Bill Miller & Ed Hyman: Favorite Investment Ideas [VIDEO]

Part 2 of an exclusive interview with Wall Street legends, Ed Hyman and Bill Miller (see part I of the interview here)! Where do both pros think there is the most money to be made this year? Hyman gives his “one free pass” for investors and Miller shares his two “no brainers.”

Bill Miller and Ed Hyman video and much more below

Michael Mauboussin: Here’s what active managers can do

michael mauboussin, Credit Suisse, valuation and portfolio positioning, capital markets theory, competitive strategy analysis, decision making, skill versus luck, value investing, Legg Mason, The Success Equation, Think Twice: Harnessing the Power of Counterintuition, analysts, behavioral finance, More Than You Know: Finding Financial Wisdom in Unconventional Places, academics , valuewalkThe debate over active versus passive management continues as trends show the ongoing shift from active into passive funds. Q2 2020 hedge fund letters, conferences and more At the Morningstar Investment Conference, Michael Mauboussin of Counterpoint Global argued that the rise of index funds has made it more difficult to be an active manager. Drawing Read More

Investment Legend Bill Miller recently sat down with Wall Street’s number one economist Ed Hyman for an exclusive WEALTHTRACK television interview. Miller, who remains the only mutual fund manager on record to beat the market for 15 consecutive years has gone through some rough patches but he always comes back. His Legg Mason Opportunity Trust fund is once again leading the pack. It was named the number one mutual fund in 2012 and number 2 last year in The Wall Street Journal’s Winners’ Circle ranking of diversified U.S. stock funds. Legg Mason Opportunity Trust was up 40% in 2012 and 67% last year. Miller talks about what he sees as his competitive edge.

Favorite book

The Everything Store: Jeff Bezos and the Age of Amazon

Action Point

Look for Consistency, Discipline, Ceaseless Effort and Honesty from your investment professionals.

Investment Ideas

HYMAN: “A BIG DEAL” Inc. (AMZN) Price: $395.80 on 1/16/14 52-week range: $245.75 – $406.89

“I think this tech thing is really a big deal. There are two billion people on the Internet today, and in four years it’ll be four billion people globally, and I’m reading the book by Bezos about Bezos on Amazon right now, and I just got a feel.”


Own Housing, Financial and Airline stocks Financial Favorite: Citigroup Inc. (C) Price: $52.60 on 1/16/14 52-week range: $40.28 – $55.28

Airline Favorite: United Continental Holdings Inc. (UAL) Price: $47.21 on 1/16/14 52-week range: $23.62 – $47.24

“Citibank trades below tangible book value, one of the great franchises in the world. Steeped in yield curve is good for banks. The regulatory environment, we kind of know what that is. The banks have started out the year strong. Airlines have consolidated. They had a great year last year. Delta was the leader, but United Airlines has the same rough revenues. We own Delta, United and American, but it has the same rough revenues as Delta does, but Delta’s got a 10 billion more market cap because United has 14,000 more employees and 500 more planes. They will get that rationalized over the next several years, so we think there’s a lot more money to be made in the airlines.”