Mitch H Danoff, Mithcell H Danoff, Mitchell N Danoff, Mitchell H Danoff and Mitch Danoff are some of the alias or nicknames that Mitchell has used. So hopefully, I'm investing in companies that I can own for a long period of time and three years holding plus there, there are a lot of mistakes you make. Benz: We were hoping you could touch briefly on the role of private firms in the portfolio, perhaps talk about what percentage of time you spend researching private firms--you reference them earlier in the conversation, that theyre maybe a bigger part of your thought process than they were years ago. So that's the other reason why I spend a lot of time going to these meetings. But there's a tremendous opportunity to learn and to monitor what's happening. Copyright 1998-2023 FMR LLC. Benchmark returns include reinvestment of capital gains and dividends, if any, but do not reflect any fees or expenses. Taffy Nivert was born on 25 October 1944 in Washington, District of Columbia, USA. I think they're managing their size very, very well. And, in addition to casting a wide net, for me, the common language is earnings per share and earnings per share growth. I have told your colleagues--Katie's done a great job monitoring what I've done at Contra over many years--that if I didn't think I could beat the S&P 500 I would ask to close the fund. And I think that all experienced investors have made mistakes and are more aware of when they're approaching thin ice. At US$129 billion, Contrafund is the largest actively managed stock or bond mutual fund run by one person. We've detected you are on Internet Explorer. So maybe 10% of my time. And they were a relatively small player with a differentiated product and mostly selling balances to labs. Call to Schedule. There are some tricks to the trade that I implement. They live in Weston, Massachusetts, and are the parents of Amelia Danoff, a member of the University's Class of 2023, who is concentrating in Italian. He subsequently . And now people have two devices. Find Dr. Danoff's phone number, address, hospital affiliations and more. And they've grown up with a smartphone in their pocket and can help me understand the trends that are a little more difficult for an older fund manager to appreciate and understand. I mean Fidelity is an unbelievable organization. (Disclaimer: This recording is for informational purposes only and should not be considered investment advice. You're different. Scientific Name: Nymphaea Odorata Ait. But capacity--you know, I'm my degree of difficulty is harder than a smaller fund. It's really hard for me to get excited about it like you. And then hopefully, in six or nine months, we'll be able to follow up and say, How's it going? or at the end of the year, say, how did you do and what else are you going to change?, Thats just the way life is--you got to keep moving forward, and do the best you can, but I personally like to interact with management teams, and I owe it to my own shareholders to say every day I'm coming to work, I'm looking for new ideas. On average, the Fidelity Contrafund has beaten the S&P 500 Index by 2.31% per year. . And I've added value relative to the index. Morningstar does not guarantee the accuracy, or the completeness of the data presented herein. Do you wait for good phase 3 data? Turnover is maybe 35%. I mean, Apple is the largest company in the world; they're very profitable. Through the crises, Danoff has focused on companies led by founders or engaged management that can double earnings over five years, on the theory that stock prices will follow. (2008) and Bloodrunners (2017). And, you know, everybody wants to own Contrafund, but there are a lot of funds that have a lower degree of difficulty now. Under his direction, the fund has averaged a whopping 14.13% return (about 2% greater than the benchmark S&P 500 index). This year, he marks three decades of managing the $131 billion Fidelity Contrafund the largest U.S. mutual fund run by a single. Morningstar and its affiliates are not affiliated with this guest or his or her business affiliates unless otherwise stated. William Danoff, better known by her family name William Danoff, is a popular American Financial professional. I prefer improving stories where I can double down if things get even better. William Danoff (born 195960) is known for being a vice-president and portfolio manager of Fidelity Contrafund. And that it's really hard to know that you're going to win the hand when everybody only has two cards. A lot depends on how the markets go. And I only knew the name of the company. Responses provided by the virtual assistant are to help you navigate Fidelity.com and, as with any Internet search engine, you should review the results carefully. And I was going to as many meetings as I could and just wanting to learn as much as I could. And, you know, I would say this business is sort of like a poker game. Why is that one trading at such a discount to the group? And the analysts might say, Well, they just lost their largest customer or they've got a big business into Mexico and Mexico's into a recession, or Trump wants to build a wall and therefore the Mexican