Search found 11 matches

by Fredfig
Tue Jul 12, 2022 3:13 pm
Forum: Investing - Theory, News & General
Topic: Investing in Search Funds (IRR's of 30%+)?
Replies: 5
Views: 891

Re: Investing in Search Funds (IRR's of 30%+)?

Coincidentally, I'm actually preparing to enter into a search process! It's a biased perspective, but I've shared mine below: Short Answer: Yes, it can be compelling, but depends on the searcher(s) you're backing and their investment thesis. Long Answer: There's lots of appeal about investing in search funds. A search fund is a concentrated bet on one or two individuals to find, acquire, and then operate a single business. You have the possibility for higher returns because searchers are buying businesses at 5x - 6x their EBITDA, with reasonable leverage. In speaking with investors in the space, everyone suggests removing the outlier "home run" acquisitions, and in doing so they calculate a percentage return in the high 20s, net (...
by Fredfig
Fri Apr 03, 2020 4:37 pm
Forum: Personal Finance (Not Investing)
Topic: Where Did You Find Your Best Hires?
Replies: 2
Views: 480

Where Did You Find Your Best Hires?

Hey Folks, I love this community and the outlook of the folks on it, so I've come to you asking for advice. I have a question that is loosely investing related, but would value your thoughts anyways. I'm talking about hiring and team-building, the investment by an organization in its people to create a return (financial, cultural, etc.). My question is this: How (and where) did you find the best hires you've ever made in your career? I'm particularly interested in unconventional ways that people have found talent. My industry (finance, private equity, business operations & strategy) usually selects for credentials (Ivy League degree, etc.), and I'm not convinced that this approach is based on first-order principles that are necessarily ...
by Fredfig
Fri Mar 01, 2019 12:11 pm
Forum: Personal Consumer Issues
Topic: Leaders you look up to?
Replies: 3
Views: 590

Leaders you look up to?

Hey Everyone, I've been reading this forum for three years now, and you all have given some incredible advice. If you're willing, I'd like to ask you to share your thoughts on leadership. My question is prompted by a conversation a friend of mine had. He had the chance to ask Charlie Munger and Peter Kaufman what advice they recommended to driven young people in their careers. The advice that stuck out most was two-fold, but I would like to explore the second point below: 1: Problem Inversion - Invert every problem you face. For example, don't ask "How can I be happy?", but rather ask "What will I need to do to make myself unhappy?" 2: Leadership - They stressed leadership as a key trait that isn't common these days. The...
by Fredfig
Wed Feb 27, 2019 11:03 am
Forum: Personal Consumer Issues
Topic: Things to do in Indiana
Replies: 64
Views: 6478

Re: Things to do in Indiana

If you are swinging through South Bend, I agree with earlier comments that Notre Dame is worth a trip. The campus is gorgeous, the church on the campus is breathtaking, and many of the buildings of interest are generally open to explore. A nice restaurant around the area is Corn Dance, it's reasonably priced for the quality. Barnaby's is a pizza place that's local I believe and has a good vibe. A popular spot these days is the Evil Czech brewery, which has a wonderful Sunday brunch small plate special.

Bloomington is a very cool, cultural town. Tons of good food, a beautiful campus to walk and see. I'd swing by for the food at the very least.

Maybe I shouldn't have been thinking about recommendations right before lunch...
by Fredfig
Mon Feb 26, 2018 8:11 pm
Forum: Personal Consumer Issues
Topic: Value of an Elite MBA
Replies: 58
Views: 8759

Re: Value of an Elite MBA

Everyone, I am blown away by the thoughtful responses, and really thankful for you all taking the time. I'll try to address some comments in turn. I'm an MIT MBA from the 1990's. I can honestly say that every single alum I'm in contact with considered their time at MIT to be life changing and absolutely worth the time and expense. I have never heard anyone voice regrets over attending. I absolutely love MIT's program, and it would certainly be on the list of the ones I am struggling to evaluate. The challenge I see comparing the 1990s landscape to now is the rise in the prevalence of MBAs (diluting competitive advantage given), the increased cost in real terms, and the increased reliance on technology driving a higher demand for technical b...
by Fredfig
Fri Feb 23, 2018 10:33 pm
Forum: Personal Consumer Issues
Topic: Value of an Elite MBA
Replies: 58
Views: 8759

