How East Coast Investment Manager, Adam Ibrahim, Manages High Net Worth And Institutional Investors
Written in partnership with DN News Desk
Photo Credit: Adam IbrahimAs the implications of COVID-19 leave asset markets in a state of uncertainty and the financial markets hover around all-time highs, investor uncertainty looms. Value investors are struggling to find a bargain in an already inflated asset market- it is hard to anticipate with any kind of confidence the steady growth in equities seen over the past decade given where things stand today. Many economists are predicting further instability, and market activity continues to confound. But one young East Coast Investment Manager isn’t sweating like most firms —and neither are his clients.
Adam Ibrahim manages assets for high net worth and institutional investors through a combination of opportunistic and risk-managed strategies spanning hard real estate to liquid market assets and derivatives. While the Dow Jones Industrial Average was down as much as 40% from its highs at the peak of market pressures, Adam Ibrahim’s 365 strategies had a maximum loss of only 2.6% despite having significant exposure to the US and Global Equities. The fund carries a diversified portfolio of domestic and global assets such as US Equities, Short Duration Treasuries, and High-Yield Corporate Debt while employing risk management strategies that utilize low and no-cost derivatives to generate outsized value in extreme events. As a result, 365 is able to track gains in most asset markets while mitigating losses in the event of economic shocks. The result is an institutional product that captures market growth with less volatility while preserving liquidity for institutions and high net worth individuals during critical times.
When asked what the next move in the market is, Ibrahim replied “It is impossible to predict short-term price action, especially in this environment, however certain alternative asset classes are beginning to look cheaper. Moving forward, we will look to add more exposure to viable assets that are priced attractively while attaching robust risk management to our holdings for the event that things deteriorate further.”
Ibrahim, just 28, has more than 12 years of experience in Finance and has been managing Investments for individuals and institutional clients for 7 years. In addition to managing liquid assets, Adam is also a principal and manager in more than 20 real estate investments in Upstate New York. His New York real estate firm brings institutional and accredited investors transparent and secure exposure to high-yield multifamily and commercial real estate assets in secondary and tertiary markets throughout the United States. All properties are acquired, developed, and managed internally within Ibrahim’s organization on behalf of its principals and limited partners. Since 2014, Ibrahim has acquired over 50 properties and established a full-service property management and maintenance operation. Additionally, he serves on the Board of the Greater Miami-Miami Beach Police Foundation and as a Board Director of Leatherstocking Cooperative Insurance Company.
In this environment of increasing uncertainty, traditional safe-haven fixed-income investments and diversified portfolio strategies seem to be falling short. How the impact of the Coronavirus will unfold and the resulting impact on the markets is still anyone’s guess, but Ibrahim, who, at just 27, manages more than $90 Million for high net worth individuals and institutions, did not appear overly concerned. “Trying to predict near-term market movements is a fool’s errand in a stable environment. In this environment, it’s suicidal. For us, investing is about buying quality assets and positioning to survive in, and ideally benefit from, extreme uncertainty. The value will present itself from time to time, and market prices will eventually rise to the occasion.”