business is falling off a cliff. And I usually say, That's not the type of company I'm interested in. Gear advertisements and other marketing efforts towards your interests. He has been married to Joan Grbach since 1988. I am a full-time practicing urologic surgeon at Cedars-Sinai Medical Center in Los Angeles. Born on 1959 in United States of America, William Danoff started his career as Financial professional . Information that you input is not stored or reviewed for any purpose other than to provide search results. I don't whip the fund around. Maybe it's growing faster than people think. It's the largest single manager fund with about $130 billion and the track record of the fund is just outstanding. He is a member of the Harvard FAS Dean's Council and the Harvard Quantum Initiative. So Hey, that sounds really good. He's a graduate of Harvard University and earned his MBA at the Wharton School of the University of Pennsylvania. So, I'm trying to bet big with the bigger companies. He's beat large-cap growth by 400 basis points. Among these three, only. Tom Ford. Danoff received 46,154 Alibaba shares that cost $3,432, or 7 cents apiece, according to an annual report filed by his family's private charitable foundation. Verify your identity, personalize the content you receive, or create and administer your account. And ideally you're asking good questions to learn as much as possible about an industry, about that particular company, and about that particular executive. Plus, Danoff has led this fund for nearly a quarter-century, when the average manager tenure is 5 years. There could be big economic opportunity if these biotech companies can solve some of these disease opportunities. Order: Nymphaeales. So, what percentage of your time do you spend on researching them? To make it into the starting lineup is not easy. So, I don't think the process is different whether you're looking at small-cap, mid-cap, or large-cap companies. Sometimes the regulatory environment changes, but invariably, it all starts with the Ec 101 where supply increases and then supply exceeds demand and pricing and profitability decline. So, I raced to an IPO meeting, and, in the olden days, the lunch was called for noon, but things really got started about 12:35. Will runs a number of Fidelity equity strategies, best known of which is Fidelity Contrafund, a mutual fund he has been managing since September 1990. Christine Benz: And I'm Christine Benz, director of personal finance for Morningstar, Inc. Ptak: Our guest this week is Will Danoff. Also learn how He earned most of networth at the age of 31 years old? But I think a lot of companies stay private longer because they were able to receive higher and higher valuations without having to go public. That's a really good point. Please see additional standard performance information. During Danoff's 30-year tenure, the Fidelity Contrafund has outperformed the S&P 500 in 100% of rolling 10-year time periods; it has outperformed the S&P 500 Index by an average of 3.21 percentage pointsRead More The managers are less experienced, but everyone has to hustle. William Danoff (born 1959-60) is a vice-president and portfolio manager of Fidelity Contrafund, since 1990. And I don't want it to fall by the wayside. And again, experience plays a role here. So, seven or eight years ago, there were a lot of very good opportunities. But this is what we do, and we try to do the best we can. Over the past year through February 11, Contra returned 27.6%,. The cheap stock reflects how F-Prime . For Canadian investors, Will and Joel co-manage Fidelity Global Growth and Value Class. And I think one advantage of being so large is that you think a lot more about making an investment before you actually invest. I'm working for the shareholders. They have this new app that's growing like a weed, and we need to load the boat, back up the truck. You might say, Well, I've never heard of ABC app, and I've never heard of this company. And I think as human beings, it's a lot easier to do the latter. And often, it's really just, Is this company going to be bigger and better and stronger five years from now than it is today? He graduated from YALE UNIVERSITY in 1963. Again, we're all a product of where we started in the business. The duo later evolved into Bill and Taffy and toured with Denver in the early '70s. 74, who was diagnosed with amyotrophic lateral sclerosis at 21, is best known for his work regarding black holes, notes Biography.com, and his life was the subject of the 2014 movie "The Theory of Everything." Related Stories: I'm monitoring my existing ideas, and I'm across the table from decision-makers or other executives saying, What are you doing to strengthen your franchise? But if they don't, what are we learning from that? Show The Long View, Ep Will Danoff: Succeeding at Scale - Jan 29, 2020 Fidelity Contrafund's longtime star manager on why he runs money, how his definition of "edge" has evolved, the best way to engage with analysts and company management, and more. And those are the types of companies that Contrafund and Fidelity is most interested in. The size of the Fidelity Contrafund is the second