Logo

    TIP527: The Epic Collapse of GE w/ William Cohan

    enFebruary 24, 2023
    1
    What innovations was GE responsible for?
    Who succeeded Jack Welch as CEO of GE?
    Why did Jack Welch regret firing Dave Cody?
    What led to GE’s decline under Jeff Immelt?
    How was Jack Welch’s management style described?

    • The Rise and Fall of GE: Insights from an InsiderSuccession planning and listening to advice from experts are crucial for the survival of an organization, even for highly successful companies like GE.

      GE was once the most valuable and admired company in the world, responsible for numerous innovations like electricity, diesel locomotives, jet engines, and more. However, its decline started with the CEO succession from Jack Welch to Jeff Immelt. Immelt could have saved the company by listening to advice from Bill Gross and Jim Grant, but he didn't. Now, GE is being spun off into three separate companies. Author William Cohan, who had worked at GE Capital, wrote this nearly 800-page book using his insights and research to uncover the company's history and the reasons for its fall.

    • The Unknown Truth Behind the Origin of General Electric (GE)General Electric (GE) was not founded by Thomas Edison, but by a merger backed by Boston venture capitalists. JP Morgan's financial engineering saved the company from a financial crisis in 1893, highlighting the importance of understanding the true history of an organization.

      General Electric (GE) was not actually founded by Thomas Edison, despite what the company promoted, but by a merger between his company, Edison General Electric, and Thomson Houston Company, backed by Boston venture capitalists. Thomas Edison, who was just a shareholder and not a great businessman, was against this merger and quickly sold his small shares after the announcement. GE's origin story involves legends like JP Morgan, Charles Coffin, and others. In 1893, the company faced a financial crisis, and if it wasn't for some clever financial engineering by JP Morgan, GE would've gone down the tubes. Understanding the true history of GE is essential to cut through the myths created about Jack Welch and the company.

    • The Rise and Fall of GE's Leadership InnovationsDecentralization can lead to lack of accountability, but a command and control approach can stifle innovation. Finding the right balance is important in leadership and business success.

      Charles Coffin was a major innovator and CEO of GE who created a system of genius that did not depend on him. He recognized the potential of generating electricity and merged his company with Edison General Electric, which became GE. There was resistance to adopting the technology, but Coffin resolved to have a fortress balance sheet and became a great leader of men. Decentralization at GE led to executives breaking the law and using circuit breakers. While a command and control approach can stifle innovation, decentralization can lead to lack of accountability. GE's growth became stagnant, and Ralph Coner tried to push down responsibility into the organization and pull back on the command and control nature of the business.

    • The Dark Side of GE's History: Collusion, Jail Time, and DismantlingBusiness success can come from ethical leadership and wise financial decisions, not just M&A expertise. Transparency and integrity are crucial in preventing conspiracies and corruption.

      The manufacturers of GE's electric equipment were caught colluding on the prices that they would charge customers- this elaborate signaling was done through codes and they met at industry offsites instead of learning industrial wisdom. This conspiracy went on for a decade until GE executives were put in jail. Ironically, Larry Culp was brought onto the GE board, who would later dismantle the company's big corporate apparatus spending billions a year. Jack Welch was heralded for buying back RCA, but he was just buying back a business that GE had started, and was forced to divest. Jack was a master at M&A, however, there were major issues with his leadership styles.

    • The Mixed Legacy of Jack Welch: A Leader with Charisma and ControversyJack Welch's leadership style was polarizing, with a focus on increasing market value at the expense of employee well-being. Despite this, he maintained a strong connection with people and left a lasting impact in the industry.

      Though Jack Welch was a great leader who increased market value, influence and reputation of GE, he could be cruel to employees and make fun of them. He was once known as Neutron Jack for his tendency to fire employees. He could be a womanizer and treated his first two wives poorly. He is contrasted with Jeff who was more sensitive to social causes. Even then, people who were fired by Jack still admired him and attended his funeral. Though he could be harsh, he could also have a real connection with people and be incredibly charming and open. His management style would have been an asset very early on in his career and needed to change as time went on.

