The Art of (Not) Selling with Chris Cerrone

For this episode, we’re joined by Chris Cerrone. He is a Partner at Akre Capital Management. Prior to joining Akre in 2012, Chris served as an equity research analyst for Goldman Sachs & Co. in New York from 2010 to 2012. In that position, he covered restaurant and retail companies.He began his investment management career in 2007 as a junior equity research analyst with Century Capital Management in Boston. Chris graduated Summa Cum Laude with a B.A. in Economics from Tufts University.[00:01 – 07:13] Chris and Akre CapitalI welcome our guest for the episode, Chris CerroneChris talks about his background and Akre CapitalBeen a partner for 9 yearsFounded in 1989The 3 legged stool of AkreThe focus of AkreBuilding a portfolio of high-quality businessesSector alignments[07:14 –  26:20] The Art of Not SellingThe Art of Not SellingImpact of Politics, Economy, and Valuation on their PortfolioFocusing on businesses that are not as sensitive to political regime changesSelling businesses not based on ValuationThe Enemies of CompoundingAn illustrative riddle that shows the power of compoundingBuilding and maintaining relationships with the right people in the industryOne of the biggest mistakes Chris made[26:21 –  32:35] Investment Advice from ChrisHow to train ourselves to be better disciplined and hold long termAchieve deep understandingSimplifying everythingChris’ thoughts on the “Robin Hood’s” of the Market and the whole GameStop situation[32:36 – 41:04] Quick Hitting Questions with ChrisChris’ view on the trajectory of the Stock Market for the rest of the yearTests to base their decisions in their stock investmentsRecommendations from Chris[41:05 - 43:15] Closing SegmentConnect with Chris. See Links Below.Final wordsTweetable Quotes: “We don’t sell businesses on the basis of valuation.” - Chris Cerrone“There’s nothing worse than underestimating your management teams, moving on from the business and watching them do terrific things, and you are not there to participate.” - Chris Cerrone“Compound Interest is the 8th wonder of the world. He who understands it, earns it. He who doesn’t, pays it.” - Albert Einstein“The simpler ideas tend to do better in time. Simplicity to me is one of my guiding principles, and I think it really does help.” - Chris CerroneResources Mentioned: Akre Capital ManagementThe Art of (Not) Selling - Chris Cerrone------------------------------------------------------------------------------Connect with Chris, visit https://www.akrecapital.com/ Connect with Excelsior GP:Excelsior GP WebsiteLinkedInYouTubeConnect with me:LinkedInLIKE, SUBSCRIBE, AND LEAVE US  A REVIEW on Apple Podcasts, Spotify, Google Podcasts, or whatever platform you listen on. Thank you for tuning in and Stay Tuned for the Next Episode COMING SOON! Hosted on Acast. See acast.com/privacy for more information.