On Tuesday, March 28, alumnus Douglas Jamieson lectured to the SMIF class about his career with Gabelli Funds, LLC. Gabelli Funds oversees a variety of actively managed funds, all with a focus on value investing. Jamieson took time to explain the history of value investing, beginning with the seminal works of Ben Graham, through his protege Warren Buffett, to today. Gabelli Funds, through their value investing strategy, has remarkably low investment turnover – just 5% in any given year. Jamieson emphasized that Gabelli’s investment strategy is bottom up, based upon fundamentals, and done in a tax sensitive manner. Gabelli’s 40-50 analysts all have intense knowledge of one specific sector, giving them the required expertise to sift through investment options.
In the Q&A portion, Jamieson spent much of the time discussing the value-added from active management. In the ever-increasing debate between active and passive management, Gabelli Funds firmly believes that active management better shields against downside risk, and is able to identify strategic investment opportunities that passive management cannot.
SMIF thoroughly enjoyed hearing Mr. Jamieson speak, and we thank him for coming into class!