Ben Hunt
Co-Founder and CIO
Ben Hunt is the creator of Epsilon Theory and inspiration behind Second Foundation Partners, which he co-founded with Rusty Guinn in June 2018.
Epsilon Theory, Second Foundation’s principal publishing brand, is a newsletter and website that examines markets through the lenses of game theory and history. Over 100,000 professional investors and allocators across 180 countries read Epsilon Theory for its fresh perspective and novel insights into market dynamics. As Chief Investment Officer, Ben bears primary responsibility for determining the Company’s investment views and positioning of model portfolios. He is also the primary author of materials distributed through Epsilon Theory.
Ben taught political science for 10 years: at New York University from 1991 until 1997 and (with tenure) at Southern Methodist University from 1997 until 2000. He also wrote two academic books: Getting to War (Univ. of Michigan Press, 1997) and Policy and Party Competition (Routledge, 1992), which he co-authored with Michael Laver. Ben is the founder of two technology companies and the co-founder of SmartEquip, Inc., a software company for the construction equipment industry that provides intelligent schematics and parts diagrams to facilitate e-commerce in spare parts.
He began his investment career in 2003, first in venture capital and subsequently on two long/short equity hedge funds. He worked at Iridian Asset Management from 2006 until 2011 and TIG Advisors from 2012 until 2013. He joined Rusty at Salient in 2013, where he combined his background as a portfolio manager, risk manager, and entrepreneur with academic experience in game theory and econometrics to work with Salient’s own portfolio managers and its financial advisor clients to improve client outcomes.
Ben is a graduate of Vanderbilt University (1986) and earned his Ph.D. in Government from Harvard University in 1991. He lives in the wilds of Redding, CT on Little River Farm, where he personifies the dilettante farmer that has been a stock comedic character since Cicero's day. Luckily his wife, Jennifer, and four daughters, Harper, Hannah, Haven and Halle, are always there to save the day. Ben's hobbies include comic books, Alabama football, beekeeping, and humoring Rusty in trivia "competitions".
Articles by Ben:
If you don’t see that the crypto “industry” has become just as blindingly corrupt, just as oozingly fatuous, just as profoundly captured by the Nudging Oligarchy as the traditional financial services industry it was supposed to replace … well, you’re just not paying attention.
If there’s one Common Knowledge Narrative that I think can break over the coming months, it’s But The US Consumer Is Strong! ™.
I’d like to tell you that our Narrative Monitors are not as bearish for May as they were for April.
Yep, I’d really like to tell you that.
The big global risk today is not that the banks are undercapitalized. No, the big global risk today is that banks are unwilling to provide long-term financing for anything. The big global risk today is that we are only in the early innings of a profound deleveraging cycle.
The Fed’s rate hikes to curb inflation?
Not gonna make it.
The narrative puts and takes of March (and the resulting market rollercoaster) have coalesced into no puts and all takes. This is about as bearish a set of narrative signals for risk assets as we’ve had in a long time.
“The arc of the moral universe is long, but it bends towards justice.” – MLK
Does it? Does it really?
Today we take a stand to defend the arc of the moral universe in its long path towards liberty and justice for all. Today we begin the Luther Protocol.
I personally thought what Powell said in his presser today was market-negative. But who cares what I think! What matters is how market participants are geared to interpret what Powell was saying, and our Narrative Machine clearly showed they would interpret it positively. No matter what he actually said.
The Big Oil Windfall Profits Tax Act is an abomination. It won’t lower gas prices, it will raise them. And the sponsors of the bill know it.
This bill was not written to become a good law. It was written to tell a good story.
In commodity markets, crypto markets, and equity markets … we’re all sardine traders now.