Back

He Left a $73B Hedge Fund to Fix a BROKEN System | Daniel Schoenbrun

With Daniel SchoenbrunEP 229

Ever wonder what it takes to leave a “dream job” in high finance managing billions to build something from scratch? What do you learn at the highest levels of investing that can be applied to solving messy, real-world problems? This episode is a masterclass in exactly that.

Meet Daniel Shonrom. After a 13-year career at institutions like Michael Dell’s family office and a $73B hedge fund, he walked away to fix one of the most broken parts of healthcare. He founded Exceptional, a fast-growing software company that is making waves by solving problems most founders would never even see.

In this deep-dive conversation, Meny Hoffman sits down with Daniel to uncover his playbook for finding true product-market fit, building an elite team of “drivers,” and applying the principles of high-stakes investing to the world of startups.

You’ll discover:
๐Ÿ‘‰ The real, unvarnished difference between VC, Private Equity, and Hedge Funds.
๐Ÿ‘‰ A critical warning about the hidden dangers of taking venture capital money.
๐Ÿ‘‰ How to find genuine Product Market Fit (PMF) by listening for pain signals (The “Mom Test”).
๐Ÿ‘‰ Daniel’s “Drivers vs. Passengers” framework for building a high-performance team with zero managers.
๐Ÿ‘‰ Actionable advice on when and how to raise capital for your startup without derailing your product.

If you’re a founder trying to solve a real problem, a leader building a team, or anyone curious about what it takes to bring structure to chaos, this conversation is essential listening.

Transcript

1:34 โ€“ Welcome Daniel Shonrom, CEO of Exceptional
2:56 โ€“ Daniel’s Journey: From a $73B Hedge Fund to Startup Founder
7:29 โ€“ The Real Difference: VC vs. Private Equity vs. Hedge Funds
10:10 โ€“ A Founder’s Warning: The Hidden Dangers of Taking VC Money
13:11 โ€“ The Problem He’s Solving: Fixing Healthcare’s Broken & Messy Backend
16:12 โ€“ Transferable Skills: How High-Finance Experience Built a Tech Company
20:07 โ€“ The “PMF First” Rule: Why Product-Market Fit is Everything
23:04 โ€“ The Mom Test: How to Find Real, Quantifiable Customer Pain
27:22 โ€“ Building an Elite Team: Daniel’s “Drivers vs. Passengers” Framework
33:31 โ€“ The Right Time to Raise Money for Your Startup
45:38 โ€“ Key Lesson from a Billion-Dollar Org: Radical Transparency & Teamwork
48:01 โ€“ Rapid Fire Questions with Daniel
48:42 โ€“ Meny Hoffman’s Final Key Takeaways

See More
Practical Pointers
Fix real problems, not trends. Daniel built Exceptional not to chase tech, but to solve a broken process in real people's lives. The market rewards clarity.
Ask "where's the friction?" Every manual task, especially in legacy industries like healthcare, is an opportunity for software. Start by asking what slows people down.
Complexity is the enemy of adoption. Daniel focused on making the product so simple and intuitive that everyone could use it. That's what makes it scalable.
Choose your early clients carefully. Instead of chasing everyone, Exceptional picked early adopters who wanted to innovate with them. That feedback loop made all the difference.
Your job as CEO is to create clarity. In a fast-growing company, confusion spreads quickly. Daniel's main job is to keep everyone aligned on what matters most.
See More
Guest Bio
Person Image
Daniel Schoenbrun

CEO of Exponential, a software company focused on making Post Acute Care more profitable.

Previously held strategy and operations roles at Boston Consulting Group, MSD Capital (Michael Dell's family office - $15B), Bluemountain Capital (closed hedge fund - $20B AUM at peak), and Millennium Management ($73B AUM)

See More
Share this episode with friends:

Available wherever you
get podcasts


    Are you human?

    Thank you
    for signing up!
    Continue browsing

    Never miss a new episode.

    Subscribe now for business insights from the experts to help you learn, grow, and lead

    Join the Community