David Winters, Value Investor Extraordinaire, Interviewed
Consuelo Mack interviewed the manager of the Wintergreen Fund, David Winters, recently. Winters was mentored by Michael Price of the Mutual Series of funds.
Winters said there has been a shift of emphasis by institutional and individual investors away from stocks. Investors have wrongly sought out the safety of bonds which is currently causing them to lose purchasing power daily because inflation is very real, he added.
Winters said well selected equities with a global footprint and growing businesses protect investors from inflation. Winters believes there are companies trading at massive discounts to their asset values that are well run.
When asked for an example of a company trading at a discount to its net asset value, Winters mentioned a long time holding: Canadian Natural Resources (CNQ). Winters said if you look at what oil assets have been going for, CNQ is trading at one third of its asset value.
Winters believes the future is bright and the big opportunities exist internationally.
The interview (available below) continued with Winters discussing what he looks for in a company, the importance of investors controlling their reactions, his view of China – where he was a visitor for a month, other stocks he’s invested in, and why he has a positive view of Mastercard (MA).