    • The Successes and Failures of Jack Welch's Leadership StyleJack Welch, known for creating successful cable networks, was a decisive leader but also had flaws in his decision-making. Despite his denial, evidence suggests he may have manipulated earnings in certain deals.

      Jack Welch, the former CEO of GE, was a legendary figure capable of seeing around corners. He started two important cable networks- CNBC and MSNBC, and had the ability to change his mind when presented with a clever and reasonable argument. However, his personal behavior wasn't always admirable, and he did make a few missteps like merging GE and GE Capital with Kidder Peabody, which was an unmitigated disaster. Despite this, his decision-making skills were usually on point, and he tended to make the right decision, unlike his successor Jeff Immelt. He vehemently denied managing earnings or manipulating earnings, but evidence suggests otherwise, particularly around the first Kidder Peabody deal.

    • Balancing Industrial and Financial Aspects in Leadership - The Case of Jack Welch and GEAs a CEO, there is immense pressure to meet earnings projections. Balancing industrial and financial aspects is vital, but questionable decisions may lead to eventual consequences. Managing investor expectations is crucial.

      As CEO, there is immense pressure to meet earnings projections to maintain credibility and create shareholder value. For Jack Welch, this meant sometimes manipulating earnings or monetizing assets to fill gaps. While this may be seen as negligence or manipulating earnings, Welch saw it as a responsible way to fulfill his obligations. GE was a complex company with both industrial and financial aspects, and Welch's leadership aimed to balance both. Despite questionable decisions, such as selling off the computer business and later trying to buy back Honeywell, Welch led GE to be a highly valued company. However, eventually, the market came back to reality, and GE faced breakup. Similar to Tesla today, the market rewarded GE with an absurd multiple of earnings, showing the importance of managing investor expectations.

    • Jack Welch's Regrets as CEO of GEEven successful CEOs like Jack Welch make mistakes and have regrets. Abandoning potential acquisitions and firing key players can have long-term consequences. It's important to consider all factors before making decisions with far-reaching impact.

      Despite being a successful CEO, Jack Welch regretted his decision to appoint his successor. He did not regret his move into insurance but regretted getting out of the computer industry. Jack's biggest mistake was abandoning the acquisition of Honeywell, which could have tilted the earnings power back to the industrial side. His decision to abandon the Honeywell deal was due to EU's demand for selling various assets that he didn't want to sell. He also regretted firing Dave Cody, the former CEO of Honeywell. GE Capital was once a golden goose that later became an albatross due to arbitraging price that GE had to pay to borrow money.

    • Ignoring Expert Advice - The Downfall of GE CapitalIt's important for leaders to listen to expert advice, even if they believe they understand the risks themselves. Neglecting expert advice can lead to negative consequences for the company, as seen in the downfall of GE Capital.

      GE Capital was a profitable business that understood the risks it took, pricing them properly and getting paid for them, unlike other financial institutions that didn't understand risks. Despite warnings from experts, Jeff Immelt, who took over as CEO, ignored the risks and overestimated his own understanding of them. This eventually led to problems for GE Capital during the financial crisis, which Jeff had to beg the Treasury Secretary to solve. In retrospect, Jeff should have listened to his experts and sold GE's real estate business, which would have made a lot of money, instead of waving off their advice. Leaders should not ignore expert advice even if they think they know better, it could lead to negative consequences for the company.

    • GE's downfall and the importance of credit market understandingDespite once being an industrial powerhouse, GE's unregulated financial operations ultimately led to its downfall. Listening to experts, like Jim Grant, on credit market risks is crucial.

      GE, once considered an admired and respected industrial company, was one of the largest unregulated financial companies in the country. After the global financial crisis, they had to beg to be backstopped by the government as other financial institutions were and were subsequently declared a cfi and regulated by the Fed, which cost them over $2 billion a year. Jeff Immelt decided to get out of GE Capital, which he thought was brilliant but resulted in his being fired from the company. Jim Grant saw the risks that GE and GE Capital were taking, which would ultimately lead to their downfall, but Jeff Immelt failed to listen to his warnings. Understanding credit markets is important, and Jim Grant was insightful in picking up on issues going on in those markets.

