Henry Ellenbogen - Man Versus Machine

**Patrick O'Shaughnessy** (0:00)
Here's an interesting question to think about. If your finance team suddenly had an extra week every month, what would you have them work on? Most CFOs don't know because their finance teams are grinding it out on lost expense reports, invoice coding, and tracking down receipts until the last possible minute. That's exactly the problem that Ramps set out to solve. Looking at the parts of finance everyone quietly hates and asking why are humans doing any of this? Turns out they don't need to. Ramps AI handles 85% of expense reviews automatically with 99% accuracy, which means your finance team stops being the department that processes stuff and starts being the team that thinks about stuff. Here's the real shift. Companies using Ramp aren't just saving time, they're reallocating it. While competitors spend two weeks closing their books, you're already planning next quarter. While they're cleaning up spreadsheets, you're thinking about new pricing strategy, new markets and where the next dollar of ROI comes from. That difference compounds. Go to ramp.com/invest to try Ramp and see how much leverage your team gains when the work you have to do stops getting in the way of the work that you want to do. To me, Ridgeline isn't just a software provider, it's a true partner in innovation. They're redefining what's possible in asset management technology, helping firms scale faster, operate smarter and stay ahead of the curve. I want to share a real world example of how they're making a difference. Let me introduce you to Brian. Brian, please introduce yourself and tell us a bit about your role.

**Brian Strang** (1:18)
My name is Brian Strang. I'm the technical operations lead. I work at Congress Asset Management.

**Patrick O'Shaughnessy** (1:24)
How would you describe your experience working with Ridgeline?

**Brian Strang** (1:27)
Ridgeline is a technology partner, not a software vendor, and the people really care. I get sales calls all the time and I ignore them. Ridgeline sold me very quickly. We went from $7 billion to $23 billion and the goal is $50 billion. Ridgeline was the clear front runner to help us scale.

**Patrick O'Shaughnessy** (1:43)
In your view, what most distinguishes Ridgeline?

**Brian Strang** (1:45)
They reimagined how this industry should work. It was obvious that they were operating on another level.

**Patrick O'Shaughnessy** (1:52)
It's worth reaching out to Ridgeline to see what the unlock can be for your firm. Visit ridgelineapps.com to schedule a demo. One of the hardest parts of investing is seeing what's shifting before everyone else does. AlphaSense is helping investors do exactly that. You may already know AlphaSense as the market intelligence platform trusted by 75% of the world's top hedge funds, providing access to over 500 million premium sources from company filings and broker research to news, trade journals and over 200,000 expert transcript calls. What you might not know is that they've recently launched something game-changing, AI-powered channel checks. Channel checks give you a real-time, expert-driven perspective on public companies, weeks before they show in earnings or consensus revisions. AlphaSense uses an AI interviewer to run thousands of expert calls with real human experts every month, asking consistent questions across experts so the signals are clean, comparable and useful. You get live updates as interviews come in, full transcript access and coverage across every major sector. Instantly compare insights across experts and analyze quarter over quarter trends, and sentiment and key performance indicators. For investors trying to stay ahead of the fast moving markets, it's already table stakes.
Hello and welcome everyone. I'm Patrick O'Shaughnessy and this is Invest Like the Best. This show is an open-ended exploration of markets, ideas, stories and strategies that will help you better invest both your time and your money. If you enjoy these conversations and want to go deeper, check out Colossus Review, our quarterly publication with in-depth profiles of the people shaping business and investing. You can find Colossus Review along with all of our podcasts at joincolossus.com.

**SPEAKER_3** (3:27)
Patrick O'Shaughnessy is the CEO of PositiveSum. All opinions expressed by Patrick and podcast guests are solely their own opinions and do not reflect the opinion of PositiveSum. This podcast is for informational purposes only and should not be relied upon as a basis for investment decisions. Clients of PositiveSum may maintain positions in the securities discussed in this podcast. To learn more, visit p-s-u-m dot v-c.

**Patrick O'Shaughnessy** (3:55)
My guest today is Henry Ellenbogen, founder and managing partner of Durable Capital Partners. Henry built his reputation at T. Rowe Price where he led the New Horizons Fund and turned it into one of the best performing small cap growth portfolios in the country, compounding 19% annually and consistently beating benchmarks for nearly a decade. In 2019, he left to start Durable. His philosophy is grounded in a simple belief that great investing is about understanding people and change. Henry has spent his career studying the rare 1% of companies that drive nearly all long-term returns. Business is led by exceptional operators who turn moments of uncertainty into compounding advantage. Durable's edge comes from that human judgment, from spending time with founders and the executives and learning to tell the difference between a company that is failing and one that is transforming. Henry often talks about act two teams, founders who take the lessons from their first company and apply them to a new frontier. Durable itself is his act two. In our latest Colossus profile, Managing Editor Dom Cooke traces Henry's story and specifically how he became one of the most influential investors of the 21st century, having learned from founders like Jeff Bezos and John Malone in the early part of his career. I always hear the same thing from founders who have met Henry. They say, he understood my business faster than anyone. The thing that sticks with me from our conversation and Dom's profile is just how much he loves investing. As you'll find, his passion is infectious. Please enjoy my conversation with Henry Ellenbogen, and if you haven't, I'd highly recommend reading the profile afterwards. You can find a link to that piece in the show notes below.