Investor John Bogle: How his company was founded
Investor John Bogle is primarily known as the creator of the Vanguard Group. While John was at the helm, the volume of assets placed under his firm’s management reached $800 billion. It was in this company that the mutual funds approach, where the interests of clients were given priority, was fully implemented. In addition to his operational activities, John Bogle is known as the author of books on finance. One of his books became a worldwide bestseller and is considered a handbook for anyone who wants to enter the world of finance and investing. In addition, Bogle popularizes the investment industry through frequent media interviews.
The life story of investor John Bogle
The famous businessman was born just after the onset of the Great Depression. His parents lived in New Jersey at the time, and the suddenly worsening economy hit them hard. However, the boy’s childhood could hardly be called unhappy. After going to boarding school, he got the state to reimburse his tuition with a scholarship. The future investment genius then made his way to Princeton University, and then went on to study in the evenings and weekends at a Pennsylvania educational institution.
After completing his education, in 1951, Bogle went to work for the Wellington Fund, one of the oldest and largest investment funds in the United States, founded by Walter Morgan. The businessman began a meteoric rise up the ladder and ended up as head of Wellington Management, but things ended very ugly. Because of several extremely shortsighted mergers, John was fired, and his company lost over $600 million. The investor himself, remembering that story, believes that he made unforgivable mistakes because of his young age and belief in beliefs unsupported by facts. Nevertheless, it was a good experience for young John.
Undaunted, in 1974 Bogle started his own investment company, which would later grow into the second-largest mutual fund in the world. Other financial figures, Pham and Samuelson, drew his attention to index funds, resulting in the Vanguard 500 Index Fund. The organization is still an important element of Bogle’s corporation.
Now investor John Bogle is on the board of trustees of the educational institution Blair Academy, of which he is a graduate. Moreover he serves as a consultant at one of the Yale SOM centers, and since 2005 he has had an honorary doctorate from Princeton University. The businessman frequently appeared in mass media telling about index funds possibilities and their advantages in comparison with usual mutual funds. The legendary businessman is convinced that his success is in the right investment strategy, which involves the pursuit of simple solutions and common sense. In 2004 he was included in the hundred most influential people in the world, according to the famous Time magazine.
