Podcast Summary: How I Invest with David Weisburd

Episode 300: How I Raised $100 Billion w/ Rahul Moodgal

Date: February 9, 2026
Guest: Rahul Moodgal

Overview

This milestone 300th episode features Rahul Moodgal, a legendary capital raiser who recently surpassed the $100 billion mark in capital raised. Host David Weisburd and Rahul engage in a candid, wide-ranging discussion on the realities of capital raising, navigating the modern institutional investor landscape, the value of long-term relationships over transactional interactions, and the principles that underpin enduring success in fund management. Loaded with authentic anecdotes and actionable wisdom, the conversation pulls back the curtain on what it really takes to win over the world’s most discerning investors.

Key Discussion Points & Insights

1. The $100 Billion Milestone and Its Meaning ([00:00] - [00:45])

• Rahul confirms he exceeded the $100 billion milestone in late September, officially reaching $100.1 billion after a series of investor commitments.
• David jokes about the next targets, to which Rahul laughs, “I said to someone the other day, 250, but I don’t know if I’ll be alive that long. It’s getting harder and harder.” ([00:39])

2. The Capital Raising Environment in 2026 ([00:45] - [02:12])

• Capital raising is “so hard, so hard. And it’s still hard. It’s getting harder and harder because people have so many issues in their portfolios, particularly institutions.”
• Ongoing concerns include US government policy, liquidity crunches, and China exposure.
• Institutions are more cautious, emphasizing patience due to market volatility, inflation, and unpredictable politics.
• Rahul: “The hardest day to invest is today. I think just taking your time, which is what people are doing more and more, is the right way to do it.” ([02:09])

3. The Philosophy of “Waiting and Seeing” ([02:19] - [03:33])

• Investors no longer hurry into decisions and are comfortable with the “Joy of Missing Out” (JOMO), only investing when philosophical and operational fit is clear.
• Rahul: “Smart investors...are trying to understand, is there [a] philosophical fit? The values of our organization are [the] same as the values of this manager...Are they doing something that we don’t have in our portfolio already?” ([03:33])

4. Relationship-Building Over Transactions ([04:33] - [07:17])

• Successful and enduring capital relationships are built over years — even decades.
• Example: Recent October investors took 5-15 years to onboard.
• Rahul: “If I can pick up the phone and call that person [in] 20 years’ time, that’s what’s more important to me.”
• A long-term approach allows both sides to truly assess fit, leading to longer holding periods.
• Rahul: “If someone invests you because you've got good performance, then when you don't have good performance, they're going to redeem. So I think people taking their time is a good thing because the longer they take, the longer they'll stay with you.” ([03:33])

5. Partnership Mindset vs. Sales Mentality ([09:52] - [13:08])

• Authentic, trust-based relationships are prioritized over pressure sales or “wheelbarrowing” products.
• For Rahul, it’s “person-to-person,” not product-to-product.
• Notable anecdote: a two-million-dollar initial investment from Temasek scaling to $50 million, attributed to years of trust and relationship, not aggressive pitching.
• Rahul: “It was just pure luck...But that's, for me, it's a trust thing and I still have a relationship with them and speak to them.” ([12:18])

6. The Luxury (and Process) of Long-Term Thinking ([13:08] - [16:22])

• There’s a privilege to being able to take decades to raise capital and to only work with aligned partners.
• For Rahul, this comes from clear mutual alignment with the firm’s founder/CIO and a deep understanding of the path forward: “assets under management, infrastructure, and people” are the three non-negotiables when building a firm.
• Growth planning and the ability to withstand bumps depend on this alignment.

7. Building a Firm: The Realities of Scale ([16:22] - [18:37])

• Not all fast-growing firms are built to last.
• “Goal scorers” who raise capital rapidly often struggle when the market turns, never building grit or discipline.
• Rahul admires the “fighters,” who slowly grow and deeply value every investor.
• “It’s a fine line between it being an honor to manage people's money and people who feel it's their right...If you feel it's an honor, you appreciate the process.” ([17:18])

8. Relationship Strategies: Filling Holes vs. Building Trust ([18:37] - [21:09])

• Contrasting models: pure “hole-filling” approaches versus building relationships so you’re top-of-mind for new allocations.
• Rahul: “The philosophically long-term-minded relationship [approach]...is kind of suitable to my personality because I’m a people person. I’m not a transactional [type].” ([19:47])

9. The Importance of Trust and Transparency ([21:09] - [22:38])

• What wins mandates isn’t just top performance but integrity and transparency.
• Memorable quote: “Performance is commoditized, but integrity is not.” ([22:14])
• Real story: A pension chose Rahul’s firm because they honestly acknowledged (and logged) trading errors, where others did not.

10. LP Motivations and the Principal-Agent Challenge ([22:38] - [26:24])

• Fund investor motivations are complex and often driven by career incentives, not organizational mission.
• Some LPs are risk-averse, not for portfolio reasons, but to avoid career risk.
• Example: LPs avoid backing new funds because they may not be around to claim credit later.

11. Goodwill and “King-Making” in Early Stages ([25:12] - [27:56])

• Elite LPs (like Yale and MIT) focus on finding talent early, helping funds grow, and, in return, becoming their preferred partners for new deals.
• Goodwill, loyalty, and “king-making” are reciprocated over decades.

12. Diligence, Process, and Best Practices from Elite LPs ([28:43] - [31:14])

• Leading LPs have rigorous, transparent diligence processes (Rothschild Investment Trust; Texas Teachers with their “Texas Way”).
• Frustrations with fund managers' endless persistence can be solved if LPs communicate clearly (“it’s not a fit”).

