There is no guarantee that the funds will meet their objectives. Fannie mae and freddie mac are rapidly repaying the government, said bruce r. Bruce berkowitz was on cnbc recently discussing his thoughts about aig, which is accounts for 12% of his fairholme fund. Focus on bruce berkowitzs holdings in american international group october 01, 2010 about. Berkowitz is an american equity fund manager and registered investment adviser. I was asked a similar question when i once visited the u. He also comments on his recent nomination of former florida governor charlie crist to the board of st. Fairholmes stakes in aig warrants and bank of america common and.
Bruce berkowitz on the exceptional value in the financial. At this time, i would like to welcome everyone to the fairholme capital management fairholme or the firm june 2017 public conference call. Bruce berkowitz, the firms founder and chief investment. Berkowitz is a pulmonologist in delray beach, florida and is affiliated with one hospital. Berkowitz is famous for putting together one of the best records of the last decade in the mutual fund industry, returning about 11% per year since 2000 with billions of. Daniel schmerin june 29, 2017 edited for clarity and accuracy operator. But an experience like that reinforces some important lessonsone of. The release ran as a full page ad in several major publications like the wall street journal. In bruce berkowitz of the fairholme fund put 18% of his portfolio into aig. Donald yacktmans wild ride is berkowitz on the same path to redemption. Joe and his firm owns 30% of the company, released in early february 2011 a 63slide presentation entitled, windmark. Bruce berkowitz defended his strategy at fairholme capital management of investing in stocks shunned by others after his marquee fund suffered its fourth straight year of outflows. There have been a lot of eyes on fairholme fund manager bruce berkowitz lately.
Bruce berkowitz, head of the fairholme fund, discusses the funds holdings in american international group inc. The fairholme fund is an openend fund that offers daily liquidity. Bruce berkowitz the latest news about bruce berkowitz from the wsj deal journal blog. Huge egos undermine star fund managers marketwatch. Berkowitz founded fairholme capital management in 1997 and was formerly a senior portfolio manager at lehman brothers holdings and a managing director of smith barney. Bruce berkowitz is 56 years old and was born on 05011964.
Berkowitz, letter to clients, june 30, 2011 as the gap between aigs stock price and book value widened in 2011, we increased our stake. He graduated with honors from albert einstein college of medicine of yeshiva university in 1992. Bruce berkowitz to leave sears board of directors cnbc. We had a simple thesis that aig still had a franchise value, and that aig was worth at least tbv. Bruce berkowitz seeks return to glory by betting on. Thats right, just as soon as investors pile into the fund, berkowitz has a. Fairholme funds bruce berkowitz graham and doddsville. In your introduction to part iv, you wrote about the importance of evaluating companies free cash flow. David berkowitz, november 2015 page 3 of 9 3 lamore, paul r. All investments are subject to inherent risk, including possible loss of the principal amount invested. Fairholme funds bruce berkowitz 2017 annual report and. I came across an interview that the university of miami did recently with bruce berkowitz of fairholme funds. Having more than 28 years of diverse experiences, especially in diagnostic radiology, dr.
When i checked in on fairholme last night, i noticed that the funds assets. Berkowitz moved to put skeptics at ease over fairholmes unorthodox structure and business model, and he denied charges that the firms rapid growth has made it too. Bruce berkowitz and the magic press release the reformed. Bruce berkowitz was named mutualfund manager of the decade in 2010. Bruce berkowitz on wfc 90s free download as pdf file.
Berkowitzs fairholme sold almost all its aig shares in. Some truths about joe brought to light by fairholme capital management, llc. Bruce berkowitz buys more shares of sears as stock tumbles. Bruce also answers to bruce j berkowitz and bruce jeffrey berkowitz, and perhaps a couple of other names. The fairholme focused income fund was launched december 31, 2009. Fannie, freddie, bac, aig even the intelligent investor is likely to need considerable willpower to keep from following the crowd. Berkowitzs investment firm, fairholme capital management lp, sold 18. These doctors are often who adults see as their primary physicians because they treat a broad range of illnesses that do not.
Bruce a berkowitz affiliates with many hospitals including poudre valley. Berkowitz was named 2009 domesticstock fund manager of the year and domesticstock fund manager of the decade by morningstar, inc. My name is kristy and i will be your conference operator today. Bruce a berkowitz is a diagnostic radiology specialist in fort collins, colorado.