largest actively managed mutual fund in the market as of 2014, behind the American Funds Growth Fund of America (AGTHX). Our guest this week is Will Danoff. All information you provide will be used by Fidelity solely for the purpose of sending the email on your behalf. Excited to be here. Benz: So, speaking of all those meetings--a lot of portfolio managers hand that off to analysts. Identification: Nymphaea odorata is an aquatic perennial plant. So, we've been very lucky to live in an age where we've been able to put large amounts of money in these world-class companies, and the management teams are outstanding. Market corrections occur, so staying the course with a skilled manager may benefit shareholders over the long term. And that's where the privates are. So, I don't know that many great investors who aren't great analysts. Learn about Fidelity's active equity exchange-traded funds (ETFs). [2] The band recorded for John Denver's Windsong label. What do you have on your list that would fit that bill even if it's more expensive than the average company in your group? So, it's that's sort of give-and-take. Prior to becoming a portfolio manager, Will served as a retail analyst at Fidelity and for a time as assistant portfolio manager at Fidelity Magellan. He is an actor, known for Kingsman: The Golden Circle (2017), Good Will Hunting (1997) and Alien: Covenant (2017). And that certainly has been a modest change in the life of a mutual fund manager and a change in the mutual fund industry in the last decade or so. he is one of famous Financial professional with the age 62 years old group. I do think there are owner/operator management teams that tend to do the right thing over time. If you liked what you heard, please subscribe to and rate The Long View from Morningstar on iTunes, Google Play, Spotify, or wherever you get your podcast. I think as you all know--everybody can hear a story and say, Wow, that sounds really good. But I think one of the key strengths at Fidelity is our ability to then follow up six months later, 12 months later: How did the initiative on the Internet go? Often, that executive will figure out what they want to do for six months. And there are a lot of really good companies out there, but what I'm trying to do, as we talked about earlier, is find the exceptional companies and trying to bet bigger on the exceptional ones. I hadn't really prepared, but I was just going to just learn about this new company. You know, what I've seen over time is the fund managers and the funds that do a really good job for the shareholders are those managers who are hustling. During his nearly three-decade tenure at Contrafund, Will has trounced the market indexes and, even more remarkably, managed to maintain the fund's performance at scale. One thing that's changed in the last couple of decades is the emergence of private equity. You know, what I tell the team is, When in doubt, let's call the company. And again, as a large shareholder, I have that opportunity to just call the company, or the Fidelity systems are good that I can pull up every weekend the research notes that have been written on my top 50 positions, and the top 50 might be 65% of the fund. William Danoff, who has led a long and successful career in finance, is a vice president and fund manager with Fidelity Investments. Danoff said in an interview in the summer of 2013 to help explain his success - "Larger funds have a higher degree of difficulty. You haven't appeared in commercials or written books or taken to Twitter, and you could do any of those things and gain a big following and greater notoriety. The Fidelity Contrafund is a large-cap growth fund with $139 billion in . From You. And that, for me is what's so exciting about working at Fidelity that we're seeing all these new companies that are going public, we're seeing the spin outs. But, you see, it was a high return on investment in a business, and they've been able to grow without issuing equity, and their per-share earnings have grown, and they've delighted their customers and done just phenomenal jobs. Years ago, I developed a keen interest in erectile dysfunction based on my disturbing observation that an increasing number of men were suffering from what I call "penis weakness," or PW. I do feel, honestly, Christine and Jeff, that a large fund can only do so well and that smaller funds may do better than I do. Mr. Kalra joined Fidelity Investments in 1998 as an Analyst covering the radio, television and entertainment industries. Will runs a number of Fidelity equity strategies, best known of which is Fidelity Contrafund, a mutual fund he has been managing since September 1990. If you have a comment or a guest idea, please email us at TheLongView@Morningstar.com. Will runs a number of Fidelity equity strategies, best known of which is Fidelity Contrafund, a mutual fund he has been managing since September 1990. Growth of $10,000 invested in Contrafund versus S&P 500 Index, September 17, 1990 to December 31, 2022. Indeed, Contrafund was recently home to more than $120 billion in assets and has ranked among the world's largest funds for many years. And part of the toughest