    • The Importance of Protecting and Understanding Credit Ratings for CompaniesCompanies must prioritize protecting their credit ratings and understanding credit markets to avoid costly mistakes. Board members must hold CEOs accountable for the benefit of stakeholders, even if it means challenging them. Even major investments cannot save a company from failure if these steps are not taken.

      Credit ratings are crucial for a company's credibility and must be protected at all costs. However, understanding credit markets is still a challenge for many despite borrowing money and having interactions with banks. Jeff Immelt's failure to understand this cost GE its AAA credit rating. Additionally, GE's board failed to hold Immelt accountable despite their job being to challenge CEOs for the sake of shareholders, creditors, and stakeholders. Buffet's quote that CEOs go shopping for pit bulls but end up with cocker spaniels speaks volumes about the board's lack of action. Finally, getting a huge investment from Buffet did not save GE from becoming part of the death knell.

    • GE's Fall: Lessons for All BusinessesNo company is immune to failure. Consistent innovation and financial discipline are necessary for sustained success. Prioritize investing in core operations over risky investments and always remain vigilant.

      Key lesson from GE's fall from grace is that no company is invincible, and the seeds of a company's downfall can be sewn early on. It's important for businesses to not take their success for granted and to consistently innovate and adapt to changing market conditions. Jeff Immelt's mistake of using the proceeds from selling GE Capital to buy back stock instead of paying down debt proved to be a wrong investment of capital. Companies should always prioritize investing in their core operations and maintaining financial discipline instead of making risky investments. In the end, even the most dominant companies can fall from grace if they don't stay vigilant.

    • The Importance of Choosing the Right Successor and Understanding the BusinessChoosing a successor based on merit is vital for the success of a company. Leaders should be open-minded, listen to dissenting views, and value warnings from those who understand the business. Charm should not outweigh competence.

      Choosing the right successor and understanding the businesses you are inheriting are crucial for the success of any CEO. It's important to consider dissenting points of view and not surround yourself with yes men. Don't ignore warnings from people who understand the business you are in charge of running better than you do. Open-mindedness and willingness to listen to others can prevent failures like the one at General Electric, which could have been prevented. Succession should be based on merit and not just charm. Company leaders need to choose the best person to take the company forward, rather than the one who is politically adapt or charms their way to the top.

    Was this summary helpful?

    Recent Episodes from We Study Billionaires - The Investor’s Podcast Network

    TIP672: Quality of Earnings: Uncovering Hidden Red Flags w/ Clay Finck

    TIP672: Quality of Earnings: Uncovering Hidden Red Flags w/ Clay Finck
    Many investors who analyze stocks take the numbers provided by the company at face value, but there are times when this can be a massive investing mistake. To help shed light on what the earnings provided by a company really mean for us as investors, we reviewed the book — Quality of Earnings by Thornton O'Glove. Thornton is a Wall Street veteran known for pioneering red flag deviation analysis.  This book is an indispensable guide to determining how much money a company is really making to help us avoid making costly blunders. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 07:26 - Why you shouldn’t trust your analyst or the auditors. 15:13 - What to keep an eye on when reading an annual report. 22:35 - Red flags to look out for when analyzing a company’s filings. 31:13 - How managers and accountants can legally manipulate earnings per share, however they see fit. 34:06 - Tools we can use to help determine the quality of earnings for a company. 35:55 - How we can make use of accounting items like accounts receivable and inventory. 49:36 - The impact of dividends on your returns as an investor. 53:11 - The shortfalls of GAAP accounting. And so much more! Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Quality of Earnings book. Quality of Earnings in M&A. Related Episode: TIP667: Why Most Stocks Will Lose You Money w/ Hendrik Bessembinder, or watch the video. Related Episode: TIP601: Junk to Gold by Billionaire Willis Johnson, or watch the video. Related Episode: TIP656: Mastering Stock Selection with an Investment Checklist w/ Clay Finck, or watch the video. Follow Clay on Twitter. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Follow our official social media accounts: X (Twitter) | LinkedIn | Instagram | Facebook | TikTok. Check out our We Study Billionaires Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Connect Invest Public TastyTrade Fundrise Shopify American Express The Bitcoin Way ReMarkable Sound Advisory Facet SimpleMining Bluehost HELP US OUT! Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    BTC206: How Open Source Bitcoin Development is Funded w/ Matt Odell (Bitcoin Podcast)

