Manage episode 364354037 series 1394353
On today’s episode, Clay reviews one of Warren Buffett’s favorite investment books called The Outsiders by William Thorndike Jr.
IN THIS EPISODE YOU’LL LEARN:
00:00 - Intro.
01:56 - How we should evaluate the performance of a CEO during their tenure.
03:01 - How Henry Singleton led Teledyne to deliver a 20.4% average annual return to shareholders during his 30 year tenure.
09:18 - How most CEOs think like foxes, while Outsider CEOs think like hedgehogs.
22:15 - What it means to be an exceptional capital allocator.
26:17 - How Katherine Graham from The Washington Post delivered a 22.3% average return to shareholders from 1971 through 1993.
32:40 - The unconventional decisions that led Warren Buffett to become known as the world’s greatest capital allocator.
52:55 - How Buffett thinks about constructing a stock portfolio.
57:24 - The most common themes in studying Outsider CEOs.
Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences.
BOOKS AND RESOURCES
- William Thorndike’s book – The Outsiders.
- Check out our newly released TIP Mastermind Community.
- Check out our recent episode covering the 2023 Berkshire Hathaway Shareholder Meeting or watch the video.
- Clay’s previous episodes covering Warren Buffett’s full story – Part 1 & Part 2, or watch the video here & here.
- Follow Clay on Twitter.
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