Next to investment legends such as Warren Buffett (Trades, Portfolio) and Carl Icahn (Trades, Portfolio), Peter Lynch falls by the wayside, but his influence on the investment world has inspired more change than possibly Buffett and Icahn put together.
Lynch is considered to be the greatest mutual fund manager of all time. The fund he managed, Fidelity Investment's Magellan Fund, produced an average annual return of 29.2% from 1977 until 1990, almost doubling the Standard & Poor's 500’s annual yearly return of 15.8%. During this period, Lynch pioneered the growth-at-a-reasonable-price style of investing. Lynch believed that the faster a company was growing, the more investors should be willing to pay for it, which makes a lot of sense today, but before Lynch’s success, the market tended to overlook growth and value together. Continue Reading »