13. The Value of Relationship-Driven Fundraising ([31:14] - [37:26])

• Case studies of 5-15 year sales cycles, focusing on consistent value-added in unrelated activities (introductions, market insights) and never forcing the “ask.”
• Rahul refuses to “ask for the sale” — instead, senses timing: “It’s because it’s a binary outcome...I’d rather wait; the longer you leave it, the chances are hopefully that it works in your favor.” ([34:07])
• Focus on fit: declining investors where there’s no philosophical alignment, even if capital is available.

14. Institutional vs. Retail/Intermediary Capital ([37:26] - [39:40])

• Rahul distinguishes between asset owners (endowments, pensions, families) and asset allocators/intermediaries, preferring the former for clarity and alignment.
• Honors the trust aspect: “I want to know who I'm dealing with...have access to people and spend time with them...you can't put a price on that.”

15. The Nature of LP Quality and Fund Durability ([39:40] - [42:54])

• The “quality of the capital determines the duration of that capital,” Rahul asserts.
• When adversity hits, high-quality LPs usually double down rather than redeem.
• Superficial performance-chasing money is the fastest to leave in tough times.

16. The Power and Limits of LP Influence ([42:54] - [43:34])

• LPs can set terms and even alter a fund’s destiny, e.g., by demanding “DPI” (distributions to paid-in) at inopportune times.

17. Charitable Work and Broader Perspective ([43:34] - [45:41])

• Rahul discusses extensive charity work — both as a value and as a grounding force.
• Teaches his kids to give back: “My mum always said to me there’s always going to be people worse off with you and then people better off than you. So just, you know, make sure that you're lucky and make sure you realize you're lucky and do good things.” ([45:41])

18. Success Factors and Industry Fundamentals ([46:31] - [53:19])

• Rahul: “I love people who are just themselves and they don’t conform...I love people who always send the elevator back down.”
• Career success is underpinned by integrity, mentorship, and helping others — especially younger industry professionals.

19. The Real Edge: Integrity ([49:20] - [53:19])

• Trustworthiness, honesty about mistakes, and proactive communication top the list for both successful GPs and durable LP relationships.
• Rahul: “If you're CIO of an endowment…one [manager] makes 30% per year but gives you no transparency…vs. someone who gives you 15%, fully transparent…Which are you going to do?”
• Prefers the lower-return, higher-integrity manager: “Because what certainly the GPs forget is that line of reporting...you need to be able to explain what’s gone wrong.”

20. Lead with Vulnerability; Avoid Optionality ([53:19] - [54:19])

• Rahul shares that he often leads a pitch with reasons why people might NOT invest.
• “We’re not here to [just] pitch. We're here to tell you why people don't invest with us. If it's a fit we can talk more and if it's not, it doesn't matter.” ([53:55])

21. Changing Views on AI and Tech ([54:19] - [56:15])

• Rahul is becoming more open to AI, especially for operational leverage, inspired in part by his children’s digital nativity and curiosity.

22. The Handwritten Thank You (“The Lost Art”) ([56:15] - [57:26])

• Rahul sends handwritten notes to people he meets—a tradition with deep personal meaning.
• He references Maya Angelou: “People may not remember what you said or what you did, but they always remember how you made them feel.” ([57:19])

Notable Quotes & Memorable Moments

• “Performance is commoditized, but integrity is not.” – Rahul ([22:14])
• “If I can pick up the phone and call that person 20 years [from now], that's what's more important to me than if they’re going to invest with the manager that I work with.” – Rahul ([06:07])
• “I love people who always send the elevator back down.” – Rahul ([47:11])
• On investors’ patience: “The hardest day to invest is today…just taking your time, which is what people are doing more and more, is the right way to do it.” – Rahul ([02:09])
• On the long view: “There’s a luxury and I pinch myself every day that I’m in a situation where I can be that long term.” – Rahul ([13:32])
• “Process, integrity, trust, understanding your edge, and learning from your mistakes” – Rahul’s key qualities for building successful fund management businesses ([15:21])
• “We’re not here to do that. We’re here to tell you why people don’t invest with us...If it’s a fit, we can talk more and if it’s not, it doesn’t matter.” – Rahul’s pitch philosophy ([53:55])
• On handwritten notes: “There’s nothing like getting a piece of mail because no one gets it anymore. It’s such a lost art.” - Rahul ([56:24])

Timestamps for Important Segments

• [00:00] The $100 billion milestone
• [00:50] Why the fundraising market remains tough
• [02:12] Why “wait and see” is rational for investors
• [03:33] Determining true fit: diligence and philosophical alignment
• [04:41] Five-to-fifteen-year fundraising cycles and investor patience
• [06:09] Why long-term access is more valued than a transaction
• [09:52] Relationship over transactional sales in fundraising
• [13:32] The luxury of being able to think long-term
• [17:18] Why fighters (not goal-scorers) make the best fund managers
• [22:14] “Performance is commoditized, but integrity is not” (memorable quote)
• [39:40] Why LP quality and alignment matter from day one
• [45:41] Perspective, values, and charity
• [47:11] “Send the elevator back down”—giving back in the industry
• [53:55] Leading with vulnerability: why honesty trumps salesmanship
• [56:15] On handwritten notes as the lost art of relationship-building

In Rahul’s Words — Final Thoughts

• “At the end of the day, it’s just finding the right people you can have great conversations with, have a good time with, and hopefully work with for a long time.” ([45:47])
• “People may not remember what you said or what you did, but they always remember how you made them feel.” ([57:19])

Additional Resources

• Previous episodes with institutional LPs: Ford Foundation (#289), CalPERS (#254)
• Further reading: “The Texas Way” due diligence doctrine (Texas Teachers)

By staying grounded in integrity, patience, and genuine connection, Rahul Moodgal illustrates a rare but proven path to capital-raising on a generational scale—one built not on relentless pitching, but on relentless trust.