Michael has been with Pelargos since its foundation in 2008. Together with Richard he manages the Pelargos Japan Alpha Fund. In his role as a CIO, Michael combines his analytical qualities with his need to think out-of-the-box.
Michael observes and investigates. He is always looking for the contrarian view behind the obvious mainstream opinion. Financial markets are indeed complex systems, but, according to him, admitting to what is unknowable helps to focus on the what can be understood. Michael is especially fascinated by investors’ irrational behavior and tendency to extrapolate trends. That explains his interest in Asian financial markets, which are frequently dominated by irrational behavior. According to Michael, economics and investment theory are a social sciences and common sense are key to understand the cross currents of equity investing.
Michael gets the jitters if investors all want one and the same thing. In these situations he challenges his team members asking them ‘what is wrong here?’ and subsequently develops ideas on how to turn this particular situation into an investment opportunity. There is always an opportunity somewhere, but in order to detect it one needs to take a perspective often different from what ‘Mister Market’ thinks. According to Michael that’s what investing is all about: in order to win, you have to approach things in a different way.