Company: Equity Group Investments
Credo: Losers also can be interesting.
Nickname: Dancing on bones.
Quote: "Look for the good companies with the bad balance sheet and solve for yourself how far you can go to minus".
Principles. Zell looks for the failed companies which can be bought at a bargain. He isn't afraid of debts. Its approach is completely opposite to Buffett's ideas: find badly operated companies with weak balance sheets — and you will be able to earn much if business goes uphill. In the late sixties Zell also developed the concept of investment funds of real estate (REIT) which allowed ordinary investors to buy shares in apartment houses, providing the markets with liquidity through the Wall Street.
Mistake. The Tribune Co publishing house bought by Zell in 2007 went out of business.
Invest like Zell. Many of the largest holdings of Zell, such as Starwood Hotels, Anixter International and Equity Residential, bargain at the exchange.
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