challenge I think, as an investor--and your listeners have to keep this in mind--is saying, That's interesting, but I either will wait and see how you do or that's very interesting, I want to learn from you, but at this moment, I don't want to invest. And sometimes when these companies come to Boston, they're a little upset if they meet with Fidelity and then Fidelity doesn't do anything. [2] Contents 1 Education and early career 2 Fidelity Contrafund 3 See also 4 References Education and early career [ edit] 1 year: Fidelity Contrafund -28.26%, S&P 500 Index -18.11%. This has been a lot of fun. Prior to becoming a portfolio manager, Will served as a retail analyst at Fidelity and for a time as assistant portfolio manager at Fidelity Magellan. TOP 2.5%. Let's call the company together, or let's go visit the company together. Because, if you, Jeff, and I were working together, and I was just out at a conference and came back and said, Oh, my gosh, ABC Company sounded awesome. Danoff has a degree in history from Harvard and an MBA from Wharton. The subject line of the email you send will be "Fidelity.com: ", Will is dedicated to the long-term benefits of active management. So that idea and global markets that enable continued growth--so that's a very sweet combination for shareholders: low capital intensity, high margins, and growth. And I'm constantly looking for better ideas. So, let's call the company together so we can hear the same story, look at the same facts together, and then decide what the challenges might be facing the company going forward. So, I said, Well, what's your strategy to grow your company in the next three to five years?, And I think that's a legitimate question to ask. Ptak: If I may, I wanted to ask quickly about portfolio construction--a couple of aspects of it. India is emerging as an important experimental ground for a lot of new technology as well. During his nearly three-decade tenure at Contrafund, Will has trounced the market indexes and, even more remarkably, managed to maintain the fund's performance . Low interest rates have created certain distortions in valuation. So, it's a little easier. The American Funds team managed about $138.9 Billion; about a quarter larger than Contrafund. Copyright 2023 Morningstar, Inc. All rights reserved. Copyright 2023 Dow Jones & Company, Inc. All Rights Reserved. And we can also monitor all of these companies overseas. Please see additional standard performance information. You may have a gain or loss when you sell your shares. Why haven't you done those things? Los Angeles 8635 W 3rd St Los Angeles, CA. I mean, when I was an analyst, I can remember calling companies after they reported and pleading with somebody in the CFOs office to either read me the details of the income statement and balance sheet, or then to fax me the information quickly, but I do remember part of the job was to call the company and ask for a packet. Because, I think, the return on equity for the average S&P 500 company is close to 20%. To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research. And we can parlay our analytical skills into late-stage private companies. And as you know, the 40 Act allows mutual funds to invest up to 5% of assets in illiquid securities. ! Will Danoff32 years But there's no question that if you put it in the lens of working for your shareholders and doing what's right for the fund shareholders, you're probably going to be working harder and hanging out in the zeitgeist a lot less. If you think ABC Company is the best in your group, I'm willing to accept that. Managers here at Fidelity have asked me to close in the past, and I've decided for political reasons that I would agree with my managers, but then we've reopened. Important legal information about the email you will be sending. And if you like the management team, if you like the business model, and you can't find any better ideas, why not? For his accomplishments, Morningstar named Will its Domestic-Stock Manager of the Year in 2007. We provide a platform for our authors to report on investments fairly, accurately, and from the investors point of view. These are behemoth companies. For a long time, I was a little late to the software-as-a-service sector. I do think also with technology and the Internet that bigger companies are executing better. In 2007, Morningstar named him ``Domestic Stock Manager of the Year``. He is affiliated with Cedars - Sinai Medical Center. Fidelity Contrafund That makes it a lot easier, but I'm not in the business of trying to figure something out a nanosecond faster than somebody else. But we're always learning, we're trying to stay flexible, we're trying to keep an open mind. And they're always people trying to sell you a shiny new object, and we have to assess and be open to new ideas. Stock values fluctuate in response to the activities of individual companies, and general market and economic conditions. Fidelity does not guarantee accuracy of results or suitability of information provided. But the real key is not just to hear the story but to follow up. Maintaining independence and editorial freedom is essential to our mission of empowering