Legacy Originates From Father’s Letter To His Son

A legendary chief executive officer and philanthropist shared the essence of a letter he found in a safety deposit box following his father’s death.

As Fred Koch’s health declined, he asked his son Charles to come back and run the company or he would have to sell it.

Charles Koch, chairman of the board and CEO of Koch Industries, a position he has held since his father’s death in 1967, opened up to share the message his father left in a letter dated January 22, 1936.

Fred Koch outlined the approach Charles and his brothers should take when managing the family fortune and also stated they should always be kind and generous to one another.

He explained that giving his sons a large sum of money at the age of 21 could be either a blessing or a curse as it could be a valuable tool or be squandered.

The letter read in part: “You can choose to let the money destroy your initiative and independence then it will be a curse to you and my action in giving this to you will have been a mistake and I know you are not going to let me down.”

The letter also pointed out that adversity is without doubt the most prominent character builder.

Koch said his parents always made their best effort to teach their children values and he was blessed to have them. He said they needed to learn to work hard by the time they reached 30 or they would never be productive.

According to Koch, he was a bit of a trouble maker growing up and his parents passed along their work ethic to their sons from an early age. Early on his lessons started with digging up dandelions, bailing hay and milking cows.

His father impressed on him that he would learn things from working that he could never learn in school.

Today Koch Industries is one of the largest private companies in the world with an estimated worth of $100 billion.

Koch funds and supports philanthropic activities such as research and educational projects and public policies. In 2015, he also released a book “Good Profit: How Creating Value for Others Built One of the World’s Most Successful Companies.”

He has earned three degrees including a Bachelor’s Degree as well as two Master’s Degrees in engineering. Koch and his wife have two children and two grandchildren.

Additional Links on Charles Koch:

http://www.newyorker.com/magazine/2016/01/25/new-koch

http://www.forbes.com/sites/danielfisher/2015/09/29/exclusive-interview-charles-koch-on-saving-america/#5249d3c757b2

How Argentina Will Rise Again with the Help of James Dondero

James Dondero is a strange man in the Argentina financial sector. He, after all, lives in sun-kissed Texas where he runs Highlands Capital Management in Austin-Dallas. But it is his enthusiasm to snap up the Argentine bonds that have left many surprised. Highlands Capital is already the biggest winner in bonds it bought from Argentina in July 2014.They have returned 20% since then. Highlands will snap the majority of the $ 12 billion government bonds. The bonds are set to mature in 5,10 and 30 years. They are also expected to bring 7-8% returns.

James Dondero is the man who when he speaks others take notes. He has, after all, experienced in managing and working for some of the biggest firms in the world.

Dondero worked with American Express for many years. It is an experience that has given him an intimate knowledge of the financial market. Dondero has made it his mandate to educate the public on how to use the stock exchange. It is in Argentina that he wants many to invest their money. According to James, the Argentinian Market is ripe for investing and the only thing remaining is investors.

James has been on a campaign to promote Argentina as a viable investment destination. He has already seen his customers raise $ 4.5 billion and invest it in their bond market through Highlands Capital Management.

HCM was created in 1993 by Dondero.It has since spawned to became a $ 19 billion empires that are about to make Argentina its next play Ground. The country has raised enough interest from the top hedge funds thanks in part to its recent election which brought to power an equity-friendly regime.

The former Argentinian government adopted a subsidy program that failed miserably. It wouldn’t be so bad were it not for a government-led corruption scandal that shocked the South American country. James says Argentina has a significant middle class, and its commodities export market is rapidly growing. He says Argentina should protect its markets 1st and then seek out.

When it comes to the Stock Market, James says all markets are hard to predict, and we should all be careful not to play the game all wrong. As an investor, you must spread your portfolio widely in low-risk average returns stocks that when combined bring handsome in returns.

This article is a recap from here.

Additional Links:

https://www.facebook.com/James-Dondero-559538574174652/

http://www.bloomberg.com/research/stocks/private/person.asp?personId=2159086&privcapId=37846394