The optimizing optimist, with Christine Cappabianca
In working to better the world around her, Christine Cappabianca started with herself.
What do a computer scientist, a program director at a homeless shelter and a quantitative analyst have in common?
They’re all Christine Cappabianca.
By marrying her passions, she’s built a career that enables her to focus on her ultimate goal: helping as many people as possible. Today, Cappabianca is an award-winning* portfolio manager with Impax Asset Management in Portsmouth, New Hampshire, and co-manages the Impax Ellevate Global Women’s Leadership Fund.
Self-improvement has been a critical tool on her world-improvement mission. And she’s not done growing.
How do you describe what you do to someone who doesn’t do it?
I direct capital toward public companies that are making the world a better place, making the world a world I want my children to live in. That’s the high level. And then I say, I do it as a quantitative analyst and a quant is someone who uses big data to identify the companies to direct that capital to.
Now let’s go back in time, how did it all start for you?
I grew up south of Boston in, I think, the most Irish town in America: Scituate, Massachusetts, a pretty small fishing town.
Growing up, I felt like a little bit of a weirdo, because I was so obsessed with coding and math as a girl. I definitely didn’t feel like I fit in, but I never let that discourage me from those interests.
When I got to Harvard, I started to feel that sense of belonging. It was a place that better fit my interests. And now, in this current role, with all of my interests fitting together, it’s like complete self-actualization.
What did you want to be when you grew up?
Doctor was probably first, but I pass out at the sight of blood, so I had to change that. [laughs] I think the essence was getting to be smart, but also getting to help people. I can see how that fits in to what I do now.
In high school I probably just pictured myself working at IBM – coding all day, being one-on-one with a computer. I didn’t have economics or finance in high school, so it wasn’t something that was on my radar. My dad worked in insurance, but he didn’t talk to me about the math he was doing, which would’ve drawn me in.
Where did your obsession with coding start?
My dad was interested in computers and would bring them home when I was young. It was black-and-white, text coding. You had to give the games text commands – “Go look out this window and see if there’s a bad guy.” I’m teaching my kids how to engage with AI now, and how they’re learning to talk to ChatGPT is how I was learning to communicate in DOS.
I think it almost felt easier for me to talk to a computer, because it thought like me. I used to be so shy I’d only want to talk to computers, so it’s still shocking to me that now I’m doing roadshows every week this month. And how I got from being so painfully shy to enjoying talking to people everywhere about what I do. That was probably one of the biggest changes in my life.
That’s such a fundamental shift. What inspired it and how did you make it?
There was a critical turning point after I had my third child. I was on maternity leave with my little boy and just felt ‘I’m not leaving him. The only way I will go back to work is if I am directing capital – full time, 100% of my time – to places that will make the world better.’ That was the only option, like a binary outcome.
But in order for me to actually ask for that, I spent … so I would take a train into Boston – it’s a one-hour train ride from my house – and I would listen to guided meditation to boost myself up every single train ride, every single day. Even just going to knock on the head of research’s door to ask her for advice, took weeks of guided meditation. Then she sent me to the CIO, and I was terrified.
But learning how to control my breathing and control my thinking became almost a superpower for me that’s just expanded over time. It’s also moved beyond meditation to just constant personal growth, having that positivity in your ears.
How to you keep that positivity going?
I use some of Brendon Burchard’s morning routines. I journal every morning. I’ve read all classics, like Napoleon Hill and Atomic Habits. I’m reading Ray Dalio’s Principles now. I feel like the language that you fill your head with is so important.
What’s some of that language for you? What are your mantras?
The first is a funny one. When I was in college, I was really interested in Irish studies. There was one Irish book that included the saying ‘In this life, there is plenty of ---- to be shoveled. I suggest you grab a spade and get on with it.’ And that was kind of how I got through my 20s. [laughs] You know, just keep shoveling.
As I grew and started asking for what I wanted and it started happening, I got really into the idea that life is not a dress rehearsal. This isn’t a practice round. This is your chance to make the impact that you want to make, don’t waste it.
And then the third, which I feel more deeply as I have fully self-actualized, is ‘A rising tide lifts all ships.’ It’s the abundance mindset. It’s never me vs. anybody else in anything. I think people get into a lot of trouble if they’re fighting for territory. Any kind of “lack” mindset is really dangerous.
You went to Harvard for computer science, left with an economics degree and your first job out of school was with a permanent housing program for homeless elders. What was that trajectory like?
When I started at Harvard in 2001 – the week of September 11 – there were about 50 students in Intro Computer Science. I’d gone to UMass Boston at night in high school for computer science, which was challenging, so I was prepared for challenge. But I don’t think I was prepared for the isolation. I didn’t connect and nobody really reached out.
