MONROE KARMIN 00:00
This fellow has a problem. He says if the real secret of your success is following your daughters to the shopping mall for stock tips, what do we bachelors do? (Laughter)
PETER LYNCH 00:15
I think on the weekend – I think one of the reasons people get so depressed is they get away from children.
On the weekends they read all these magazines, they read the newspapers, and they’d become economists and get so depressed. They’re bullish if they take that lunch to work on Monday. You know, and I think you need to rent a 12-year-old on the weekend. (Laughter)
They don’t know about the problem of the ozone layer disappearing and all the problems, you know, all these terrible things we think of all the time and we get so depressed about. They don’t know about how second basemen and shortstops get paid $4 million and they can’t throw to first base on a bounce. (Laughter)
You know, so I think you need to find a 12-year-old and rent him for the weekend and follow this boy or girl around and see where they’re shopping. Our kids love Body Shop. I bought it, and I think it will be a good stock. Our oldest daughter, Mary, likes Ann Taylor. She had to dress up to go to work when she was working a summer in a consulting firm. She thought Ann Taylor’s prices were good and the quality was good, and it was a great stock pick.
My wife, Carolyn, who is a – until we have these 3 kids she's an extremely good shopper. She almost got a black belt in shopping. Because of the children, she didn’t quite finish that, but she’s a very good shopper. She’s given me some great tips, too. I think either you must use your spouse, or you must go out on your own.
I had this biggest position in my fund one time was Hanes, which owned L’eggs. And it was a huge stock. It was bought eventually by Consolidated Foods. [Inaudible] It was my biggest position, they had a monopoly on L’eggs, and L’eggs is really big.
And I knew somebody would come along with a new product. Kayser-Roth introduced “No Nonsense.” I was worried this “No Nonsense” thing was better, and I couldn’t quite figure out what was going on.
So I went to the supermarket and bought 62 pairs of “No Nonsense,” different colors, different shapes. They must have wondered what house I came from. (Laughter) I brought them into the office and passed that to anybody, male or female, who wanted one of these things. Just take them all and tell me how it is. They came about in about three weeks and said it’s not as good. That’s what research is. That’s all it was. I held on to Hanes, and the stock was a huge stock. That’s what it’s about. Thank you.
Be optimistic and follow the money.