Guy Spier: Advocacy, Investment, and Philanthropy
Biography of Guy Spier
Guy Spier, born on February 4, 1966, is an investor based in
Zurich. He gained recognition as the author of the book titled "The
Education of a Value Investor." Currently, Spier serves as the manager of
the Aquamarine Fund, which boasts assets worth $350 million.
One of Spier's notable accomplishments is his joint bid with
Mohnish Pabrai for a charity lunch with Warren Buffett in 2008, where they bid
an impressive $650,100. Additionally, his investment methods, particularly his
utilization of checklists, garnered attention when he was featured in Atul
Gawande's book "The Checklist Manifesto" in 2009.
Guy Spier's familial connections include being the brother
of Tanya de Jager and the grandson of Selmar Spier, a prominent figure known
for his roles as a German-Israeli jurist, historian, foreign correspondent, and
farmer.
Early Life and Education
Guy Spier was born in 1966 in Pietermaritzburg, South
Africa. At the age of three months, his family relocated to Tel Aviv, Israel,
where he attended kindergarten. Subsequently, in 1970, they moved to Iran,
where he enrolled at the British Embassy School in Tehran. Later, in 1977, his
family moved once again, this time to Richmond in the UK. During this period,
he attended the City of London Freemen's School in Ashtead, Surrey, as a weekly
boarder.
Academic Journey
In 1984, Spier embarked on his academic journey by enrolling
to study law at Brasenose College, Oxford. During his time at Oxford, he was
tutored by notable figures such as Hugh Collins, Peter Birks, and Mary Stokes.
However, two years into his studies, in 1986, he made a pivotal decision to
switch his major to PPE (Politics, Philosophy, and Economics). Throughout his
academic tenure, he received guidance from esteemed tutors like Peter Sinclair
for Economics and Vernon Bogdanor for Politics. Despite his modest performance
in Politics, Spier excelled in Economics and graduated with a First-class
degree. He was also honored with the Georg Webb Medley Prize for his
outstanding performance in Economics.
Academic Pursuits and Professional Beginnings
During his university summers, Spier seized opportunities
for further education and professional experience. He pursued courses at
Ruprecht Karl University of Heidelberg and participated in the Harvard Summer
School. Additionally, he gained valuable insights into the finance industry
through an internship at Creditanstalt in London.
Harvard Experience and Career Path
In 1990, Spier faced a significant decision point in his
academic journey. He received offers for both the Joint Business and Economics
PhD program and the MBA Program at Harvard. Ultimately, he chose to pursue the
MBA program, and in 1993, he successfully completed his MBA degree at Harvard
Business School (HBS). During his time at HBS, he crossed paths with notable
contemporaries such as Mark Pincus, Chris Hohn, and Sherry Coutu, who would go
on to make significant contributions in their respective fields.
Consulting Experience and European Commission Internship
From 1988 to 1990, Spier embarked on his professional
journey as an associate at Braxton Associates, a renowned strategy consulting
firm later acquired by Deloitte Consulting. Assigned to the London and Paris
offices, Spier collaborated with colleagues like David Pitt-Watson and Michael
Liebreich to provide strategic guidance to British and European companies
navigating the European Common market. Following his tenure at Braxton
Associates, Spier pursued an internship at the Forward Studies Unit of the
European Commission in Brussels, broadening his expertise in policy and
strategic foresight.
Career Choices and Lessons Learned
In his book, Spier candidly reflects on pivotal moments in
his career, including his decision to decline offers from prestigious firms
like Goldman Sachs and J. P. Morgan after graduating from Harvard Business
School. Instead, he opted to join D.H. Blair, a lesser-known firm, as a Vice
President, where he focused on securing funding for emerging technology
startups. However, Spier later admitted that this experience resembled the
chaotic environment depicted in the movie "The Wolf of Wall Street,"
leading him to regret his career choice.