    BTC206: How Open Source Bitcoin Development is Funded w/ Matt Odell (Bitcoin Podcast)
    In this episode, Matt Odell discusses how open-source Bitcoin development is funded through initiatives like OpenSats, the significance of ignoring Satoshi’s identity, and why Nostr, Cashu, and Fedi are critical for Bitcoin’s future. He also shares insights on building Bitcoin Park, a community hub, and reveals one of his pet peeves in the Bitcoin space. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 03:04 - Why it’s essential to ignore the mystery behind Satoshi’s identity. 08:26 - What OpenSats is and how it supports open-source Bitcoin development. 08:49 - Insights into building Bitcoin Park, a community space for Bitcoin enthusiasts. 18:38 - The importance of Nostr for Bitcoin communications. 27:26 - How Cashu and Fedi are advancing Bitcoin payments. 32:44 - Why Matt Odell is frustrated by price predictions in the Bitcoin space. 37:46 - Lessons Matt has learned from spending time around Jack Dorsey. Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Odell’s Nostr. Odell's Website. OpenSats Website. Book recommendation: Only the Paranoid Survive by Andrew Grove. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Follow our official social media accounts: X (Twitter) | LinkedIn | | Instagram | Facebook | TikTok. Check out our Bitcoin Fundamentals Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Connect Invest Public TastyTrade Fundrise Shopify American Express The Bitcoin Way ReMarkable Sound Advisory Facet SimpleMining Bluehost Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    TIP671: Unconventional Value: Contrarian Thinking and Outperformance w/ Larry Connor

    TIP671: Unconventional Value: Contrarian Thinking and Outperformance w/ Larry Connor
    On today’s episode, Kyle Grieve chats with Larry Connor about why being different is crucial to outperformance, why turning over the most rocks and ruthlessly eliminating opportunities is vital to success, why Larry searches for “train wreck” apartments to optimize, the importance of investing counter-cyclically, how being unconstrained by conventional thinking has propelled his success, the critical importance of being disciplined to your core values, and a whole lot more! Larry Connor is the founder and managing partner of The Connor Group. He founded the Connor group in 1992 with $400k and one investor to purchase three apartment communities. Today, the business has over 1,300 investors and $5 billion in assets. It operates in 18 markets across the United States. Larry is also the founder of The Connor Group Kids & Community Partners, a non-profit organization that helps disadvantaged kids in communities where The Connor Group operates. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 09:17 - The power of thinking of assets as operating businesses 12:11 - Why process is so essential in the refining process for filtering ideas 15:05 - Why Larry looks to purchase train wreck operations, he can optimize at the highest possible rates 17:51 - How utilizing counter-cyclicality is vital to outperformance 20:36 - Why you should position your business to grow during economic turmoil 21:33 - Why to think of failure as a learning experience and why failing is necessary to have exceptional returns 32:51 - The importance of people, plan, process, and perseverance in the success equation 35:30 - The importance of treating employees as owners and how Larry successfully aligned incentives 39:14 - Why being unconstrained from conventional thinking is so important 44:19 - Why long-term thinking has been so powerful for building conviction during economic downturns and how that long-term thinking has been vital to success And so much more! Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Follow Larry Connor on LinkedIn. Learn more about Larry Connor here. Follow Kyle on Twitter and LinkedIn. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Follow our official social media accounts: X (Twitter) | LinkedIn | Instagram | Facebook | TikTok. Check out our We Study Billionaires Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Daloopa Bluehost TastyTrade Miro Public American Express The Bitcoin Way ReMarkable Fundrise Facet Onramp SimpleMining Vanta Shopify HELP US OUT! Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    TIP670: Sam Zell’s Secrets to Spotting Bargains & Managing Risk

