David Einhorn is a widely followed investor and hedge fund manager who is known for his value investing strategies. He recently spoke at Bloomberg Markets: The Close, where he voiced his opinions on the future of value investing. Einhorn's hedge fund, Greenlight Capital, is net long by a relatively small amount and he has a strong conviction in the value picks in his portfolio.
David Einhorn is often called the “father of value investing,” in reference to his investment strategies, which were inspired by the teachings of Benjamin Graham. Graham was an early financial analyst and economist who wrote several books on the subject of investing. He is credited with popularizing the concept of value investing, which focuses on the potential of stocks that are undervalued by the market. Einhorn has had immense success with value investing, with a net worth of over $1 billion and his fund having returned an average of 17% annually since it was founded in 1996.
Einhorn discussed the current state of value investing during his speech at Bloomberg Markets. On one hand, Einhorn's team warned that value investing probably won't ever recover from the 'debilitating' outflows that shifted to passive indexing in recent years. On the other hand, Einhorn himself jokingly revealed the results of a mock poll of investors, which showed that those surveyed were still interested in conservatively priced value stocks and selected growth issues.