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The Growth of Brown and Brown Insurance
Brown and Brown Insurance has increased its dividend for the past 29 years in a row. The company completed 19 acquisitions with annual revenues of about 132 million last year. Their CEO is Jay Powell Brown, who is the grandson of Adrian Brown who originally started the company back in 1939. Chris: I'd expect them to continue to deliver consistent results for the long-term.
On today’s episode, Clay Finck reviews Joel Tillinghast’s book, Big Money Thinks Small, and does analysis on two companies built around acquisitions - Brown and Brown Insurance and Constellation Software.
Joel is an incredible long-term investor as he has consistently outperformed the market and currently manages around $70 billion at Fidelity. Peter Lynch, who hired Joel at Fidelity, has described Joel as “one of the greatest, most successful stock pickers of all time.”
IN THIS EPISODE YOU’LL LEARN:
00:00 - Intro
06:04 - Why some level of speculation is required in every investment.
08:07 - What speculations are acceptable in Joel Tillinghast’s conservative investment approach.
10:34 - What you need to understand about a company prior to investing.
13:02 - Why Tillinghast avoids investing in gold.
20:20 - Why investing in countries with the fastest GDP growth rate isn’t a wise investment strategy.
29:52 - Clay’s insights into two acquisition-focused companies - Brown and Brown Insurance and Constellation Software.
37:27 - Why Constellation Software may be worth further investigation for stock pickers interested in high quality businesses.
Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences.
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