    TIP670: Sam Zell’s Secrets to Spotting Bargains & Managing Risk
    On today’s episode, Clay reviews the wonderful book — Am I Being Too Subtle by Sam Zell.  Sam Zell has an impressive background, having started his career in real estate in the late 1960s.  He was the founder and chairman of Equity Group Investments, a leading private investment firm. Over the course of his career, Sam made many bold moves and investments, earning him a reputation as a savvy and fearless investor. One of Sam’s most notable achievements was his role in creating the modern-day real estate investment trust (REIT) industry. He did this by founding Equity Office Properties Trust in 1997, which became the largest office REIT in the United States. In 2007, he sold the company for a record-breaking $39 billion. Just prior to passing away on May 18th, 2023, Sam had his final recorded interview with The Investor’s Podcast Network. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 07:38 - The story of Sam’s family escaping Poland in 1939 to head to the United States. 12:08 - Sam’s early entrepreneurial and real estate ventures. 28:15 - How Sam got the nickname as ‘The Grave Dancer’ within the real estate industry. 32:46 - Sam’s investment criteria when buying real estate. 33:36 - How Sam capitalized on finding bargains outside the real estate industry. 50:56 - An overview of Zell’s record-breaking deal in 2007. 59:12 - Sam’s critical insights into building a great culture. 01:06:54 - Sam’s key business principles that helped him become a billionaire. And so much more! Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Sam’s book. Related Episode: Listen to TIP552: Mastering The Art of Investing: A Deep Dive w/ Sam Zell, or watch the video. Follow Clay on Twitter. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Follow our official social media accounts: X (Twitter) | LinkedIn | Instagram | Facebook | TikTok. Check out our We Study Billionaires Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Daloopa Bluehost TastyTrade Miro Public American Express The Bitcoin Way ReMarkable Fundrise Facet Onramp SimpleMining Vanta Shopify HELP US OUT! Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    BTC205: Bitcoin Interest on FDIC Insured Cash Accounts w/ Alex Leishman (Bitcoin Podcast)

    BTC205: Bitcoin Interest on FDIC Insured Cash Accounts w/ Alex Leishman (Bitcoin Podcast)
    Alex Leishman discusses River's recent report on the 30% growth in business Bitcoin adoption, detailing trends in cross-border payments, treasury management, and the unique ways businesses are integrating Bitcoin. He also touches on River's major new service, the importance of proof of reserves, and shares insights on how companies can navigate volatility in the crypto space. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 01:46 - Why Bitcoin adoption among businesses grew by 30% in just one year 12:37 - How private companies are outpacing public firms in Bitcoin holdings 14:53 - The future growth trajectory of business Bitcoin holdings through 2026 15:54 - Three key areas where Bitcoin adds value for businesses beyond treasury management 27:34 - River’s new service offering interest on FDIC-insured cash deposits 30:05 - What big banks may misunderstand in the coming Bitcoin bull cycle 32:12 - How Alex Leishman stays balanced and his personal hobbies outside of work 34:26 - Top advice for newcomers to the cryptocurrency space 35:55 - Strategies for managing the volatility of Bitcoin Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Check out River’s Exchange Services. River’s recent report on Corporate Bitcoin Adoption. Alex on X (Twitter). Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Follow our official social media accounts: X (Twitter) | LinkedIn | | Instagram | Facebook | TikTok. Check out our Bitcoin Fundamentals Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Daloopa Bluehost TastyTrade Miro Public American Express The Bitcoin Way ReMarkable Fundrise Facet Onramp SimpleMining Vanta Shopify Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    RWH050: The Intelligent Investor w/ Jason Zweig

