E417: $20B Investor on Risk, Adaptability & the Magnetar Method

Highlights:

• Why uncertainty creates bigger opportunities than risk.
• The investing framework that built Magnetar Capital.
• Lessons from working with Ken Griffin during Citadel's early years.
• Why adaptability matters more than IQ in the AI era.
• How elite investors update their beliefs without ego.
• Building organizations that learn faster than competitors.
• Why the best decision-makers embrace feedback loops.
• How to identify uncertainty that can actually be resolved.
• The hidden cost of certainty in investing and business.
• Why great investors think in systems, not predictions.

Guest Bio:

Alec Litowitz is the founder of Qstar Capital and founder and former CEO of Magnetar Capital, one of the world's leading alternative asset managers. Previously, he was one of the four original partners at Citadel Investment Group, where he led Global Equities. He is the author of the forthcoming book The Adaptability Quotient, which argues that adaptability—not IQ or EQ—will become the defining competitive advantage in an increasingly uncertain world. He also founded Magnetar Academy, serves on multiple educational initiatives, and holds degrees from MIT and the University of Chicago.

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We’d like to thank AlphaSense for sponsoring this episode!

Sponsor:

AlphaSense is the AI-powered market intelligence platform trusted by 85% of the S&P 100, helping investment professionals make faster, more confident, data-driven decisions. Built for hedge funds, asset allocators, private venture capital firms, and investment bankers, AlphaSense uses advanced AI and powerful search across premium proprietary content to surface the insights that matter most—before the market moves. Elevate your research and stay ahead of the competition. Visit https://www.alpha-sense.com/howiinvest/ to learn more.

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X/Twitter: @dweisburd LinkedIn: https://www.linkedin.com/in/dweisburd/ Weisburd Pierce: https://www.weisburdpierce.com/

Stay Connected with Alec Litowitz:

LinkedIn:https://www.linkedin.com/in/aleclitowitz/ Book: https://www.theaqbook.com/

Questions or topics you want us to discuss on How I Invest? Email us at [email protected].

Disclaimer:

This podcast is for informational purposes only and does not constitute investment, financial, legal, or tax advice. Nothing in this episode should be interpreted as an offer to buy or sell any securities or to participate in any investment strategy. All opinions expressed by the host and guests are their own and do not represent the views of Weisburd Pierce. Participants may hold positions or have financial interests in the companies, funds, or investments discussed. Any references to specific investments are for illustrative purposes only. Investing involves risk, including the potential loss of capital. Past performance is not indicative of future results, and any forward-looking statements are subject to risks and uncertainties. Any third-party data or opinions have not been independently verified. Listeners should conduct their own research and consult their own advisors before making any investment decisions.