TMM Christmas Vacation: The Greatest Laker

Christmas wishes to one and all in Macro Man World...I trust anyone on the trading desk this week falls into one of a few categories: 1) junior guys left behind to helm the ship, 2) senior guys that generate a few extra bucks picking off the weak members of the holiday-trading herd, 3) those that figure this is a good time to clean out inboxes, tidy up excel models, or otherwise clear the decks for a clean start in 2018.

As such, there isn’t much going on...and since I not the type of poet that can summarize the year’s economic events in the poetic pentameter of T’was the Night Before Christmas, I’m going to put my spin on the tradition of a seasonal digression from macro events.

I’m going to talk basketball, philosophy, leadership, and life.

Shortly before Christmas, I took my six-year-old daughter to a birthday party at a friend’s house. I had never met the family before, and after introductions we walked downstairs to the basement where the girls were watching a movie. At the bottom of the steps was a beautifully framed Magic Johnson jersey.

“Magic….nice!” I said.

“The best of all time,” my host exclaimed.

“I agree,” I responded, “but did you hear what he said at Kobe’s number retirement? He said Kobe is the greatest Laker ever.”

“He had to say that,” he said.

“Sure, I guess that’s true,” I said, just to wrap up the conversation. But later in the day it got me thinking. Who really is the greatest Laker of all time?

With all due respect to Jerry West, who I am too young to have ever seen, and Wilt Chamberlain, who only played five seasons with the Lakers before retiring, there are only three names in the conversation: Magic, Kobe, and Kareem Abdul-Jabbar.

I think a lot of people overlook Kareem. Kareem was a supernatural force on both sides of the court. He had the size, touch and skills that had never been seen before in a big man. While he won the MVP award in Magic’s rookie 1979-80 season, Magic’s versatility, charisma and charm overshadowed Kareem’s effective but taciturn efficiency.  Magic was the guy everyone wanted to be like, a natural and undisputed leader.

Unlike Shaq and Kobe, Kareem and Magic made it work. The Lakers went to the finals eight times in ten seasons, winning five. And that was during a time when the Celtics were putting out some all time great teams as well.

It is tough to evaluate Magic and Kareem separately. An all time great point guard and dominant presence under the basket was a combination very few in the league could deal with. They were more than the sum of their parts.

And then there’s Kobe. If there was ever a player that defined the term “shooting guard,” It was Kobe. Where Magic averaged 11.2 assists per game, Kobe averaged 4.7. Indeed, Kobe averaged an insane 25 points per game for his career, which is 12th all time. His playoff record is similar to that of Magic and Kareem, winning five titles. Of the three, Kobe was the one you’d want on the team if you were down ten in the fourth quarter. While Magic might be able to rally the troops, Kobe could simply take over and make basket after basket while the defense watched helplessly.

If you’re into advanced stats, the folks at basketball-reference.com calculate “value over replacement player” which seeks to aggregate various stats into one objective number. Kareem comes out on top at #7 compared to #12 for Magic and #17 for Kobe. But this probably owes as much to Kareem’s longevity (and non-Laker history) as anything else. If you take out Kareem’s time with the Milwaukee Bucks, he slides in at #18 right behind Kobe.

There is also something called “Player Efficiency Rating” which seeks to normalize total performance and minutes played. Here again we see Kareem and Magic running basically even, one order of magnitude ahead of Kobe.

Then there is the one place where Kareem crushes everyone. Acting. Best athlete movie cameo ever.

Taken all together, I agree with the party’s host...the greatest Laker award has to go Magic. The Showtime Lakers are clearly ahead of Kobe….but with a few of Kareem’s best years being in Milwaukee, and Magic’s role dishing the ball to the big man for dunk after skyhook throughout the 80s, it clear that none of it would have been possible without him.

But I keep coming back to his response to Magic saying Kobe was the greatest Laker of all time.

“He had to say that.”

Well, no...he didn’t. Magic said that because he’s Magic. He said that because one of his greatest attributes was humility.   Magic understands that the team is capable of more when leadership involves everyone….even Kurt Rambis.  Magic not only has incredible court vision, unrivaled ball skills and the ability to play every position, he understands people.

Does it hurt Magic to say Kobe is the greatest of all time? No. Was it the right thing to say at a ceremony in Kobe’s honor? Absolutely.  It was gracious, kind, and 100% Magic.

That personal touch has translated into a successful business career since Magic retired, once he realized coaching and late night tv wasn’t his gig. Just as he did on the court, Magic the businessman has the skills to identify opportunities, build a team, and then inspire people to follow him.

Magic is what you want in a boss. He’s brilliant. He has vision. He’s a genuine leader, not prone to give you a line of bull just to get you to do what he wants. He has a demonstrated history of making people around him better, and when success comes, he gives credit to those around him rather than seeking it for himself. Even today, his twitter feed is stocked full of shout-outs to both stars and role players that played well the night before.  If you can join a company with that kind of leadership, you’re going to be happier at work, happier in life, and in the long-run, probably more successful too.

Compare that to the “people skills” Kobe showed during his playing career. The guy had a singular focus: winning. If you weren’t bringing it 100% all the time, he would destroy you. He didn’t suffer fools, and didn’t share the spotlight.  If you were on board with that, you could go along for the ride, perhaps to great success. If you weren’t, well, hasta la vista.  Fans love that kind of devotion, but it’s a dark, brutal work culture. The odds of Kobe turning into a successful and inspirational business leader are long, to say the least.

This type of personality is custom made for the hedge fund industry. This business attracts them like moths to a flame. In fact, I think hedge fund investors look for this type of personality profile….one that is nearly psychotic in its pursuit for alpha. I’m sure everyone reading this in the financial industry can think of more than one person that reminds them of Kobe.

With any luck, you’ve had the fortune to work with a Magic as well.

Shawn
TeamMacroMan2@gmail.com

@EMInflationista