    RWH050: The Intelligent Investor w/ Jason Zweig
    In today’s episode, William Green chats with Jason Zweig about his updated & revised edition of Benjamin Graham’s The Intelligent Investor, which Warren Buffett describes as “by far the best book on investing ever written.” Jason, who also writes the Wall Street Journal’s Intelligent Investor column, explains why Graham’s classic book still holds vitally important lessons for today’s investors. He also shares what he’s learned from interviewing Buffett & Charlie Munger. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 03:33 - How Jason Zweig tackled the “honor & burden” of revising The Intelligent Investor. 11:06 - How Ben Graham’s 4 core principles can help you to invest intelligently. 25:24 - What a sudden plunge in Japanese stocks shows about the craziness of markets. 27:56 - What Jason views as the most important paragraph ever written about investing. 32:42 - How Warren Buffett & Bill Miller profit from being “inversely” emotional. 33:57 - How regular investors can win by tuning out Wall Street’s propaganda.  39:15 - Why you must decide if you’re an “enterprising” or “defensive” investor. 44:40 - Why maintaining a “margin of safety” matters more than anything. 48:40 - Why Jason believes index funds should form the base of your portfolio. 52:52 -Why it’s so hard to pick the tiny minority of “superstocks.” 1:00:21 - What dooms the vast majority of fund managers to underperform. 1:14:33 - How Graham’s most successful investment violated his own principles. 1:33:01 - What life lessons Jason learned from Graham, Buffett, & Charlie Munger. Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Jason Zweig’s website. Benjamin Graham’s The Intelligent Investor, revised and updated by Jason Zweig. Jason Zweig’s book on neuroeconomics, Your Money and Your Brain. Jason Zweig’s satirical survival guide to Wall Street, The Devil’s Financial Dictionary. William Green’s previous podcast episode with Jason Zweig | YouTube Video. William Green’s podcast episode with Christopher Begg | YouTube Video. William Green’s podcast episode with Peter Keefe | YouTube Video. William Green’s book, “Richer, Wiser, Happier” – read the reviews. Follow William Green on X. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Follow our official social media accounts: X (Twitter) | LinkedIn | | Instagram | Facebook | TikTok. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts.  SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Connect Invest Bluehost TastyTrade Miro American Express The Bitcoin Way ReMarkable Fundrise Facet Onramp SimpleMining Vanta Shopify HELP US OUT! Help us reach new listeners by leaving us a rating and review on Apple Podcasts! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    TIP669: Quietly Compounding at 20%+ Per Year w/ Derek Pilecki

    TIP669: Quietly Compounding at 20%+ Per Year w/ Derek Pilecki
    On today’s episode, Clay is joined by Derek Pilecki. Derek is a managing member and portfolio manager at Gator Capital Management, which manages Financials sector long/short portfolios for private partnerships and mutual funds. Since its inception in July 2008, Gator Capital has compounded capital at 21.0% per annum versus 11.8% for the S&P 500 over the same time period. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 01:48 - Derek’s experience of launching a financials-focused fund 10 weeks before the collapse of Lehman Brothers. 12:13 - Derek’s advice to aspiring hedge fund managers. 14:30 - How Derek achieved a return of 186% in 2009. 14:30 - What led Derek to purchase General Growth Properties, whose stock increased by 20x in less than one year. 23:25 - Why Warren Buffett likes financial companies, especially the big banks. 27:38 - Why Derek puts his focus on financial companies. 33:36 - How banks can create a sustainable competitive advantage in their market. 36:08 - Why First Citizens Bancshares is Derek’s top position in his fund. 46:44 - An update on the current market conditions for banks. 50:21 - How a high inflation environment would impact banks. 52:53 - Why Derek is long Robinhood. And so much more! Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Derek’s fund: Gator Capital. Derek’s letters. Related Episode: Listen to TIP634: Value Investing Fundametals w/ John Huber, or watch the video. Follow Derek on Twitter. Follow Clay on Twitter. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Follow our official social media accounts: X (Twitter) | LinkedIn | Instagram | Facebook | TikTok. Check out our We Study Billionaires Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Connect Invest Bluehost TastyTrade Miro American Express The Bitcoin Way ReMarkable Fundrise Facet Onramp SimpleMining Vanta Shopify HELP US OUT! Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    BTC204: Stablecoins vs Bitcoin w/ Allen Farrington (Bitcoin Podcast)

