Peter Lynch is a well-known American investor, an iconic figure in the world of finance. For 13 years he was at the helm of the Fidelity Magellan project, which during this time has become the largest foundation in the world. Lynch has shared his experience in the investment field in numerous books.
Biography: early years
Peter Lynch was born on January 19, 1944 in the American town of Newton, Massachusetts. His family was not rich. Father died suddenly when Peter was 10 years old. The mother was unable to provide for the family properly. At the age of 11, Peter had to earn money.
He got a job as an errand boy at a prestigious golf club. His duties included carrying the players' clubs. Lynch was paid $ 700 a month for this. The lion's share of his salary went to pay for school.
While working at the golf club, he befriended a number of influential people in his city. These acquaintances influenced the choice of life path.
At 19, he bought shares for the first time. Then Lynch invested in a company that was engaged in the transportation of goods. He bought its shares at $ 7 apiece, and a year later their price soared almost fivefold. Lynch spent the profits earned on his education at Boston College, where he studied finance.
In 1967, Peter served in the army. At the time, the Vietnam War was in full swing. Lynch was sent to the war zone. After returning from the army unharmed, he enrolled in the famous business school at the University of Pennsylvania.
Career
After receiving an MBA, he took a job at Fidelity Magellan. The company specialized in investing in little-known firms in the hope of developing them. Lynch worked there as an analyst.
Thanks to him, the portfolio of Fidelity Magellan has always included shares of promising companies. At one time, Lynch relied on brands such as Chrysler, Taco Bell, Dunkin 'Donuts. Now they are known in many countries of the world and bring a solid income, but then they experienced certain difficulties. This fact never bothered Lynch. An excellent analyst, he knew how to anticipate the situation for several years ahead.
Peter soon became head of the research department of the company, and then he was entrusted with the management of an entire fund. In 13 years of work, Lynch increased Fidelity Magellan's profits to 2,700%, making it the largest fund in the world.
Newspapers and financial magazines began to write about Lynch. He was soon named America's best investor. This title still belongs to him.
In 1990, Peter left Fidelity Magellan. By that time he was only 46 years old. However, he managed to accumulate a decent amount of money, which allowed him to live comfortably on interest. After leaving the world of big finance, Lynch began to devote a lot of time to his family.
Despite Peter's multimillion-dollar wealth and a home in an elite neighborhood, the Lynch family lived modestly. Peter donated royalties from the sale of books to a charitable foundation, which he and his wife created in 1987. It was mainly the spouse who was engaged in it. According to Lynch, she lived on this foundation. The couple sponsored many Catholic schools in the States, giving monetary rewards to her students.
Many attribute Lynch's success solely to luck. However, it is not. Its work is based on a set of rules. This is confirmed by Lynch's books, in which he shares secrets with his fellow investors. His guide "Beat Wall Street" is very popular. It sold out in millions of copies and is still being reissued.
In it, Peter spoke in detail about his strategy in the investment market. So, he tried to acquire shares of little-known firms for a long time. It is important that they work in a narrow niche, and the product of their activity is clear to him.
Lynch was in no hurry to invest in high-tech companies. In those days, few believed in their success, Peter was no exception. Lynch, on the other hand, often acquired shares in food service companies. He believed that they will certainly make a profit, because people are always hungry. Lynch avoided investing for a short time in every possible way and compared it to playing in a casino.
Peter believed that money could be made at any age. He even published a textbook on investment for children and teens. In it, he shares his main secrets in a simplified form.
Personal life
Peter Lynch was married. In 1968, he married a girl named Caroline. They have been together for 47 years. In 2015, death separated them: Caroline died of acute leukemia. She was diagnosed a couple of weeks before her death.
Three daughters were born in the marriage: Mary, Annie and Elizabeth. They have long been adults, live separately and have their own children.
Lynch's wife was the trustee and chairman of the family charitable foundation. After her death, the organization was headed by her daughters.
Peter Lynch has grandchildren. In 2016, he had a granddaughter, whom it was decided to name in honor of his late wife Caroline.
In 2018, in an agreement with the Boston authorities, Peter financed the opening of a garden on Hanover Street. At his insistence, the green oasis was named Caroline Lynch. Peter and his daughters cut the ribbon in a solemn atmosphere. The Boston authorities went to meet the investor, because he and his wife never refused financial assistance to both the city and its individual citizens.
Lynch resides in Back Bay, Boston's upmarket neighborhood. After the death of his wife, he began to often visit his daughters.