Creation of Aquamarine Fund and Investment Philosophy
Following his departure from investment banking, Spier
established the Aquamarine Fund, drawing inspiration from Warren Buffett's
investment partnerships of the 1950s. Spier remains the fund's manager to this
day, maintaining assets under management (AUM) of $300 million as of June 2021.
Evolving Approach to Value Investing
Spier adheres closely to Warren Buffett's principles of
value investing and strategic capital allocation. However, he acknowledges that
the landscape of value investing has evolved over time, with the style becoming
increasingly popular and thus offering fewer opportunities to investors. In
response, Spier emphasizes the importance of thinking creatively and exploring
unconventional avenues to identify promising investment prospects.
Approach to Activism and Investment Goals
In recent years, Spier has shifted away from engaging in
activism within his investment strategy. He articulates that his primary
objective as an investor is to generate returns for his shareholders through
prudent capital allocation, rather than pursuing unnecessary conflicts or
adopting the role of a moral crusader.
Advocacy for Ethical Financial Practices
Spier has been a vocal advocate for integrity and humility
in the management of financial institutions. In 2008, he co-authored a paper
with Peter Sinclair and Tom Skinner titled "Bonuses, Credit Rating
Agencies and the Credit Crunch." The paper argued that the 2008 financial
crisis was exacerbated by short-term thinking, particularly in the calculation
of bonuses at credit rating agencies and other financial firms. Additionally,
Spier has strongly supported the elimination of management fees in professional
investment management, advocating for a more ethical approach to financial
management.
Vision for Swiss Financial Excellence
Spier has advocated for Switzerland to emerge as a global
center for exemplary investing practices. Despite the nation's strong biotech,
health, and technology sectors, Spier believes that Swiss private banking still
has significant room for improvement. He envisions Switzerland as a hub of true
investing excellence, emphasizing the need for ethical and transparent
financial practices to be prioritized within the country's financial sector.
Involvement in Financial Investigations
In 2003, Spier, alongside prominent investors David Einhorn,
Bill Ackman, and Whitney Tilson, became the subject of investigations led by
Eliot Spitzer, then the New York Attorney General, and the U.S. Securities and
Exchange Commission. The investigations focused on their short sales of
companies such as Farmer Mac, MBIA, and Allied Capital. However, the subsequent
financial crises of the late 2000s validated their short thesis, as evidenced
by the collapse of these companies. Ackman and Einhorn later chronicled these
events in their respective books, highlighting the prescient nature of their
investment strategies.
Memoir on Value Investing Journey
In 2014, Palgrave MacMillan released "The Education of
a Value Investor," recounting Spier's early career challenges in
investment banking on Wall Street and his evolution into a value investor. The
book has achieved significant success, selling over 175,000 copies in English
and being translated into multiple languages, including Spanish, German,
Japanese, Korean, Chinese, Polish, Hebrew, and Vietnamese.
Guy Spier: Advocacy, Investment, and Philanthropy / Biography of Guy Spier
Legal Action in Bankruptcy Case
In 2016, Spier, along with Phil Town and Matthew P.
Peterson, successfully petitioned Judge Sontchi at the Delaware Court of
Bankruptcy to establish an official committee representing equity holders of
Horsehead Corporation. The company had filed for bankruptcy earlier that year,
and Spier's involvement led to the formation of a committee to represent the
interests of equity holders in the bankruptcy proceedings.
Jonathan Gray's Financial Ventures and Contributions
In 2019: Insights on Stock Picking and Humorous References
In this year, during a YouTube interview, Jonathan Spier
amusingly likened stock picking to "drunks in bars," offering a witty
perspective on the unpredictability of the process. He also playfully
referenced Dan Bilzerian, injecting humor into his observations on investment
strategies.
In 2020: Organizing a Panel Discussion on the Future of
Investing
Jonathan Spier orchestrated a panel discussion titled
"The Future of Intelligent Investing," featuring notable figures like
Niall Ferguson, Sandy Climan, and Daniel Aegerter. Although specific details
about the event are unavailable, it likely provided valuable insights into
emerging trends in investment practices.