    BTC204: Stablecoins vs Bitcoin w/ Allen Farrington (Bitcoin Podcast)
    In this episode, Allen shares his thoughts on the Saifedean vs. Saylor debate on borrowing against Bitcoin, the role of stablecoins in expanding fiat, and their underlying protocols. He also delves into the risks of stablecoins compared to traditional bank accounts and highlights current technical risks in the crypto space. Allen gives his take on free speech and technologies like Nostr and discusses the growing custody and derivatives activity with institutions like BNY Mellon and IBIT. IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 01:26 - Allen’s perspective on the Saifedean vs. Saylor debate regarding borrowing against Bitcoin. 05:55 - Why stablecoins may or may not be more risky than traditional bank accounts. 10:26 - How stablecoins might help in the expansion of fiat currencies globally. 14:46 - Technical risks that Allen is currently concerned about in the crypto space. 27:19 - Whether stablecoins require protocols like Tron or Solana for long-term functionality. 31:51 How institutional involvement is changing the crypto landscape, from custody to derivatives. 39:48 - Allen’s views on free speech, Nostr, and supporting technologies for Bitcoin. 45:48 - The significance of BNY Mellon’s custody services and the approval of derivatives for Bitcoin. Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Allen's (X) Twitter Account. Allen on Nostr. Allen’s book: Bitcoin Is Venice: Essays on the Past and Future of Capitalism. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Follow our official social media accounts: X (Twitter) | LinkedIn | | Instagram | Facebook | TikTok. Check out our Bitcoin Fundamentals Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River 7-Eleven Toyota Connect Invest Bluehost TastyTrade Miro American Express The Bitcoin Way ReMarkable Fundrise Facet Onramp SimpleMining Vanta Shopify HELP US OUT! Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    TIP668: What I learned About Investing w/ Stig Brodersen

    TIP668: What I learned About Investing w/ Stig Brodersen
    In today's episode, Stig Brodersen outlines 10 things he has learned about investing since he started The Investor’s Podcast in 2014. In the second segment of the show, Clay Finck joins to discuss his top takeaways from his investing career.  IN THIS EPISODE YOU’LL LEARN: 00:00 - Intro 02:12 - Why you should be careful who you listen to about stock investing.  07:45 - Why you should not screen for stocks. 08:29 - Why Stig’s circle of competence is getting smaller. 11:31 - Why Stig do not read as many investing books as he used to. 16:05 - Why you should set up guardrails for yourself. 19:36 - Why you shouldn’t look at your track record more than once per year. 20:17 - Why you shouldn’t only have public equities in your portfolio. 31:23 - Why you should run your track record 1,000 times. 32:53 - How one could think about position sizing. 35:59 - What are the implicit assumptions? 45:43 - What Clay learned about investing. Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences. BOOKS AND RESOURCES Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members. Stig’s blog post on his portfolio and track record since 2014. Stig and Clay’s podcast episode on Stig’s return since 2014. Criteria of companies in the UK that Stig is interested in buying. Check out all the books mentioned and discussed in our podcast episodes here. Enjoy ad-free episodes when you subscribe to our Premium Feed. NEW TO THE SHOW? Follow our official social media accounts: X (Twitter) | LinkedIn | Instagram | Facebook | TikTok. Check out our We Study Billionaires Starter Packs. Browse through all our episodes (complete with transcripts) here. Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool. Enjoy exclusive perks from our favorite Apps and Services. Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets. Learn how to better start, manage, and grow your business with the best business podcasts. SPONSORS Support our free podcast by supporting our sponsors: River Toyota Daloopa Fundrise TastyTrade The Bitcoin Way Public Facet Onramp Fidelity SimpleMining Sound Advisory Vanta Shopify HELP US OUT! Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it! Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

    Related Episodes

    S3 Episode 8: The Trouble With Schenectady

    S3 Episode 8: The Trouble With Schenectady

    Schenectady, NY is a small city that's had a troubled past. Once known as "The City That Lights and Hauls the World", Schenectady has faced a police corruption scandal as well as other tragic events over the years. In the late 90's and early 2000's, Schenectady's Police Dept. was the focus of a federal investigation by the FBI while under the tenure of former police chief Greg Kaczmarek. 

