We Study Billionaires - The Investor’s Podcast Network

RWH013: Move Slow, Win Big W/ Thomas Russo

Sep 18, 2022

In this engaging discussion, Thomas Russo, a renowned global investor known for his long-term investment strategies, shares invaluable insights from his encounters with legends like Warren Buffett and Bill Ruane. He reveals his philosophy on enduring short-term pain for long-term gains and emphasizes the critical nature of brand loyalty. Russo discusses the risks of agency costs, his successful investment journey with Berkshire Hathaway, and the significance of ethical investing. He also explores how curiosity fuels his investment decisions and the role of innovation in combating climate change.

01:39:57

Episode guests

Thomas Russo

AI Chapters

Episode notes

Intro

2min

Lessons in Value-Driven Investing

28min

Exploring the Legacy of Post-War Investors and Modern Sponsorships

4min

Investment Philosophy and Strategic Decisions

27min

Navigating Profitability and Long-Term Growth

3min

Investing with Perspective: Short-Term vs Long-Term Strategies

8min

Navigating Uncertainty: Investment Risks and Innovations

20min

Driven by Curiosity: Insights on Integrity

8min

Embracing Patience for Long-Term Success

2min

IN THIS EPISODE, YOU’LL LEARN:

02:17 - What Tom Russo learned from a life-changing encounter with Warren Buffett in 1982.
09:53 - Why “agency” cost is one of the greatest risks facing all investors.
14:02 - Why Tom favors companies that willingly endure pain today for gain tomorrow.
16:02 - How he rode Berkshire Hathaway from $900 to more than $430,000 per share.
21:08 - Why Buffett’s team of successors should do fine when Berkshire is in their hands.
27:17 - What Tom learned while working for investment legend Bill Ruane.
38:16 - Why Tom immediately sold Wells Fargo & Altria after realizing they’d lost their way.
48:46 - Why Tom loves brands where consumers believe there’s “no adequate substitute.”
53:39 - Why Tom is bullish about Heineken’s long-term future, even after owning it for 36 years.
01:07:08 - How Tom succeeds by resisting short-term temptations & deferring gratification.
01:16:09 - What Tom failed to understand about Alibaba & the political risks of investing in China.
01:23:11 - How Tom thinks about moral questions like whether it’s okay to own tobacco stocks.
01:25:51 - How innovators like Nestlé & Heineken are helping to combat climate change.
01:35:13 - How Tom’s investment success is fueled by his insatiable curiosity.
01:37:41 - What Tom learned from Charlie Munger about the importance of trusting your gut.

*Disclaimer: Slight timestamp discrepancies may occur due to podcast platform differences.

BOOKS AND RESOURCES

Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Stig, Clay, and the other community members.
Thomas Russo’s 2018 Google Talk on “Global Value Investing.”
Warren Buffett discusses Bill Ruane, who ran the Sequoia Fund & helped train Tom Russo.
William Green’s book, “Richer, Wiser, Happier” – read the reviews of this book.
William Green’s Twitter.

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