We Study Billionaires - The Investor’s Podcast Network

RWH046: A New Golden Age w/ Bob Robotti

Jun 23, 2024

Bob Robotti, President & Chief Investment Officer of Robotti & Co., shares his insights as a seasoned investor with a 40-year track record of beating the S&P 500. He discusses why we may be entering a 'new golden age' for value investors and emphasizes the potential of Old Economy businesses. Bob predicts ongoing high inflation and outlines how globalization is shifting with China's changing role. He also shares his strategies for navigating the looming global energy crisis and the importance of mentorship in his personal journey.

02:02:25

Episode guests

Bob Robotti

AI Summary

Highlights

AI Chapters

Episode notes

Podcast summary created with Snipd AI

Quick takeaways

Transition towards energy-efficient practices benefits North American industries like chemicals and energy services.

Restoration of fallen industries drives a new golden age for active value investors.

Evolution of globalization shifts focus to Southeast Asia, India, and North America for infrastructure and energy demands.

Balance between economic needs and environmental responsibilities challenges resource extraction dynamics.

US strategic advantages in low-cost energy infrastructure position it for sustained growth despite global shifts.

Deep dives

Evolution of Globalization and Energy Transition

The evolution of globalization is shifting the economic focus from the West to Southeast Asia and India, with a growing demand for infrastructure and energy. This transition will lead to significant energy consumption as these regions replicate China's economic growth. North America is competitively advantaged in energy-intensive industries due to abundant natural gas, leading to lower energy costs and reshoring opportunities for industrial businesses in the region.

Exploring the New Golden Age for Investing and the Changing Economic Environment

03:05

Aligning with Owner Operators - A Shift in Investment Strategy

03:00

Adapting Investment Strategies to Changing Environments

01:19

Valuation and Risk in Financial Markets

03:16

Intro

4min

Foundations of Investment Wisdom

24min

Evolving Investment Strategies: The Power of Owner-Operators

5min

Evaluating Management in Investments

7min

Revitalizing Value Investing

29min

Globalization, Inflation, and China's Economic Shift

4min

Exploring Advanced Automotive Excellence and Strategic Investment Opportunities

3min

Navigating Investment in Energy Stocks

28min

Giving Back: The Power of Mentorship

6min

10.

Navigating Health and Investment

16min

In this episode, William Green chats with Bob Robotti, a great investor who’s crushed the S&P 500 over the last 40 years. Bob, the President & Chief Investment Officer of Robotti & Co, explains why he believes we’re in a “new golden age” for active, value-oriented investors (not index funds); why he expects persistently high inflation; why he’s betting heavily on the resurgence of Old Economy businesses; & how he’s positioned to profit from “the first truly global energy crisis.”

IN THIS EPISODE YOU’LL LEARN:

00:00 - Intro

12:18 - How Bob Robotti lucked into the ideal job for an aspiring investor.

33:19 - How working for Mario Gabelli was like a one-on-one MBA.

40:22 - Why Bob thinks we’re in a new golden age for savvy stockpickers.

40:48 - Why he’s betting heavily on a “metamorphosis of the Old Economy.”

46:16 - How globalization is evolving as China loses its edge.

50:49 - Why energy-intensive US companies have a long-term advantage.

57:33 - Why owning the “Magnificent Seven” looks like a risky bet.

58:23 - What an era of persistently high inflation means for investors.

1:03:35 - How value investing has changed.

1:19:01 - How Bob is positioned for “the first truly global energy crisis.”

1:38:06 - How his life has been enriched by helping young people.

1:43:45 - What he learned from his wife and father about facing adversity.

Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences.

BOOKS AND RESOURCES

Bob Robotti’s investment firm, Robotti & Co.
Bob Robotti’s writings.
Check out MedShadow.org, a health-related site founded by Bob Robotti’s wife, Suzanne.
William Green’s podcast with John Spears: Winning the Long Game | YouTube Video.
William Green’s book, “Richer, Wiser, Happier” – read the reviews of this book.
Follow William Green on X.
Check out all the books mentioned and discussed in our podcast episodes here.
Enjoy ad-free episodes when you subscribe to our Premium Feed.

NEW TO THE SHOW?

Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, Kyle, and the other community members.
Follow our official social media accounts: X (Twitter) | LinkedIn | | Instagram | Facebook | TikTok.
Browse through all our episodes (complete with transcripts) here.
Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool.
Enjoy exclusive perks from our favorite Apps and Services.
Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets.
Learn how to better start, manage, and grow your business with the best business podcasts.

SPONSORS

Support our free podcast by supporting our sponsors:

HELP US OUT!

Help us reach new listeners by leaving us a rating and review on Apple Podcasts! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it!

Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

Learn more about your ad choices. Visit megaphone.fm/adchoices

Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

Get the Snipd
podcast app

Unlock the knowledge in podcasts with the podcast player of the future.

AI-powered
podcast player

Listen to all your favourite podcasts with AI-powered features

Discover
highlights

Listen to the best highlights from the podcasts you love and dive into the full episode

Save any
moment

Hear something you like? Tap your headphones to save it with AI-generated key takeaways

Share
& Export

Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more