David Rocker

David A. Rocker (born 1943)[1][2] founded the hedge fund Rocker Partners, LP.

This article is about an American businessperson. For the American football player, see David Rocker (American football).

Rocker holds a magna cum laude bachelors from Harvard College and a master of business administration from Harvard Business School. Rocker and his wife, Marian, reside in Florida and New Jersey.[3] They have two sons, Daniel and Joshua. Daniel was formerly the head trader at the hedge fund Zimmer Partners. He then earned a master's degree and is now a psychotherapist. Joshua is the Associate Chief of Pediatric Emergency Medicine at Northwell Health.

Early life and career

Rocker's grandparents were Austrian and Russian immigrants. His father was an accountant in West Orange, NJ, where Rocker was raised and married his high school sweetheart, Marian. After graduating from Harvard College, Rocker served for two years as an officer in the US Navy. He returned to Harvard Business School for his MBA.

In 1969, Rocker joined Mitchell Hutchins, where he was a research analyst and investment banker. In 1972, he hired on at Steinhardt, Fine, Berkowitz & Co., a pioneering hedge fund, and was a general partner there from 1973 to 1981.

Rocker joined Century Capital, a registered investment adviser, as a partner in 1981. While there, he was a portfolio manager for institutional clients.

After Century Capital was acquired in 1985, he formed Rocker Partners with $25 million. Originally based in New York City, the firm expanded over the years adding offices in Larkspur, California and Millburn New Jersey. The firm also managed Compass Holdings and Helmsman Holdings in the BVI which pursued similar strategies for foreign clients.

Rocker Partners became incorporated as Copper River Management, LLC. Rocker's former co-manager at the firm, Marc Cohodes, fully assumed managerial duties after Rocker's retirement in early 2007.[4]

Rocker is a strong believer in the value of short selling both as an investment strategy on its own but also, more importantly, to provide investors with alternative points of view in an industry famous for its overtly bullish bias. Rocker was known to openly share his views on the market itself as well as on individual stocks. In 2003, he testified on the industry before the House Subcommittee on capital markets. He also wrote numerous articles for Barrons and other publications and was a frequent guest on CNBC.[5]

Although short biased firms found it harder to raise money and confronted the bullish bias in the markets, the firm’s assets grew irregularly, peaking at over $1.2 billion. While the firm suffered loss years, especially during periods of market ebullience, it was able to offset them with substantial gains at other times. This not only provided investors with the hedge they wanted, but also provided excellent returns. In the 21 years that Rocker led the firm, it produced average annual gains of nearly 12%, essentially matching the performance of the market itself, despite the firm’s net short position.

Philanthropy and personal life

In retirement Rocker and his wife are actively involved in numerous charities, with a particular focus on Jewish issues, providing opportunities for the less fortunate, and advancing the arts and education. He currently serves on the investment committees of the New Jersey Performing Arts Center and the Adrienne Arsht Center for the Performing Arts in Miami. He has been a guest lecturer at the law and business schools at Harvard, Rutgers Law School, Florida International University and the Chartered Financial Analysts Institute.

Rocker loves spending time with his family and their six grandchildren. He is an avid sailor and enjoys golf and travel.

References
  1. "Profile os a Short Seller", The New York Times, April 2006
  2. Overstock.com May Seek $1 Billion From Rocker Partners - May 12, 2006 - The New York Sun
  3. "Seven-figure donation fuels emergency campaign". Archived from the original on 2007-09-29. Retrieved 2007-06-16.
  4. "Pensions & Investments newsletter" (PDF). Archived from the original (PDF) on 2009-03-20. Retrieved 2007-06-16.
  5. New York Magazine, James Cramer, June 2002
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.