Value of an Elite MBA

I love the philosophy of this website and the people on it. You folks do a tremendous job of focusing on real, verifiable value both in investing strategies and in life more generally, if you have the time, I'd love to get your thoughts on the value of an Elite MBA (Top 5) in light of its costs. Question: I'd love to hear your thoughts on the value of going to an elite MBA (Harvard, Stanford, UChicago, etc.) in light of its sky-high costs. This would be for someone not interested in Investment Banking or Management Consulting. Have any of you taken this path, and if so, how did it turn out? Context: I was accepted to a Top 10 MBA program out of undergrad. Turned it down because I had no work experience to contribute to the classroom beyond ...
by Fredfig
Thu Dec 14, 2017 9:49 pm
Forum: Personal Finance (Not Investing)
Topic: Picking College and College Scholarships
Replies: 650
Views: 96310

Re: Picking College and College Scholarships

Shoot me a message if you want to talk about Notre Dame. I was a 2017 grad who managed to make it through with no debt, would be happy to talk about the experience.

Note: My signature line is from a professor there, would definitely recommend you check him out. A good embodiment of the school's mission.
by Fredfig
Fri Aug 04, 2017 2:19 pm
Forum: Personal Finance (Not Investing)
Topic: Deciding between retirement and general savings in my 20s
Replies: 28
Views: 4009

Re: Deciding between retirement and general savings in my 20s

Consider How to withdraw funds from your IRA and 401k without penalty before age 59.5 . This is an outstanding link, thank you so much for sending it. So much more thorough than most of the more mainstream published articles I've read online. I recently turned 30, and my biggest regret is not maxing out my 401K and holding on to too much cash in the early years out of college because I thought I might buy a place sometime in my 20s. I'm curious to know if that is a regret because you did not purchase a place, because you oversaved, or some other reason? Fredfig, I am an engineer. My in-laws are in finance. So, I have no idea what you meant by job security in both areas. Period of unemployment lasting more than 1 year is common. Plus, many ...
by Fredfig
Fri Aug 04, 2017 12:54 am
Forum: Personal Finance (Not Investing)
Topic: Deciding between retirement and general savings in my 20s
Replies: 28
Views: 4009

Re: Deciding between retirement and general savings in my 20s

Thank you for all the responses everyone! It is all really appreciated. Let me try to answer some of the questions: B) Trad. 401K is a tax-deferred account. It is not a retirement account. You can get money out penalty free before 59.5 years old. At your current income and tax bracket, you should contribute the maximum of 18K into the Trad. 401K. It is a tax planning tool. It is not a retirement account. I did not realize that was the case. I have been reading that generally any withdrawals before the age of 59.5 would be penalized by an additional 10% on top of your regular tax obligation, not including cases of hardship. Where have I gone wrong? OP, E) Your current plan of expenditure assumes that you will be fully-employed over multiple ...
by Fredfig
Thu Aug 03, 2017 5:08 pm
Forum: Personal Finance (Not Investing)
Topic: Deciding between retirement and general savings in my 20s
Replies: 28
Views: 4009

Deciding between retirement and general savings in my 20s

Hey everyone, this is my first post in the forum after discovering you in June. I just graduated in May with a Finance degree and am starting my first job in a week. I thought it would be a great time to ask the community for some of their quality advice. Generalized Question: I was wondering if anyone could lend their perspective on the decision to allocate what % of your income to general savings for major life purchases (home, wedding, vehicle, etc.) and retirement savings, respectively, particularly for someone in their early and mid-20s? My Thought Process Leading to the Question: I understand that compound interest and the tax benefits of retirement vehicles are such that putting money in early is critical. However, I expect there to ...