With an illustrious educational background Huzaifa finally found his calling in value investing. He reveals key insights about his investment strategy and the underlying thought process.
Mr. Huzaifa Husain is the Head of Equities at PineBridge Investments. Mr. Husain is a Portfolio Manager at AIG Global Asset Management Company (India) Private Limited. He has been with the AIG Group for the last five years. Mr. Husain served as an Equity Analyst at Principal Mutual Fund and SBI Mutual Fund. He completed his Post Graduate Diploma in Management (PGDM) from IIM- Bangalore after obtaining a B.Tech from the Institute of Technology, Banaras Hindu University.
Safal Niveshak (SN): Could you tell us a little about your background, how you got interested in investing so much to choose it as a career?
Huzaifa Husain (HH): In 1997, when I completed my management education at IIM Bangalore, SBI Mutual Fund offered me a role as an equities analyst. Thus began my career in equity investing.
My management education did not prepare me for equity investing. We were taught how to mathematically manipulate numbers, especially daily stock prices, most of which had no conceptual backing. I remember in my first year on the job, I tried every possible trick – charts, CAPM, etc. – in the textbook to figure out how to predict which stock will do well. I failed miserably. One day a friend of mine told me to read the letters of Warren Buffett. That is possibly the best advice I ever got in my life.
After that day, my investment philosophy has relied entirely on understanding the company, the people managing it and its prospects. Stock prices do not have any information other than what one can buy or sell the stock at.
SN: Do you believe in the concept of circle of competence? If yes, how have you built it over the years?
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