Anyone who got the investing itch in the ’80s or ’90s followed Peter Lynch at some point. He was the last star mutual fund manager — who left the game early and for the right reasons. Lynch was playing at another level than everyone else.
One of the best examples of this, that I’ve come across, was in the 1988 Baron’s Roundtable discussion. All these fund managers are in the same room. They’re a little jittery after the ’87 crash. They’re arguing about what’s next for the economy, interest rates, trade deficits, and “what if there’s a recession or another crash?” Basically, all the crap you hear on CNBC every day.
And then there’s Lynch — I picture him sitting quietly, smirking. Finally, he interrupts:
There’s always something to worry about. But it’s garbage to worry about these things… You have to look at corporate profits, and see what’s going on in the companies. It’s total garbage to worry about the things that’s going to drive us to a 300 Dow. It’ll be something you couldn’t imagine if you picked the brightest or dumbest people in the world and assembled them for hours.
Lynch made his point and none of it stuck because everyone went to back arguing about the economy. It’s his sarcastic, witty, cut through the noise style that really stands out and makes for some classic lines.
Here’s Lynch: Continue Reading…