Provides Opinion & Testimony In:
130/30 Fund, 401(k) Pension Plan, Accounting, Accounting Fraud, Aggressive Accounting, Angel Investments, Annuities, Annuity insurance, Antitrust, Appraisal Rights, Arbitrage, Asset Management, Bonds, Broker dispute, Broker ethics, Business, Business Acquisitions, Business analysis, Business Appraisal, Business development, Business intelligence, Business Interference, Business Interruption, Business management, Business operations, Business Plan, Business process management, Business securities, Business Strategy, Business, Valuation, Business Valuation,Cannabis, Commodities Futures, Competitive analysis, Competitive benchmarking, Competitive intelligence, Corporate strategic planning, Cost-benefit analysis, Credit Analysis Due Diligence, Damages, Defined Benefit Pension Plan, Derivatives & Swaps, Due Diligence, Economic analysis, Economic Damages, Economic Loss, Economic Losses, Economics, Engineering Electrical
Engineering Electronics, Entrepreneurship, Equity Analyst, ETF, Fiduciary Duty, Finance, Financial, Financial Analysis, Financial Consulting, Financial Experts, Financial Malpractice, Financial modeling, Fixed Income, Fraud, Fraud Investigation, Fraudulent conveyance, Fund of Hedge Funds, Funding, Hedge Fund Damages, Hedge Funds, Hedging, Index Fund, Information Technology, Insider trading, Intellectual Property, International investment, Internet, Investment banking, Investment Manager Monitoring, Investment Manager Selection, Investment Portfolio Management, Investment Suitability, Investment Suitability, Limited Partnership, Litigation, Long/Short Equity, Loss of Earnings, Loss Reserves, Lost Profits, Margin Calculation, Margin Call, Market research, Marketing, Medical Marijuana, Mergers & Acquisitions,,, Mergers and Acquisitions, Misleading Accounting, Mutual Funds, Net Worth, New Business, Options, Passive Investing, Pension Plan Funding Ratio, Ponzi Scheme, Portfolio Management, Private equity fund, Securities, Securities finance, Securities fraud, Securities options, Securities Short selling, Securities Valuation, Semiconductor economics, Semiconductors, Separately Managed Account (SMA), Short Selling, Side Pocket, Software, Standards of Conduct, Standards of Practice, Stock Fraud, Stock Options, Stocks, Stocks & Bonds, Strategic Planning, Strategic research planning, Suitability, Technology, Technology evaluation, Trustee, Valuation, Venture Capital, Warrants
Expert No. 3647
Expert is an expert in hedge fund strategies, securities selection, portfolio management and other investment-related issues. He researched fraud and misrepresentation by publicly-traded companies as a short seller from 1989 through 2010.
Expert has provided investment consulting, investment research and expert witness services to investment funds and law firms at his own firm, Investment Strategy & Analysis, since 2004. From 2012 to 2017, he also provided investment consulting and expert witness services as part of Milliman, Inc., an international consulting firm with more than 3,000 employees worldwide.
Prior to 2004, Expert managed Dirks Capital Management, a firm managing long/short equity hedge fund (2000-2002) and sub-advising a long-only portfolio for Davidson Investment Advisors (2001-2004), the investment management subsidiary of DA Davidson. He managed a long/short equity portfolio for Harvard University’s endowment (1994-1999) which generated an average unleveraged annual return on investment of 43% per year, increasing the portfolio from $110 million at December 1993 to $870 million at June 1999. Expert also worked as an equity analyst for Odyssey Partners (1991-1993), a $2 billion hedge fund managed by Jack Nash and Leon Levy, (co-founders of Oppenheimer & Co.) and Feshbach Brothers (1989-1991), a $1 billion short-only equity hedge fund.
His corporate industry experience includes working as a senior financial planning analyst at Cooper Industries (1987-1989), a Fortune 100 manufacturing company, and as a program manager/product engineer at Texas Instruments (1979-1985), a leading semiconductor manufacturing company.
Expert has been an adjunct professor of finance at Golden Gate University in San Francisco since 2006 and currently teaches Portfolio Management, the advanced investments course for the MBA program. He was the director of research at McCullough & Associates, a value equity manager, from 2010-2012. He has been a board member for the Federated Retirement System for the City of San José since 2010 where he works with staff on manager selection and investment strategy issues. From his roles as an Adjunct Professor and Investment Consultant he has proven his ability as a confident public speaker with the ability to convey technical concepts to diverse audiences.
Representative Litigation-Relevant Experience
Business Valuation Experience
- Fund of Hedge Funds – Prepared valuation analysis for fund of hedge funds under damaged and undamaged scenarios.
- Hedge Fund – Prepared valuation analysis of long/short equity hedge fund.
- Private business – As a corporate merger and acquisition analyst, prepared any discounted cash flow-based valuation analyses with and without synergies. Several businesses recommended were subsequently acquired.
- Publicly-traded businesses – As an institutional investor, prepared valuation analyses for hundreds of publicly-traded businesses and executed transactions in the public markets based on these valuations. Positions were up to $70 million in size.
Complex Damages Calculation Experience
- Calculated damages for options arbitrage hedge fund due to margin calls miscalculated by the prime broker, a top five international investment bank.
- Calculated damages for loss of option value of warrants issued by publicly-traded company which were not allowed to be exercised according to the contractual agreement.
Investment and Corporate Financial Fraud Experience
- Evaluated fund of hedge funds, which invested in a Ponzi Scheme, for inappropriate business practices: due diligence, accounting, anti-money laundering policy and client communications.
- Analyzed financial statements of corporation using bankruptcy and fraudulent conveyance (inappropriate expense allocation to fraudulently transfer assets) to avoid creditor’s claims.
- As an institutional investor, analyzed hundreds of publicly-traded corporations with accounting fraud or other misrepresentation for short selling and executed the resulting investment transactions.
- Defense expert for hedge fund criminal fraud cases, People vs. Glenn Jackson [Fund: Highland Capital Partners] (2013) and People vs. Chad Sloat [Fund: Black Diamond] (2012).
- Vigilant Investors, LLC vs. Goodin, MacBride, Squeri, Day & Lamprey, LLP (American Arbitration Association, January 2008)
- Luisa Li vs. Headwaters Holdings, LLC (American Arbitration Association, December 2015)
Harvard Business School, Boston, Massachusetts
Master in Business Administration, 1987. Ellis/LeBaron Fellowship recipient.
Bemidji State University, Bemidji, Minnesota
Bachelor of Science in Engineering Physics, 1979, summa cum laude.
Yale University/Commonfund, New Haven, Connecticut
Endowment Institute, Level II (2014)
Bar Association of San Francisco, San Francisco, California
Deposition Bootcamp (2009)
McMillan Analysis, Burlingame, California
Advanced Options Seminars (2005)
International Trading Institute, Chicago, Illinois
Trading & Pricing for the Professional Options Trader (2004)
Market Compass, San Francisco, California
Advanced Options Curriculum (2002)
- Board member, Federated Retirement System for the City of San José
- Adjunct Professor of Finance, Golden Gate University
- Event Coordinator, CALAPRS Trustee Roundtable
- Member, Global Association of Risk Professionals
- Member, Gerson Lehrman Group Councils
- Member: Investment Industry Advisory Board, Zyme Solutions
- Advisory Board, Silicon Valley Venture – Private Equity Capital Roundtable
- Advisory Board, Commonfund Hedge FundDirect Strategies
- Advisory Board, Inferess, Inc.
- Advisory Board, HedgeSight
Publications and Presentations:
Available on full CV
Investment Manager Selection:
Available on full CV