Entrepreneur & Investor.
Entrepreneur & Investor.
The Chandler Brothers

Issue #26: The Chandler Brothers

NOTE: this was a past issue of my weekly newsletter, Timeless Gems. Join my free mailing list so you don’t miss out on future issues.

Today’s gem is this 2006 article titled Secrets of Sovereign. It details the Chandler Brothers, the greatest investors you’ve probably never heard of. Within two decades, they turned a $10m family nest egg into a $5bn fortune (as of 2006). It’s one of my favourite articles of all time, a truly incredible story.

The Chandler Brothers’ investing style is certainly not for the faint of heart. It requires true contrarian thinking and the willingness to invest in overlooked areas where all other investors are actively avoiding. It also requires getting creative to uncover deep value opportunities, where the risk/reward profile is wildly favourable. And finally, to turn $10m into $5bn in 20 years, the bets need to be highly concentrated.

Though not quite my investing style, I live vicariously through investors that have the ability to do this. It’s always fascinating to read about adventure-seeking capitalists willing to go to far-flung corners of the world, make bold bets, and confront corrupted officials in order to generate handsome profits.

If you enjoyed this article, you would enjoy Red Notice by Bill Browder. The book details his foray into investing in post-Soviet Russia in the 90s. It’s a wild story that gives you an investor perspective on a unique period in history where a former communist regime began privatizing assets.