Peter Lynch was a huge advocate of Cliff Notes, so it’s fitting that one of my favorite video clips of 2023 was when Tim Heitman discussed his time working at Fidelity while Peter Lynch was managing the Magellan Fund between 1977 to 1990, racking up an annual average return of 29.2%. Tim talked about Lynch’s “Cliff Note” approach to quickly laying out a stock pitch.
The sales, earnings and thus share prices of cyclical stocks (cyclicals) tend to fluctuate with the overall economy and are associated with industries that are heavily affected by the economic cycle and consumer demand. (Example: stocks in the automotive, airline, hospitality, housing, building material and retail industries).
Cyclicals do well when the economy is strong and consumer demand is high, and conversely, can suffer when the economy is weak and consumer demand is low. This makes them an attractive investment class for those who are skilled at identifying economic trends or when it becomes fairly obvious that an economy is peaking or bottoming.
We came across a review by a verified reader, username Shashinka, on the book One Up on Wall Street by Peter Lynch and just had to share it. We couldn’t have written it any better and feel it encapsulates the […]
On December, 20, 2019, in an interview with a Fox Business segment, Barron’s Roundtable, Fidelity Asset Management vice chairman Peter Lynch gave his tips on how to beat the market and what made him one of the most successful mutual […]
What did Peter Lynch really mean when he said buy what you know? This subject came up once again in a recent 2019 interview he had with Fox Business News. It’s a subject I’ve covered before and thought I’d put […]
If you are familiar with legendary fund manager Peter Lynch and his must read book, One Up On Wall Street, you know exactly what “Buy what you know” represents. The Fidelity Magellan Mutual fund averaged an annual return of around 30% while Lynch was its portfolio manager between 1977 and 1990. Lynch was a big believer that even the average investor could achieve great success by investing in companies and industries that they have some type of relationship with.
As is explained in one of GeoInvesting’s cornerstone articles, “So You Want To Be A Full-time Investor? Follow these 10 steps”, there are many different ways to invest. I started investing in the 1980s, but it took me years to […]
Just as for many of you, Peter Lynch was my investing hero when I first decided that I wanted to become a full-time investor. Although I was exposed to the stock market by watching my dad research and buy stocks […]
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