And the time to get greedy is when everybodys running for the hills with fear. This website is for informational purposes only and does not constitute an offer to sell, a solicitation to buy, or a recommendation for any security, nor does it constitute an offer to provide investment advisory or other services by sorfis investments, llc sorfis or any other entities related to or owned by sorfis. Given that many investors love seeing analysis from prominent investors, we figured this was a useful resource for readers. The fairholme fund and fairholme capital management, two funds run by investor bruce berkowitz, own more than 165 million shares, 10 percent of. As we have written in all of our letters, we bought aig at substantial discount to tangible book value tbv. Investors should have been paying attention as it subsequently. Interview with bruce berkowitz continued from page 5 scribed it before as a role. Goodman call for fundamental, radical reforms in the organization and approach of americas intelligence agencies. Page 4 interview with bruce berkowitz continued from page 2 all there. In response, bruce berkowitz of fairholme capital, who is now the chairman of st. Berkowitz, speaking during an interview at the tiger 21 conference in palm beach, florida, also talks about the outlook for investments in asia. Bruce berkowitz, 56 philadelphia, pa has court records.
Bruce berkowitz is leaving sears holdings board of directors, effective oct. They show why traditional approaches to intelligence fall short today, and they propose thoughtful alternatives that take into account recent changes in information technology and intelligence. Former fairholme fund managers dont share old bosss. Bruce berkowitzs investment thesis on aig slideshow. Berkowitz was named as the 2009 domesticstock fund manager of the year by morningstar as well as the domesticstock fund manager of the decade 20002009, also by morningstar. Bruce berkowitz we are running toward that which most people are running away from. Bruce berkowitz steps down from sears board but remains. Daily insights participant insights pdf library portfolio insights.
To the shareholders and directors of the fairholme fund. Bruce berkowitz interview with kelly evans on cnbc tv from friday sep 23rd 2016. Bruce berkowitz hopefully, at my point in the game, after doing this for about 30 years, there are no new lessons. Bruce berkowitz says no free lunch buying hated stocks.
The fairholme allocation fund was launched december 31, 2010. Berkowitz, managing member and chief investment officer of fairholme capital management. The fairholme manager frames aig as a company that trades at less than onehalf tangible book value, has a fortress balance sheet, has a. Bruce berkowitz knocked the cover off the ball for his. Interview with bruce berkowitz founder, fairholme capital. Berkowitz is the founder and chief investment officer of fairholme capital management, and president and a director of fairholme funds, inc in 2010, mr. A fund struggles and i cant look away acropolis investment. The same day, bruce berkowitz increased his position in the dying retailer 2. Miamibased fairholme fund, which just celebrated its tenth anniversary.
Aig, bac warrants bruce berkowitzs thoughts we have just read bruce berkowitzs semi annual letter and was more than glad to see him discussing about the longdated warrants that we have mentioned in previous posts. The fairholme fund has plenty of liquidity, with over 20% in cash and cash. Fairholmes bruce berkowtiz, us stockfund manager of the decade, discusses his large position in the financial sector and why he believes the big bets he is making do not amount to russian roulette. He thinks the company has a stronger balance sheet now, and is cheap with its franchise name still intact, despite the government bailout of the company. At yearend, and since inception, the fairholme fund increased 460. Bruce m berkowitz has the following 3 specialties internal medicine an internist is a physician who focuses on the diagnosis and treatment of conditions that affect the adult populationboth acute and chronic. Joes land holdings, fairholme is a tiny vestige of its former self. Fortune with aig stock cratering nearly 50% this year, all eyes have turned to investor bruce berkowitz, aigs largest private shareholder. Discussing banking trends and the future of aig, with bruce berkowitz, fairholme capital management.
Bruce a berkowitz diagnostic radiology, fort collins co. Absolute and relative returns for the fund were poor last year due to the chapter 11 filing of sears holdings, below plan operating performance at imperial metals, and significant investor fatigue with the governments socalled conservatorship of fannie mae and freddie mac. His fund now has lost 89% of its assets from a 2011 peak and he is staking a comeback partly on. Bruce berkowitz on the keys to success for the fairholme fund. He also defends his sizable position in bank of america corp nyse. Farrington 20, proactive responsive market orientation and marketing research and development integration, journal of product innovation management, vol. Aig, bac, fnma consuelo macks wealthtrack recently sat down with fairholme capitals bruce berkowitz to talk about his investments. Fairholme capital management issues statement on aig. Bruce berkowitzs fairholme is the largest shareholder of american international group, inc. Withaigs price significantly belowbookvalue,we initiated ourinvestment.
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