Himalayan Capital Founder Li Lu

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The Himalayan mountains separate India and Asia. Communities there use yaks as beasts of burden due to their thick fiber coats that allow them to thrive even under oxygen-poor conditions at higher elevations.

Li Lu launched Himalaya Capital Management in 1998 based on the value investing principles of Benjamin Graham and Warren Buffett, taking advantage of their proven strategies for outstanding investor returns despite their small size in their category.

Li Lu

Li Lu, a Chinese-American investor who established Himalaya Capital Management in 1998, has managed an average annual compounded return of 30%. Since then, he has built his multibillion-dollar firm into one of the world’s premier investment firms; even legendary investor Charlie Munger counts Li as one of his portfolio holdings! His ability to consistently generate high returns earned him inclusion into Charlie Munger’s portfolio as proof of their ability.

Li Lu is known for his disciplined approach to investing and in-depth understanding of business. His strategy involves purchasing quality businesses at fair prices – predominantly in Asian markets such as China – believing these countries’ companies are undervalued. Aside from investing, much of Li’s time goes toward charitable works.

Li is the founder of Himalayan Capital, and his firm specializes in long-term value investments emphasizing China. Their firm invests primarily in small and mid-cap companies with solid fundamentals; Li’s team conducts extensive research before considering potential purchases to ensure only high-quality businesses at reasonable prices are purchased.

Himalayan Capital aims to generate superior returns by investing in publicly traded companies with substantial economic moats, promising growth potential, and trustworthy management. While heavily influenced by value investing principles, Himalayan Capital stands apart from the competition thanks to its disciplined approach.

Himalayan Capital has experienced rapid expansion since its founding, managing more than $19 billion in assets. Himalaya Capital Investors, its flagship fund, has been operating continuously since January 1st, 1998. Himalaya’s management boasts extensive expertise in domestic and international investing opportunities; their philosophy draws heavily upon Benjamin Graham, Warren Buffett, and Charlie Munger’s investing principles.

Himalayan Capital has long been active in acquiring bank and financial institution stocks. Most recently, this firm increased their holdings of East West Bancorp EWBC-0.1% and Bank of America BAC-1.2% by increasing them further. Furthermore, Himalayan Capital has made purchases of technology and consumer-facing companies.

Li Lu was born in Tangshan, China, in 1966 and spent his early years being bounced between families due to the Cultural Revolution. His parents eventually ended up being sent off to labor camps while he managed to flee China for New York City to pursue his education. I later earned my BA, JD, and M.B.A. from Columbia University. I am a trustee of both institutions, The Asian American Foundation Board Member and California Institute of Technology Trustee. Lu has also dedicated much of his wealth to higher education through scholarships he donates. This demonstrates his belief that education is integral to success; therefore, he established the Himalayan Capital Scholarship Foundation so students may pursue their higher studies.

Himalaya Capital Management

Li Lu is the multi-billionaire founder and value investor behind Himalayan Capital Management, who fled China following the Tiananmen Square protests as part of student leadership. At Columbia, where he simultaneously earned three degrees (a bachelor’s in economics, a law degree, and a master of business), Lu established Himalaya Capital Management – managing both a hedge fund and venture capital fund using an analytical value approach similar to Warren Buffet’s Berkshire Hathaway approach to investing.

Himalaya Capital Investors was established in late 1997 and operates through one fund – Himalaya Capital Investors. Following in the tradition of Benjamin Graham, Warren Buffett, and Charlie Munger, it focuses on investing in Asian stocks with significant economic moats, growth potential, and trustworthy management in mind – particularly China – prioritizing public companies with economic moats and great potential growth potential as targets. Since its debut back in 1998, this fund has achieved impressive returns.

Himalaya Capital Management’s strategy of buying cheap stocks has yielded extraordinary returns, yet any small investor can follow their example and replicate them with equal or more significant results. A $ 1,000 investment into Himalaya’s net-net portfolio would have tripled since inception!

Himalaya’s current investments include Micron Technology, Bank of America, Alphabet, and Berkshire Hathaway; Tencent Holdings also holds a significant position in China. Also, Lu has made several other recent investments in Asia and America.

Himalaya Capital Management of Seattle is a registered investment adviser offering advisory services to pooled investment vehicles with $8.34 billion of regulatory assets under management between two clients. Their advisory fees are performance-based and do not cover brokerage commissions, interest payments, taxes, or account expenses; employees do not receive bonuses for bringing new clients, and they do not offer financial planning services for individual investors by Himalaya Capital Management.