Legendary Investors: The 11 Greatest of All Time

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Everyone naturally wants to find that investment fund or strategy that delivers stellar returns year after year. Yet, while fund performance often fluctuates with market trends, a select few investors consistently achieve remarkable success. Here’s my list of the top 11 investors ever. Many of these names will be familiar, but others might surprise you. Rather than ranking them, I’m highlighting individuals who have thrived using various investment philosophies and strategies. For individual investors, studying these experts can be invaluable. Their success often stems from a deep commitment to their investment principles, which is worth noting.

1. Benjamin Graham
   Known as the “father of value investing,” Benjamin Graham’s method involves buying shares in strong yet overlooked companies. While value investing has lost some favor recently, it was highly successful for Graham, whose firm posted average annual returns of about 20% from 1936 to 1956. He penned two crucial investment books: "Security Analysis" and "The Intelligent Investor."

2. Jack Bogle
   Jack Bogle, the founder of The Vanguard Group, revolutionized investing by introducing the first index fund in 1976. His concept was rooted in his college research, which showed that most mutual funds underperformed stock market indexes due to their fees. Today, Vanguard manages $7.1 trillion, and their low-cost index funds are a staple in many portfolios.

3. John Templeton
   John Templeton was a pioneer in global investment diversification. During the Great Depression, he bought shares in every New York Stock Exchange company selling for less than $1 each. This bold strategy paid off, especially after World War II when stock prices rebounded. Templeton was a staunch value investor who preferred fundamental analysis.

4. Peter Lynch
   Peter Lynch managed Fidelity’s Magellan Fund in the 1980s, delivering average annual returns of 29% over 13 years. He championed value investing and coined popular investment terms like "invest in what you know" and "ten bagger." Starting from humble beginnings, Lynch’s personal story includes buying his first stock with money he earned as a golf caddy.

5. Warren Buffett
   Warren Buffett, the “Oracle of Omaha,” grew his wealth to over $100 billion through astute investments and a frugal lifestyle. As chairman of Berkshire Hathaway, he transformed it from a textile company to a major conglomerate. His long-term investment strategy has resulted in impressive average annual returns of 18.3% since 1965, surpassing the S&P 500’s 10.2%.

6. Charlie Munger
   Charlie Munger, Warren Buffett’s right-hand man at Berkshire Hathaway, is also an investment legend. Before joining Berkshire Hathaway, he achieved a 19.8% average annual return with his own partnership from 1962 to 1975. Despite his incredible success, Munger has given much of his wealth to charity.

7. Nassim Taleb
   Nassim Taleb is famed for his "barbell investment strategy," which involves holding most of one’s portfolio in extremely safe assets and a smaller portion in high-risk, high-reward investments. His approach paid off during the 1987 stock market crash and the 2008 financial crisis. Taleb’s books, "The Black Swan" and "Antifragile," explore how rare events impact markets.

8. Ray Dalio
   Ray Dalio, co-chief investment officer of Bridgewater Associates, manages one of the world’s largest hedge funds. Known for innovative strategies, Dalio’s firm made profits during both the 1987 crash and the 2008 financial crisis. His self-made fortune grew from humble beginnings, starting with his first investment at age 12.

9. Peter Thiel
   Peter Thiel, co-founder of PayPal, turned a $2,000 Roth IRA investment in 1999 into $5 billion. Initially a law graduate, Thiel shifted to business, launching companies like Palantir Technologies and Clarium Capital. His story highlights the potential of well-timed, entrepreneurial investments.

10. Carl Icahn
    Carl Icahn is a master at buying distressed companies and turning them around for profit. Founder of Icahn Enterprises, he’s transformed firms like TWA by selling off assets and going private. Starting as a stockbroker, his aggressive tactics have earned him a net worth of $32.1 billion.

11. George Soros
    George Soros, renowned for his philanthropy and hedge fund management, gained fame for shorting the British pound in 1992, netting a $1 billion profit. His Quantum Fund has produced $43.9 billion in gains since 1973. Soros’s strategy involves high-stakes speculation, contributing to his current net worth of $6.7 billion.

Final Thoughts
Imagine if you could invest equally in funds run by these legends. While they typically cater to large institutions, their high-risk strategies are not for everyone. However, considering a small slice of your portfolio for such audacious investments might be worth exploring. Are you ready for the challenge?