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Capital Allocators – Inside the Institutional Investment Industry

[REPLAY] Ian Charles & Doc O’Connor – Investing in Sports Teams at Arctos Sports Partners (Capital Allocators, EP.225)

Capital Allocators – Inside the Institutional Investment Industry

Ted Seides – Allocator and Asset Management Expert

Investing, Capitalallocation, Business

4.8806 Ratings

🗓️ 10 February 2025

⏱️ 78 minutes

🧾️ Download transcript

Summary

Ian Charles and Doc O’Connor are the Co-Founders and Managing Partners of Arctos Sports Partners, a private equity firm dedicated to buying minority stakes in professional sports franchises. From its founding just two years ago, Arctos quickly has become the market leader in the space, raising a $2.1 billion first-time fund and a SPAC alongside Executive-in-Residence Theo Epstein, and buying stakes in MLB teams including the Boston Red Sox, the Golden State Warriors and Sacramento Kings in the NBA, and a compliment of other sports assets.

Our conversation covers their backgrounds and the formation of Arctos, the investment opportunity in sports franchises, and the underlying business and ownership structure. We then turn to the unique characteristics look of the asset, investment process, and growth strategy.
 
Full disclosure, I am a personal investor in Arctos’ fund and am a fan of their strategy and team, pun intended. I hope you’ll enjoy this conversation with Doc O’Connor and Ian Charles as much as I did.

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Transcript

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0:00.0

Capital allocators is brought to you by my friends at WCM Investment Management.

0:07.5

To outperform the markets, you have to do something differently from others.

0:11.9

In my 30-something years investing in managers, there may be no one I've come across who does that as clearly and as well as WCM.

0:20.1

I've seen it up close as an investor in their

0:22.3

international growth strategy for the last five years. WCM is a global equity investment manager

0:28.9

majority owned by its employees. They believe that being based on the West Coast, away from

0:34.7

the influence of Wall Street Groupthink, provides them with the freedom

0:37.9

to live out their investment team's core values, think different, and get better.

0:43.5

As advocates of integrating culture research into the investment process and advancing

0:48.3

wide moat investing with the concept of moat trajectory, WCM has delivered differentiated returns while building concentrated

0:56.2

portfolios designed to stand out from the crowd. WCM is committed to defying the status quo

1:03.1

by dismantling outdated practices, believing in the extraordinary capabilities of its people,

1:08.8

and fostering optimism to inspire each individual

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to become the best version of themselves. To learn more about WCM, visit their website at WCMinvest.com.

1:21.3

And tune in to this slot on the show to hear more about WCM all year long.

1:26.9

This testimonial is being provided by Ted Sides and capital allocators who have been

1:30.2

compensated a flat fee by WCM.

1:31.9

His payment was made in connection with capital allocators' testimonial and production

1:34.4

of podcasts, and does not depend on the success or level of business generated.

1:37.7

The opinions expressed are solely those of capital allocators and may not reflect the opinions

1:40.5

of others.

1:41.1

Investing involves risk, including the possible loss of principle.

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