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Chris penned our third quarter letter on his first year anniversary with the GreenWood team.
- Exor exemplifies why “dead money,” is a truism that is never true when skin in the game is involved, as Builders continuously compound value regardless if the market is paying attention or not. Ideally, like our coinvestment, the fundamental value compounds faster than the stock;
- A personal experience in Jerusalem is a perfect anecdote about how stakeholder win-win outcomes are necessary for any progress to be made, particularly in a 500-year old business;
- Two business models encapsulated by the “pub approach,” or the “tourist approach,” underline why reputation and skin in the game correlate to the long-view. We are long pubs and short tourists;
- Boeing is a tourist that maximized short term profits and management bonuses over safety. It continues to choose profits, meaning passengers and shareholders are in for a turbulent ride in 2020;
- The opposite approach in aerospace has been taken at an Italian aviation company we recently repurchased in a very timely fashion.
Also, if you are a coinvestment investor, Steven has posted a refreshed model and a 19-page note in the data room summarizing the very considerable progress achieved and bright roadmap ahead. Click here to access our coinvestment research page.
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