Will England, Derek Drummond, and Tony Caruso – Disintermediating Pod Shops

**Derek Drummond** (0:00)
Inter-month volatility is a lot higher than you think. If you get one-month snapshots, and then you get to see the ride throughout the month, it can be a very different story.

**Tony Caruso** (0:10)
Derek and I have joked before, you learn more about a manager on three days on Dockside than three years if you invested in a fund.
You understand what they do, what their portfolio looks like, how it evolves. It's incredible.

**Derek Drummond** (0:22)
When you see what they're buying and selling every day, we're in the business of buying several good decision-makers, sometimes I joke that my job is playing fantasy football. You're trying to find the best athlete, put them in the right position, hopefully they all march down the field.
Watching how they trade in a drawdown, you can see it. You can make much more informed decisions about the people that you're putting on the field.

**Ted Seides** (0:51)
I'm Ted Seides, and this is Capital Allocators.
Today's show discusses an innovative joint venture between asset owners and a multi-manager hedge fund that seeks to deliver smooth equity-like returns at a lower cost than available in the marketplace. My guests are Will England, Derek Drummond, and Tony Caruso.
Will is the CEO and CIO of $12 billion multi-strategy hedge fund, Walleye Capital. Derek is head of External Public Markets Investing at the State of Wisconsin Investment Board, and Tony is managing director of hedge funds at Utimco.
Together, they co-founded Dockside, a managed account platform that gives institutional allocators direct access to portfolio managers using the infrastructure, risk systems, and financing capabilities of a multi-strat underneath. Our conversation traces Dockside's evolution from barstool brainstorm to a platform with more than 60 managers and billions in assets. We discussed the accessibility of talent through managed accounts, differentiated manager sourcing, due diligence with trade level transparency, capital efficiency across portfolios, hedging, risk management, and onboarding and exiting managers on the platform. All told, the combined heft of large asset owner capital and the sophisticated infrastructure of a multi-manager hedge fund have created a win-win for everyone involved.
Before we get going, it's still travel season. Partner meetings and board meetings, the Capital Allocators CIO Summit, Berkshire and Milken. Across planes, trains, and automobiles, you're bound to run into a few snacks. When they're unavoidable, I try to remember Will Guadarro's story of the pilot who lifted everyone's spirits by bringing families into the cockpit. But it's not always easy, which leads to my most recent pet peeve, speed limits. When I travel to certain places, everyone religiously follows the speed limit. In Florida along A1A, if you go much over 35 miles per hour, there's a good chance you'll get a ticket. In Sun Valley, I once got stopped for rolling through a blinking red light at a whopping four miles per hour.
Once I adjust, I find it relaxing to drive slowly. It reminds me of the Pixar movie Cars when the old timers off Route 66 drove low and slow. However, when I'm in Connecticut or New York, I'm a totally different driver. I need to get places and if I'm running late, I'll end up on a single lane road for five miles behind someone driving annoyingly slow. That person is probably driving 35 miles per hour. The speed limit. But it's common knowledge in those parts that the flow of traffic is well above the speed limit with maybe seven miles per hour over as the whisper number statue.
For the life of me, I can't reconcile the two. Either we should drive the speed limit or not. Or maybe we need a lot more variability in what the safe speed limit should be. So my new pet peeve depends entirely on where I am. If I'm in Florida, get off my tail. I'm already going the speed limit. If I'm in the Northeast, you better hurry up if you're in front of me and you're only driving the speed limit. The only way I know to gain the benefit of such different perspectives is right here on Capital Allocators. Thanks so much for spreading the word. Capital Allocators is brought to you by AlphaSense. Expert calls have always been one of the most powerful ways to build conviction. But today, investors are asked to cover companies and move faster with leaner teams. With AlphaSense's AI-led expert calls, their Tegas call service team sources experts based on your research criteria and lets the AI interviewer get to work. Then they take it one step further. Your call transcripts flow natively into your AlphaSense experience and become searchable and comparable, so your primary insights plug directly into your earnings, diligence, and pitch book workflows with no tool switching. AI for coverage and efficiency, humans for complexity and conviction. Sounds like just the right mix to create a scalable institutional edge without growing headcount. For hedge funds, this means validating thesis assumptions before earnings across dozens of experts instead of a handful. For private equity, it means faster pre-IOI scans and deeper commercial diligence. And for asset managers, it means pulling real operator's perspectives straight into models without disconnected tools or manual handoffs. All of this lives inside the AlphaSense platform, turning raw conversations into comparable, auditable insight. The first to see wins, the rest follow. Learn more at alphasense.com/capital.