With economics, the intro class had about 900 people, so it was like half the freshman class. I had never studied economics and it was a softer science, but I could tell it was hitting at a social passion of mine. It’s when I first started to feel a link between some of my interests.
When I was growing up, my dad was into finance and my mom was into service. I’m probably a blend of them – as much as I felt heard by coding, I felt rewarded by service. At Harvard there was an amazing community service organization and that was where I spent most of my time.
I worked with blind elderly people. I read to blind graduate students. I tutored female inmates and their children preparing for the GED. I worked at a student-run homeless shelter. I was really passionate about combating homelessness and, more broadly, poverty. So that was my focus when I graduated: How can I help as many people as possible? I started pursuing that at a permanent housing for homeless elders program in the Dorchester neighborhood of Boston. It was really rewarding.
But something was missing?
Yeah. My economics skills and my coding weren’t being put to use, that was missing, but I also felt like I wasn’t making maximum impact.
I was looking for ways to feel like I was making the impact I wanted, and that was when my dad wanted me to meet some of his friends and talk to them. Through that networking I got the offer at The Boston Company, and I accepted it. I was willing to, in my 20s, just try things.
So, you’ve now officially entered the world of finance. What were those early years like for you?
I got a job as junior quant because of my programming background. Right after I started in 2007, there was a quant meltdown and most quant factors stopped working. Then we had a liftout at my firm and lost a third of the assets. And then there was the ’08 financial crisis. So, I essentially entered the financial world at the peak in ’07 and then just watched it go down and down.
But alongside the turmoil of the industry, I still didn’t feel like I was adding value to society, maximizing impact.
It took years to have that ‘this is what I need to do’ epiphany. But when the lightbulb went off, it was like ‘How do I make this happen?’ It was like a switch – I can’t do anything except this.
And was making that epiphany a reality about carving out a role for yourself or searching out a perfect fit?
The homeless shelter was a far swing in one direction, traditional quant was a far swing in the opposite, so it was almost like trying to get the pendulum to a happy middle. And I believe everybody has that equilibrium, that full actualization, but you have to be so patient to get there. It would be great if everybody could find it immediately.
Hearing ‘don’t settle’ was probably more helpful to me than anything else. And I know that idea can be frustrating when you get to a point where you just want someone to tell you ‘Oh, I know! You should be an actuary.’ But for me, it was being encouraged to explore what I liked and didn’t like that helped most.
Do you feel like you’re where you’re meant to be now?
I’d grown up at my pervious firm. I was 24 when I interviewed, 25 when I started and with one company for 14 years. I think they still saw me as 24. But I’ve always felt like an old soul. I’ve felt 42 since I was probably seven. I turn 42 next year, so I’m really curious about what it will feel like – will I reach my soul age and just feel 42 forever? [laughs]
I think some people shy away from being the adultiest adult, but I’m happy to be the adultiest adult. And Impax has been very supportive of that.
You’ve found the way to make the impact you always wanted to.
I have. It’s so exciting being in an age where data is exponentially increasing every year – the possibilities are borderline endless. And when people ask for something that they might think is impossible or there’s something they wouldn’t even dream because they couldn’t conceive of how to calculate it, my answer is almost always ‘Yes, we can do that. Absolutely. Let’s do it.’
And my work with the Global Women’s Leadership Fund has opened my eyes in a way to a social issue I hadn’t really explored. Being the oldest and largest fund gives us a unique voice, an opportunity that should not be wasted. I think that there are things outside the realm of what investing can improve that need to be improved, but the platform we have and the environment that we are in is really interesting. Exploring the subject itself is fascinating.
What has fascinated you most?
When I was growing up, it didn’t feel like there was something I couldn’t do. I wasn’t learning ‘You’ll face discrimination.’ I wasn’t in sixth grade with someone asking ‘Well, how are you going to be a full-time programmer when you’ll be the default parent?’
When I get to talk to women financial advisors, especially those who are my age, they get so into it. Even just taking the opportunity to reflect on questions like ‘What role am I playing in this economy? I can contribute to the GDP, but is it being decreased because I’m watching kids? Is my husband’s GDP contribution impacted the same way mine is?’ They’re really bold ideas and to have the opportunity to explore that really deep impact as part of my work is really fun.
What’s next for the fund?
We just made a big change. We used to own the top 400 companies in the world. And now we’re doing a more efficient, optimized portfolio where we have a higher weight across more companies, so taking bigger bets in more gender leaders. When there were 400 names, we didn’t talk too much about the individual companies – but now I can really speak more directly about what individual companies are doing and get more impact-related.