    Author David Bushman was traveling up near Albany, NY when he got a Lyft ride from no other than former police chief Kaczmarek. The two formed a relationship which spurred the writing of his book, Forget It, Jake, It's Schenectady: The True Story Behind "The Place Beyond the Pines." The book reflects on the events that transpired while Kaczmarek was chief of police from 1996 to 2002.

    GDPR Weekly Show Episode 218 :- Queen Elizabeth II finances, East Renfrewshire, NHS Highland, Mormon Church, T-Mobile, 2K, Dialog, City of Tucson, General Electric, Latin America Cyberattacks, Optus, Zoetop, Shein, Europol, Europrivacy

    GDPR Weekly Show Episode 218 :- Queen Elizabeth II finances, East Renfrewshire, NHS Highland, Mormon Church, T-Mobile, 2K, Dialog, City of Tucson, General Electric, Latin America Cyberattacks, Optus, Zoetop, Shein, Europol, Europrivacy

    Coming up in this week's episode:

    Ministers ordered to release secret files concerning Queen Elizabeth II finances,

    East Renfrewshire Leisure data breach,

    Request for mediation after NHS Highland data breaches,

    Church of Jesus Christ of Latter Day Saints data breach,

    T-Mobile data breach compensation website established,

    2K data breach,

    Dialog data breach,

    City of Tucson data breach,

    General Electric agree settlement for damages after data breach,

    Chile, Peru, El Salvador, Mexico, Colombia cyberattacks,

    Optus facing investigations from multiple agencies after data breach,

    Zoetop and Shein fined after data breach,

    EDPB attempts to restrict Europol data retention,

    Europrivacy certificate approved by EDPB

    69: 10 Frases de Jack Welch que te Convertirán en un Mejor Líder - Mentor de Negocios

    69: 10 Frases de Jack Welch que te Convertirán en un Mejor Líder - Mentor de Negocios
    Jack Welch, fue el CEO más joven de General Electric. Su origen humilde no fue impedimento alguno para lograr sus metas profesionales. En apenas 20 años pasó de ser ingeniero a presidente de una compañía.
    Enfocó su gestión en ser transparente, empoderar a sus colaboradores y compartir las tareas. 
    Estaba convencido de que si un líder era la persona más inteligente de su equipo, algo andaba mal.  🔴 Suscríbete para no perderte los siguientes vídeos 👉 https://www.youtube.com/c/Jos%C3%A9MiguelGarc%C3%ADa1/?sub_confirmation=1 ★★★ Mentoring 1 a 1 para Emprendedores y negocios online ★★★ Crea y/o lanza tu negocio online escalable y automatizado en tan solo 3 meses, con mi ayuda como mentor. 👉 https://josemiguelgarcia.net/mentoria-emprendedores/ Los 3 pilares de mi programa de Mentoring 1 a 1 para Emprendedores: Mentalidad, estrategia y tácticas, y objetivos de negocio.
    ★★★ Escuela Online para Emprendedores con Formación Integral y Mentoring ★★★ La Escuela Emprendedores Digitales está diseñada para acompañarte paso a paso a crear, lanzar y hacer crecer tu propio negocio digital con mi ayuda, como mentor. 👉 https://emprendedoresdigitales.net ¿Quieres ir sólo o multiplicar tus probabilidades de éxito?
    Logo

    © 2024 Podcastworld. All rights reserved

    Company

    Pricing

    Stay up to date

    For any inquiries, please email us at hello@podcastworld.io