Inside the Baddest Hedge Fund in America with Sam Koppelman and Nathaniel Horwitz - The Compound and Friends Recap

Podcast: The Compound and Friends

Published: 2026-02-13

Duration: 1 hr 7 min

Summary

This episode features insights from Sam Koppelman and Nathaniel Horwitz about their work in the hedge fund industry, touching on market volatility and the role of AI in investment strategies.

What Happened

The episode kicks off with a discussion about Bethany McLean, an investigative journalist known for her in-depth reporting. Both guests express admiration for her work and mention their desire to have her on the podcast after their next story together. Nathaniel shares his background in journalism, coming from a family of war journalists, and humorously contrasts this with his current endeavors in investment and media.

As the conversation shifts to current market conditions, they explore the chaos in the stock market, particularly how large-cap stocks have reacted to social media activity. The guests reflect on this volatility and suggest that it presents opportunities for savvy investors. They also touch on the impressive growth of AI companies, specifically Anthropic, which has seen its valuation soar in a short period, raising questions about sustainability and market dynamics.

Key Insights

Key Questions Answered

Who is Bethany McLean and what is her significance?

Bethany McLean is an esteemed investigative journalist known for her in-depth reporting, particularly in the financial sector. Both Sam Koppelman and Nathaniel Horwitz express their admiration for her work, stating that she is an 'OG' in journalism. They highlight her contributions to major stories and suggest that she has been a guest on other prominent podcasts, like Barry's on Bloomberg, indicating her influence and reputation in the field.

How are large-cap stocks reacting to social media activity?

The episode discusses the peculiar influence of social media on the stock market, noting that large-cap stocks have experienced significant drops based on tweets from venture capitalists. This phenomenon highlights the chaotic nature of the market, where traditional fundamentals seem to be overshadowed by real-time social media commentary. The guests seem to view this volatility not just as risk but as potential opportunity for investors.

What are the implications of Anthropic's growth in the AI sector?

Nathaniel raises an intriguing point about Anthropic's valuation, which skyrocketed from zero to a billion dollars in a short timeframe. He expresses skepticism about whether such rapid growth is sustainable, leading to a broader discussion on the nature of investment in AI companies. Nathaniel indicates that while he uses AI tools like Claude, there are concerns about the long-term viability of such explosive growth in valuations.

What background does Nathaniel Horwitz have in journalism?

Nathaniel shares that he comes from a family of war journalists who worked for the Wall Street Journal in various regions, including the Middle East and North Africa. He initially pursued a journalistic career, believing it would be a fulfilling path. However, he eventually transitioned into the investment world, co-founding Hunterbrook after gaining experience as a venture partner at RA Capital.

What do Sam Koppelman and Nathaniel Horwitz think about the current state of markets?

The guests note that the markets are in a chaotic state, with significant fluctuations influenced by social media and venture capitalist commentary. They suggest that such chaotic conditions can present unique opportunities for investors who can navigate them effectively. This conversation reflects a broader understanding of how rapidly changing market dynamics can shape investment strategies.