I’m always looking ahead into what additional data we can include to measure the leaders. The gender score has been evolving over time. We started adding workplace equity factors (equal pay, the availability of women’s groups), which have been really powerful. I’m also exploring work flexibility and what that means in different industries and what it means for women and men. We’ve also spent a lot of time asking if voices can actually be heard, if diverse voices are being heard. It’s really a diversity of thought we’re looking for, in management and on boards.
What’s next for you?
Defining the future I want for my daughters and how we get there is what I’m obsessed with right now. I don’t think they want to work as much as they see me working. I love what I do, but I also think to them it looks like I’m working really, really hard.
We’re also in a phase where life has everyone so busy and spread thin, so I want to see how we can we apply economics to societal well-being. Where does that intersect? I see quantitative optimization as in line with personal optimization – thinking about optimal solutions for the Earth, myself, my family, my company. Once you are an optimizer, it’s hard to stop applying it to everything. [laughs]
As I mentioned, I’m a big runner and goal setter, and I’ve pretty much met all of my goals. So I spent the past winter training my sister to qualify for The Boston Marathon – and she ended up being five minutes faster than the qualifying time. Ten years ago, I don’t think she pictured herself getting up in the morning to go running, let alone qualifying for Boston. I think that is probably very indicative of how I go about things.
So, you’re an optimizer. Does that translate to optimism about the world?
Yeah, I think so.
I’m definitely an optimist by nature, possibly too optimistic. But I also think it’s a choice, again one of the mantras, ‘Life isn’t a dress rehearsal.’ I could choose to live and be worried about everything, but I choose to believe the best.
What is something you wish more people understood about what you do?
With the women’s fund, I do feel like there’s some degree of thinking that it’s about women trying to take over. And that’s very much not what I want; it’s about partnership and equality. Only 25% of executive management roles in MSCI companies are held by women. We’re not looking to make it 75%.
Ultimately, with everything I do, if we’re not making some effort to improve, what are we doing? What I want to do is about working together – that idea again that a rising tide lifts all ships.
I also think that caring ends up winning. My mom always cared about the world her grandchildren would live in and that her grandchildren’s grandchildren would live in and that definitely shapes my motivation as well.
We’re going to dive into some wildcard questions now. Who were your early heroes?
I don’t think there were many options that fit my interests when I was young – not a lot of tech heroes a little kid in the 80s would’ve been aware of. But I remember writing a lot about Abigail Adams and Dorothea Dix, so women in American history. I loved American history. In the town I live in during the War of 1812, there were two sisters, Rebecca and Abigail Bates, who fought off the invading British Army by themselves. That was my girl power story growing up.
My kids are also obsessed with history. We went to D.C. recently and had the chance to learn more about George Washington. He had this ability to be a moderating force, and I’ve really been trying to find more of that as I get older. I love the concept of creating your personal “board,” so someone with that talent for unifying people might be the chair of mine.
Who else would be on your board?
I look at Christine Lagarde as a woman and leader out there that I really respect. And Ray Dalio and his insights from a finance perspective. Also Sallie Krawcheck, she’s been at this for a while, so I definitely try to learn from her example. I’m still building out the board.
What is your most prized possession?
The ability to think, to have a functioning brain. My health, maybe that sounds silly. When I run, I’m obviously grateful that my body can move, but even if it couldn’t, if I could still learn, I think that would be enough.
You have an unexpected week off, what are you doing?
Well, I have three kids. They are 7, 9 and 12, so if I’m taking them vs. not taking them are very different answers. [laughs] But I have not had time to read, to just get lost in it. I will carry around non-fiction with me wherever I go and devour those, but I haven’t read a fiction book in years. I spent one week after I graduated from college and read all of the Harry Potter books. Looking back, that was a good week. [laughs] So I would probably hike a little and then read the rest of the time.
What some nonfiction you’ve been devouring?
I’ve been reading a book called Eve, which is about the evolution of the female body and why it is the way it is, like where the first lactation came from and all that. It’s not something that you really think about, even just medical care for women. Historically, so many of the studies that applied to all of us were done just on men. I love Stacy Simms’ [an exercise physiologist and nutrition scientist] work. So my non-work work is reading about optimizing the female body.
What is the best advice you’ve been given?
‘Nobody cares as much about what you’re saying as what they’re saying.’ It’s that idea of mindset, having positive voices in your head. No one is thinking ‘Oh, Christine messed up.’ They’re worrying about if they did.
What’s the best advice you can give?
Swing the pendulum. Trying things out. Explore. Don’t be afraid to try something different.
*Christine Cappabianca won Portfolio Manager of the Year in the InvestmentNews 2023 Women to Watch Awards. Raymond James is not affiliated with InvestmentNews.
Raymond James is not affiliated with Impax Asset Management or Christine Cappabianca.
This piece was featured in Aspire Magazine, a biannual publication from the Women Financial Advisors Network. View the latest.
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