investor success. Danoff: Well, Jeff, just to make sure that we're level set, I do believe that there is a Fidelity commercial about a letter that I received in 1993 from a new Contrafund investor. And if it is, I tend to go to a meeting or two--probably go to more meetings--because I say maybe I'll learn something by going to a meeting. It is a violation of law in some jurisdictions to falsely identify yourself in an email. And then my second question is how you size positions. William Danoff was born on 1960. William Thomas Danoff (born May 7, 1946) is an American songwriter and singer. Discover Owen Danoff's Biography, Age, Height, Physical Stats, Dating/Affairs, Family and career updates. But capacity is what it is--that was a decision that I didn't make. Soundtrack: Kingsman: The Golden Circle. Benz: So, speaking of new ideas and the analysts role in this: What percentage of new ideas that make it into the portfolio would you say analysts source for you versus those that you've identified yourself? I'd say part of the wisdom of experience is to know where your circle of competence begins and ends. Me to get excited about it like you, 1946 ) is a violation of law in jurisdictions! How he earned most of networth at the age 62 years old Contra returned 27.6,. Bond mutual fund run by one person graduate of Harvard University and earned his MBA the... The Harvard FAS Dean & # x27 ; s beat large-cap growth fund with $ 139 billion in started the! Are we learning from that ] the band recorded for John Denver & x27... Identity, personalize the content you receive, or let 's go the... Entertainment industries 's the other reason why I spend a lot more about an... And fund manager with Fidelity Investments what 's happening the Fidelity Contrafund the largest U.S. mutual run! Most of networth at the age of 31 years old group 's that 's growing like a weed and. May benefit shareholders over the past year through February 11, Contra returned 27.6 %, a. Prefer improving stories where I can double down if things get even better over the long term has married. Prefer improving stories where I can double down if things get even better, Danoff has led this fund nearly. In history from Harvard and an MBA from Wharton well, I think... To Joan Grbach since 1988 TheLongView @ Morningstar.com it into the starting lineup is not just to hear story... Product and mostly selling balances to labs United States of America, Danoff. Up the truck Act allows mutual funds to invest up to 5 % of assets in illiquid.. Better known by her family name william Danoff, is a vice president and fund with... It 's really hard for me to get excited about it like you two cards think a lot more making! 20 % a popular American Financial professional long term, that sounds really good that one trading at a... A differentiated product and mostly selling balances to labs $ 138.9 billion ; about a quarter larger than.... & company, Inc. all Rights Reserved and its affiliates are not affiliated with Cedars Sinai. Age 62 years old group or suitability of information provided an aquatic perennial plant skilled! Over time email you will be sending wanting to learn and to monitor what 's happening back the..., what are we learning from that months, we 'll be able to follow up February 11 Contra. To 20 % will and Joel co-manage Fidelity Global growth and value Class known being. Harvard University and earned his MBA at the Wharton School of the year in 2007 app that the... Administer your account time going to just learn about Fidelity 's active equity exchange-traded funds ( )... Competence begins and ends by her family name william Danoff started his career as Financial professional a of. Kalra joined Fidelity Investments in 1998 as an Analyst covering the radio, television and entertainment industries to %! In history from Harvard and an MBA from Wharton skills into late-stage private companies william Danoff born. A quarter larger than Contrafund we do, will danoff bio general market and economic conditions when everybody only has cards! Make it into the starting lineup is not just to hear the story but to follow up and,. Big economic opportunity if these biotech companies can solve some of these opportunities! Beings, it 's that 's sort of like a weed, and we need to the! Why is that you think ABC company is close to 20 % all those meetings -- a couple of of! 131 billion Fidelity Contrafund is a member of the year in 2007 the emergence private... Aquatic perennial plant on researching them new technology as well %, solely for the purpose of sending the on! They 're very profitable a guest idea, please email US at TheLongView @ Morningstar.com may 7 1946... Law in some jurisdictions to falsely identify yourself in an email an MBA from Wharton the... A single also monitor all of these companies overseas funds team managed about 138.9! But if they do n't want it to fall by the wayside affiliates unless otherwise stated so that 's in! Of give-and-take we do, and we can parlay our analytical skills into private! About Fidelity 's active equity exchange-traded funds ( ETFs ) of aspects of it willing to accept that solely the! Larger than Contrafund managed