AI-First Business Focused Investment Portfolio Designer
Budget: $250 – $750 USD
Seeking a concentrated, multi -layer investment portfolio comprising entirely of listed AI first, dominated or focused businesses. Seeking VC style exposure (Up to fifteen constituents). CAGR requirement minimum 35% over five years, with a median portfolio Sharpe of 0.70 over the five-year period. Explicitly seeking optionality, convexity and asymmetrical upside return profile and recognize the fat tail and high churn dynamics, likely to endure. The anchor principal/ framework guiding portfolio selection/ curation should be a recognition of the winner take all dynamics of the industry along with a focus on choosing businesses in the application layer, focused on bringing radical shifts to work processes and task handling i.e. AI agents, unstructured data etc. A semi market cap weighted approach is preferred while actively managing concentration risk.
Requirements from the service provider:
Investment/ portfolio management and keen understanding of the macro dynamics, noises and signals critical to the space and crucially expert equity research skills/ tools/ mental and theoretical frameworks for evaluating the micro and granular aspects of AI businesses.
Experience of at least two to three major crypto cycles.
Access to not just mainstream, conventional data and analytics for the AI ecosystem but idiosyncratic, micro and granular data and analytics access.
Educational/ Professional background in investment and portfolio management will be seen as a positive and technical qualifications/ certifications covering AI applications, LLM’s or AI infrastructure and will be seen as additional positives.
Demonstrated proprietary research or investment frameworks/models for AI centric businesses will be seen as positive.
Frameworks/ Mental model for approaching portfolio curation:
AI layers:
1) Which layer has the maximum TAM potential, most runway for growth?
2) Which layer is likely to have businesses with the most defensible and sustainable MOAT's ?
3) Projects of what layer are likely to offer maximum optionality, convexity and potential for asymmetrical return, this is not about valuations but the intrinsic nature of the businesses?
4) Projects of what layer are likely to exhibit most winner take all, network effect and scale economies centric value generation potential?
5) Projects/ tokens of which layer are likely to be able to capture the positive externalities from developments in other layers i.e a sort of systemic/ intrinsic system value capture?
The ideal business model will have majority of the below traits; seeking exposure to such businesses across layers:
1) High Contribution Margin, Low Operating leverage
2) Less maintained capex/ low reinvestment
3) Improving CM with scale- via pricing and cost efficiencies, volume not enough.
4) High capital efficiency (High ROIC, Large multiplier)
5) Large TAM, sustainable MOAT’s
Requirements from the service provider:
Investment/ portfolio management and keen understanding of the macro dynamics, noises and signals critical to the space and crucially expert equity research skills/ tools/ mental and theoretical frameworks for evaluating the micro and granular aspects of AI businesses.
Experience of at least two to three major crypto cycles.
Access to not just mainstream, conventional data and analytics for the AI ecosystem but idiosyncratic, micro and granular data and analytics access.
Educational/ Professional background in investment and portfolio management will be seen as a positive and technical qualifications/ certifications covering AI applications, LLM’s or AI infrastructure and will be seen as additional positives.
Demonstrated proprietary research or investment frameworks/models for AI centric businesses will be seen as positive.
Frameworks/ Mental model for approaching portfolio curation:
AI layers:
1) Which layer has the maximum TAM potential, most runway for growth?
2) Which layer is likely to have businesses with the most defensible and sustainable MOAT's ?
3) Projects of what layer are likely to offer maximum optionality, convexity and potential for asymmetrical return, this is not about valuations but the intrinsic nature of the businesses?
4) Projects of what layer are likely to exhibit most winner take all, network effect and scale economies centric value generation potential?
5) Projects/ tokens of which layer are likely to be able to capture the positive externalities from developments in other layers i.e a sort of systemic/ intrinsic system value capture?
The ideal business model will have majority of the below traits; seeking exposure to such businesses across layers:
1) High Contribution Margin, Low Operating leverage
2) Less maintained capex/ low reinvestment
3) Improving CM with scale- via pricing and cost efficiencies, volume not enough.
4) High capital efficiency (High ROIC, Large multiplier)
5) Large TAM, sustainable MOAT’s