The profound influence these investment icons have had on our firm and philosophy.

Transcript

Wisdom from Buffett, Munger & Graham

When I think of the investors and the teachers that have influenced me the most over my career, I think that list has to start with Ben Graham. Ben Graham was the father of value investing. He literally wrote the book, Securities Analysis, and then followed it up with the wonderful book, The Intelligent Investor. And both of those contain so many of the fundamental investment lessons that serve us today and that all investors should read and understand.

And then you think of Ben's most famous disciple, of course, it was Warren Buffett. And Warren was able to articulate Ben's wisdom in a way that is easy for people to understand. He developed a folksy way of explaining complicated processes and in that way was such a gifted teacher.

But if you were to ask me this particular lesson that I think about the most from Warren Buffett, it's not just the Ben Graham concepts, it's really the idea that he represents his shareholders in a position of deep trust. In other words he communicates with them as partners. He sees himself as a steward of their savings. And he imbues everything he does with a sense of enormous responsibility to those who have entrusted him with their savings. I think that is a powerful lesson to take away and central to the way I think about our firm and our responsibility.

And I think maybe if put all of these lessons together and think about the one overarching lesson that in a sense frames them all it came from Charlie Munger. And Charlie Munger told me when I was first starting, he said that your goal should be to live and work in a web of earned and deserved trust. And he said there's no substitute for the quality of life, the value that you can create, if you're able to earn and deserve the trust that's placed in you.

Related Videos

Video

$2 Billion Invested Alongside Shareholders

Our exceptional co-investment ensures that we focus on generating attractive returns, managing risk and minimizing expenses.

Video

Investment Lessons from My Grandfather & Father

“You make most of your money in a bear market, you just don't realize it at the time”, and other key insights.

Share this Video

This material is authorized for use by existing shareholders. A current Davis Funds prospectus must accompany or precede this material if it is distributed to prospective shareholders. You should carefully consider the Fund’s investment objectives, risks, charges, and expenses before investing. Read the prospectus carefully before you invest or send money.

Davis Advisors is committed to communicating with our investment partners as candidly as possible because we believe our investors benefit from understanding our investment philosophy and approach. Our views and opinions include “forward-looking statements” which may or may not be accurate over the long term. Forward-looking statements can be identified by words like “believe,” “expect,” “anticipate,” or similar expressions. You should not place undue reliance on forward-looking statements, which are current as of the date of this report. We disclaim any obligation to update or alter any forward-looking statements, whether as a result of new information, future events, or otherwise. While we believe we have a reasonable basis for our appraisals and we have confidence in our opinions, actual results may differ materially from those we anticipate.

Davis Advisors investment professionals make candid statements and observations regarding economic conditions and current and historical market conditions. However, there is no guarantee that these statements, opinions or forecasts will prove to be correct. All investments involve some degree of risk, and there can be no assurance that Davis Advisors’ investment strategies will be successful. The value of equity investments will vary so that, when sold, an investment could be worth more or less than its original cost.

Broker-dealers and other financial intermediaries may charge Davis Advisors substantial fees for selling its products and providing continuing support to clients and shareholders. For example, broker-dealers and other financial intermediaries may charge: sales commissions; distribution and service fees; and record-keeping fees. In addition, payments or reimbursements may be requested for: marketing support concerning Davis Advisors’ products; placement on a list of offered products; access to sales meetings, sales representatives and management representatives; and participation in conferences or seminars, sales or training programs for invited registered representatives and other employees, client and investor events, and other dealer-sponsored events. Financial advisors should not consider Davis Advisors’ payment(s) to a financial intermediary as a basis for recommending Davis Advisors.

Ben Graham, Warren Buffett, and Charlie Munger are not associated in any way with Davis Selected Advisers, Davis Advisors or their affiliates.

Shares of the Davis Funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including possible loss of the principal amount invested.

Davis Distributors, LLC, 2949 East Elvira Road, Suite 101, Tucson, AZ 85756, 800-279-0279, davisfunds.com