You may or may not have heard of renowned money manager Joel Greenblatt. Over an illustrious career spanning more than twenty years, the Gotham Capital hedge fund manager racked up annualized returns of 40%, eclipsing the success of even his mentor, Warren Buffett. Investors who were on board with Greenblatt for his entire tenure at Gotham would have seen a $10,000 investment balloon to more than $8 million, earning 800 times their initial stake. #-ad_banner-#His remarkable track record didn’t happen by sheer luck, but rather through his focus on investing in a unique group of companies that shared one commonality. Read More
You may or may not have heard of renowned money manager Joel Greenblatt. Over an illustrious career spanning more than twenty years, the Gotham Capital hedge fund manager racked up annualized returns of 40%, eclipsing the success of even his mentor, Warren Buffett. Investors who were on board with Greenblatt for his entire tenure at Gotham would have seen a $10,000 investment balloon to more than $8 million, earning 800 times their initial stake. #-ad_banner-#His remarkable track record didn’t happen by sheer luck, but rather through his focus on investing in a unique group of companies that shared one commonality. Industry leaders like American Express, Liberty Media, Allstate, Expedia and Kraft Foods all carry this trait. And they each helped Greenblatt and fellow investors make millions… These companies are just a few of a long list of spin-offs that all once belonged to larger parent companies. And they all flourished after leaving the nest. Take spin-off biopharmaceutical maker AbbVie (NASDAQ: ABBV) for example. Since officially leaving its parent company, Abbott Laboratories, in January 2013, ABBV has risen more than 65%… beating the market by roughly 30%. Here’s another example. Just over two years ago, ConocoPhillips separated its upstream oil and… Read More