Annual Investment Conference: VALUEx
Spier hosts the annual "VALUEx" investment
conference in Klosters, Switzerland, drawing attendees including Joe Chapman
and Richard Reese. This conference serves as a platform for investors to
exchange ideas, share expertise, and network with industry leaders, fostering
collaboration and enhancing investment strategies.
Media Commentary and Contributions
Jonathan Spier occasionally lends his expertise as a
financial commentator in the media, offering insightful analysis and
perspectives on various investment-related topics. His contributions likely
provide valuable insights for both seasoned investors and enthusiasts alike.
Significant Auction: Final Glide Foundation Charity Lunch
In 2022, the final Glide Foundation charity lunch with
Warren Buffett fetched a remarkable $19,000,100 at auction, far surpassing the
amount paid by Spier and Pabrai for a similar lunch in the past. This
substantial increase underscores Buffett's enduring influence and the enduring
appeal of dining with an investment legend, highlighting his profound impact on
the investment community.
Daniel Spier: Advocacy, Investment, and Philanthropy
In 1997, Spier voiced concerns about paparazzi intrusion in
British public life, advocating for privacy rights in The Independent. He
questioned the motives behind the Hershey Trust Company's stake sale in a 2002
Financial Times article. Expressing discontent with Liz Truss and Kwasi
Kwarteng's economic policies, Spier criticized the UK's deviation from rational
resource allocation in a 2022 Financial Times opinion piece. He regularly
engages with audiences at prestigious institutions like MIT, Harvard Business School,
and Google, and served as President of the Oxford Alumni Association of New
York from 2000 to 2005. Spier has also supported philanthropic endeavors,
serving on the advisory board of the Dakshana Foundation and promoting India as
an investment destination. In 2011, he founded the VALUEx conference and joined
the board of the Swiss Friends of Oxford University in 2017. Additionally,
Spier is involved with UN Watch, Horasis, World Minds, and the Global
Leadership Foundation.
Jonathan Spier: Family, Heritage, and Community Involvement
Family Life in Zurich
Jonathan Spier resides in Zurich with his wife Lory and
their three children: Eva, Isaac, and Sarah. Their home serves as a hub for
family activities and gatherings, reflecting Spier's commitment to fostering
strong familial bonds and a supportive environment for his loved ones.
Rich Heritage and Family Connections
Spier's lineage intertwines with notable banking families
such as Lazard, Speyer, and Rothschild through his great-great-grandmother,
Johanna Lazard. This heritage adds depth to Spier's background and underscores
his connection to the financial world through generations of family history.
Residence in Tuxedo Park, New York
Previously, Spier lived in Tuxedo Park, New York, a historic
village established by Pierre Lorillard in the late 1800s. During his time
there, he resided in the Bruce Price Cottage, immersing himself in the rich
history and architectural charm of the area.
Community Involvement and Affiliations
Jonathan Spier actively engages in various community
organizations, including the Entrepreneurs' Organization, the Young Presidents'
Organization, and the Westminster Synagogue. His participation in these groups
reflects his dedication to networking, personal development, and contributing
to the community.
Guy Spier's legacy
Guy Spier's legacy is marked by his advocacy for privacy
rights, rational resource allocation, and ethical investing. Through his vocal
opposition to paparazzi intrusion and criticism of economic policies, Spier
demonstrated a commitment to social responsibility and ethical governance. His
philanthropic contributions, including support for the Dakshana Foundation and
promotion of India as an investment destination, reflect his dedication to
making a positive impact. Spier's role as the founder of the VALUEx conference
and his involvement with prestigious institutions like the Swiss Friends of
Oxford University underscore his commitment to fostering intellectual discourse
and community engagement. Overall, Spier's legacy is one of advocacy,
integrity, and a steadfast dedication to ethical investing and philanthropy.
