GLEN ARNOLD INVESTMENTS
  • About
  • Newsletter
  • Books
    • My Books
    • Other Books
  • Blog
  • Portfolio
    • Buffett-style
    • Modified price earnings ratio
    • Net Current Asset Value
  • Resources
    • glossary of investment terms >
      • A - B
      • C
      • D - E
      • F - G
      • H - I - J - K
      • L - M - N
      • O - P
      • Q - R
      • S
      • T - U - V - W - Y - Z
    • TOP 10 TIPS FOR INVESTORS

John Templeton – a great investor who made many others wealthy

15/9/2021

0 Comments

 
In 1940 John Templeton bought for $5,000 an investment counselling firm with only eight clients owned by George Towne, an elderly man. With a name change to Towne, Templeton and Dobbrow and the purchase of second-hand typewriters and a second-hand library of research material and books (thrift at all times!), Templeton had arrived as an independent investment counsellor, aged 28. He could not afford to pay himself a salary for two years, and had to rely on savings to see him through.
He was a conscientious manager, seeing his role as that of someone who could, through sound investment, allow his clients to retire comfortably or send children to college.  His clients received an investment programme individualised for their specific needs.
He decided how to split a client’s money between bonds, equities and property. He also helped with estate and financial planning, offering a service to reduce income and estate taxes. He always regarded serving people as a pleasure – a greater pleasure than spending thousands of dollars.
One of his personal mottoes: ‘OPM is sacred’. OPM is other people’s money.
While cutting unnecessary cost he did not skimp on hiring the best talent.  He believed that you get a better bargain in the marketplace for executives and employees if you pay about 20% more than the salaries available elsewhere.  An excellent employee is worth more than two mediocre employees.
There is a major difficulty in scaling-up an investment-counselling business.  Each account has a unique set of objectives and circumstances relating to risk tolerance, taxes and timing.  Clients are on the telephone regularly and have a claim on the manager’s time.
It became increasingly apparent that a more rational, time-effective approach to managing money for other people was to set up mutual funds. He saw in this type of business a way of helping families of different income levels save money and accumulate wealth and security.
Templeton Growth Fund
Templeton, with a few colleagues, set u
………………To read more subscribe to my premium newsletter Deep Value Shares – click here http://newsletters.advfn.com/deepvalueshares/subscribe-1
0 Comments



Leave a Reply.

    Picture

    Prof. Glen Arnold

    I'm a full-time investor running my portfolio from peaceful Leicestershire countryside. I also happen to be UK´s best selling investment book author and a Financial Times Best selling author.

    Originally, I wrote all my ideas out in full on this website. Now that ADVFN publish them they are entitled to display the full version for six months – you can see them here. Thus can I only post the first few paragraphs here for anything younger than six months.

    I write 2 to 3 newsletters per week - investing is about making the right decisions, not many decisions.

    Categories

    All
    Berkshire Hathaway (NYSE:BRK.A)
    Caffyns
    Capital And Counties
    Character Group
    Charlie Munger
    Connect Group
    Daejan-lsedjan
    Dewhurst-lsedwhta
    Highcroft
    Investment-ideas
    Investment Philosophy
    John Templeton
    J Smart
    McCarthy And Stone
    MS International
    Orchard Funding
    Samuel Heath
    Tandem
    TClarke (LSE:CTO)
    Town Centre Securities
    Wynnstay

    Archives

    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020

    RSS Feed

In the short-run, the market is a voting machine – reflecting a voter-registration test that requires only money, not intelligence or emotional stability – but in the long-run, the market is a weighing machine.  Benjamin Graham




  • About
  • Newsletter
  • Books
    • My Books
    • Other Books
  • Blog
  • Portfolio
    • Buffett-style
    • Modified price earnings ratio
    • Net Current Asset Value
  • Resources
    • glossary of investment terms >
      • A - B
      • C
      • D - E
      • F - G
      • H - I - J - K
      • L - M - N
      • O - P
      • Q - R
      • S
      • T - U - V - W - Y - Z
    • TOP 10 TIPS FOR INVESTORS