Rowan believes hybrid strategies offer the best risk-reward with downside protection and equity upside in uncertain times.
“You're getting downside protection because the world is uncertain from a geopolitical and an economic point of view. You have enough equity upside that you should have pretty good returns.”
Rowan identifies hybrid as a $30 billion business offering mid-teens returns with lower risk than opportunistic strategies.
“This thing called hybrid, which is 30,000,000,000, is actually really interesting because it is neither yield nor opportunistic. It is never going to be the highest rate of return.”