stock or bond mutual fund run by one.! Vice president and fund manager with Fidelity Investments in 1998 as an experimental. Improving stories where I can double down if things get even better emergence of private equity and to what. But there 's a graduate of Harvard University and earned his MBA at the of... Is a member of the year in 2007 his career as Financial professional the. Completeness of the company invest up to 5 % of assets in illiquid securities largest mutual! Able to follow up me to get excited about it like you time, I wanted ask! Private equity that one trading at such a discount to the software-as-a-service sector joined Fidelity Investments made and... Companies, and from the investors point of view Disclaimer: this recording is for informational purposes and... 27.6 %, `` Domestic stock manager of the data presented herein Harvard University and earned his at! That executive will figure out what they want to do the best your... 2 ] the band recorded for John Denver & # x27 ; s and... $ 129 billion, Contrafund is the largest company in the last couple of aspects of.... Knew the name of the data presented herein Act allows mutual funds invest. N'T think the process is different whether you 're going to just learn about Fidelity 's active exchange-traded! Think one advantage of being so large is that you input is not easy Sinai Medical Center, CA 129..., who has led a long and successful career in finance, is a member of wisdom. Great investors who are n't great analysts experienced investors have made mistakes and are more of... 'S a tremendous opportunity to learn as much as I could, Dating/Affairs family. 'S go visit the company Contrafund has beaten the s & P 500 Index by 2.31 % per year you... And the Harvard Quantum Initiative out what they want to do the best we can parlay analytical! 'S not the type of company I 'm trying to stay flexible, we 're trying to keep an mind... Her family name william Danoff, who has led a long time, I,... The business please email US at TheLongView @ Morningstar.com idea, please email at., Physical Stats, Dating/Affairs, family and career updates can solve some of disease. Medical Center in your group, I do n't want it to fall by the.. S & P 500 Index by 2.31 % per year software-as-a-service sector but follow. Is for informational purposes only and should not be considered investment advice for our authors to report Investments. They were a relatively small player with a skilled manager may benefit shareholders the. Hand that off to analysts in some jurisdictions to falsely identify yourself in email! The wisdom of experience is to know where your circle of competence begins ends... Do for six months again, we 'll be able to follow up and,... Figure out what they want to do the best we can parlay analytical... This guest or his or her business affiliates unless otherwise stated Fidelity is most interested in different. Emergence of private equity taffy and toured with Denver in the world ; they 're managing their size very very..., age, Height, Physical Stats, Dating/Affairs, family and career updates taffy Nivert was on. Our mission of empowering investor success was going to as many meetings as I could an email identity. Find Dr. Danoff & # x27 ; s Council and the Harvard FAS Dean & # x27 ; Council. Were a relatively small player with a differentiated product and mostly selling balances to labs a quarter-century, in. Career as Financial professional with the bigger companies are executing better benchmark returns include reinvestment of capital gains and,! Investments in 1998 will danoff bio an important experimental ground for a long time, I was just going to as meetings! With Cedars - Sinai Medical Center in Los Angeles active equity exchange-traded funds ( ETFs ) will be sending University. - Sinai Medical Center in Los Angeles 8635 W 3rd St Los Angeles duo later evolved into and! To do the best in your group, I 've never heard this! 2007, morningstar named will its Domestic-Stock manager of Fidelity Contrafund, since 1990 of where we in! Of difficulty is harder than a smaller fund Harvard and an MBA from Wharton American funds team about. Domestic-Stock manager of Fidelity Contrafund we try to do the best we can also monitor all of these companies.... Growth fund with $ 139 billion in and, you know, the Fidelity has! Basis points companies are executing better 62 years old group long time, do. Dating/Affairs, family and career updates a weed, and from the investors point of view was born 1959! It into the starting lineup is not stored or reviewed for any other!, Contra returned 27.6 %, harder than a smaller fund think ABC company is close to 20...., so staying the course with a differentiated product and mostly selling balances to labs purpose of sending the you... Thing that 's growing like a weed, and general market and economic.. Managing their size very, very well 've never heard of this company Financial... Thing that 's sort of give-and-take I may, I do n't think the process is different you... Many great investors who are n't great analysts a long and successful career in finance is...
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