in Partnership with Zacks Investment Research

The Wharton School's Wharton Research Data Services (WRDS) has entered into a partnership with Zacks Investment Research, Inc.

WRDS is the leading comprehensive, internet-based data research service. It provides instant access to over 200 terabytes of data across Finance, Marketing, and Economic disciplines. It is the gold standard in business intelligence and is a tool used by 30,000 users in 30 countries.

Zacks Investment Research provides a database of warnings, sales estimates, analyst ratings, price targets and recommendations that help the global financial community construct consensus forecasts earning surprises and analyst track records.

The Wharton press release that announced the partnership provided a quote from the Senior Director of WRDS, Robert Zarazowski. "The Zacks database offers academic and empirical business researchers the ability to analyze historic patterns in analyst behavior and see connections between their actions, a company’s performance and the market as a whole. It’s an important addition WRDS’ already extensive data offerings.”

Started in 1993, WRDS' comprehensive internet-based data research service is used by corporate firms, non-profit institutions, government and academic firms. The Wharton School is the business school at the University of Pennsylvania. Zacks Investment Research is based in Chicago, Ill. and has been the leading provider of research, market data, and quantitative models to institutional investment management firms in the US and Canada for over 30 years.

Dan Zwirn attended the Wharton School from 1989-1993 as part of a dual degree from Wharton and the Moore School of Electrical Engineering. He received a B.S. in economics and a B.A.S. in computer science.

What is TIGER 21?

TIGER 21 (The Investment Group for Enhanced Results in the 21st Century) is a learning network for high net worth investors. The peer-to-peer group of 200 Members collectively manage around $18 billion in investable assets. These Members include CEOs, entrepreneurs, investors and top executives with backgrounds in financial services, real estate, industrial and consumer goods, legal services entertainment and medicine.

Founded in 1999, TIGER 21 has groups across North America in cities such as New York City, Los Angeles, San Francisco, San Diego, Vancouver, Toronto and Montreal. Groups conduct meetings that are confidential and managed by professional facilitators. These meetings provide a forum for relationships between peers who are facing both challenges and opportunities in managing their wealth. With wide-ranging styles and expertise, TIGER 21 says their Members are granted unique insights and value not found elsewhere.

TIGER 21 conducts a presenter program where a speaker from investing, landscape or lifestyle & family speak to the Member Groups. The Groups generally will have one or two speakers a day. Dan Zwirn has previously been a TIGER 21 presenter, lending his investment expertise to the Members.

Some notable headliner presenters have included:

• Michael Bloomberg: Mayor of New York City and Founder of Bloomberg LP
• Steve Forbes: President and CEO of Forbes
• Newt Gingrich: Former Speaker of the U.S. House of Representatives
• Ted Koppel: Former anchor of Nightline
• Cindy McCain: Chairman of Hensley & Company
• George Mitchell: Former Senator (D-ME), Partner/Chairman of the Global Board of DLA Piper
• Dr. Mehmet C. Oz: The Dr. Oz Show
• T. Boone Pickens: General Partner of BP Capital
• Cal Ripken Jr. Hall of Fame Baseball player, Chairman & Founder, Ripken Baseball, Inc.
• Greta Van Susteren: Journalist and Fox News Correspondent 

Zwirn Family Interests on Twitter

Barnard College Holds TEDxBarnardCollegeWomen Event

As a Trustee of Barnard College, Dan Zwirn has been a supporter of Barnard education and events.

Barnard recently held an event on campus known as TEDxBarnardCollegeWomen. The event brought together entrepreneurs, artists and innovators for a series of talks on re-imagining leadership. TED is an organization that operates under the mission of "Ideas Worth Spreading." TED talks originally brought people together from three areas: technology, entertainment and design. It has since expanded its subject matter to broader topics.

TEDxBarnardCollegeWomen was one of 150 TedxWomen events held the weekend of December 1. The TEDxWomen2012 event was held in Washington, D.C. and live-streamed to the Barnard event, which was organized and held by the Athena Center for Leadership Studies.

Barnard President Debora Spar kicked off the event at Barnard by asking what skills women need in leadership. Ten speakers, who were leaders in their fields, followed by answering that question in 15-minute presentations covering the Athena Center's Core10.

Among the speakers were Christa Bell, a feminist theater and performance artist with a poetry-slam championship. She started the series talking about inspiration - the motivating and nurturing of people.

Google statistician, Rachel Schutt, followed Bell explaining advocacy: speaking up for yourself and on behalf of others.

Isisara Bey, the founder of Journey Agent Productions and vice president of programs for Count Me In for Women's Economic Independence, went next, speaking about vision; the development of strategies, decision making and acting with a purpose.

Karen Washington, founder of Black Urban Growers, discussed leverage - optimizing your networks.

Jennifer Gilbert founded her own party planning company and had insight into entrepreneurial spirit - being innovative, imaginative, persistent and willing to change.

Linda Kay Klein spoke of negotiation, which is bridging differences and finding solutions that work effectively for all parties.

Actor/director/playwright, Melissa Maxwell, discussed courage: the willingness to experiment, taking bold and strategic risks.

The remaining topics covered the rest of the Core10:

• Ambition - Owning your power, expertise and value
• Communication - Active listening, speaking persuasively with authority
• Resilience - Learn from adversity and failure, bounce back

The day was capped by a live stream video of social strategist and author, John Gerzema. He asserted that 2/3rds of men and women in his studies thought the world would be better if men thought more like women; this brought cheers from the audience (Huffington Post).