This podcast interview features Marcos de Quinto, former president of Coca-Cola Iberia and global vice president of Coca-Cola Company. De Quinto discusses his career, his views on the current political landscape in Europe and Spain, and his experiences in both the corporate and political worlds. The conversation touches on various topics, including political and economic systems, corruption, and the role of the media.
Marcos de Quinto expresses a pragmatic and somewhat contrarian view on investment and wealth creation. He doesn't present himself as a financial expert, but rather shares his personal philosophy based on his own experiences.
Core Principles:
Long-term focus: De Quinto emphasizes long-term investments, stating he avoids frequently checking stock prices, often ignoring fluctuations for years. He believes in the long-term growth potential of well-managed companies.
Tangible assets: He prefers investing in established, publicly traded companies (stocks) rather than more abstract instruments like ETFs. He finds value in owning a piece of a tangible, well-run business. This reflects a belief in the underlying value of a company's operations.
Understanding the business: De Quinto stresses the importance of understanding the business model of a company before investing. He only invests in businesses he understands well, suggesting a preference for companies with clear and simple business models.
Value investing (opportunistic): His strategy includes buying stocks when their prices temporarily drop due to external factors unrelated to the company's fundamental strength. He sees these market dips as buying opportunities.
Risk tolerance: His approach displays a tolerance for risk, as exemplified by his investments in cryptocurrencies. He acknowledges the volatility inherent in crypto but uses it as part of a diversified portfolio, suggesting a belief in taking calculated risks for potential high returns.
Honest labor: De Quinto connects his wealth directly to his years of hard work at Coca-Cola and his entrepreneurial endeavors. He doesn’t shy away from discussing his high earnings, seeing it as a result of merit rather than ill-gotten gains. He contrasts this with what he perceives as corruption and lack of accountability among some politicians.
Specific Examples:
Michelin: He cites Michelin as an example of a company whose stocks he would buy if their price fell due to external factors, believing in its long-term prospects based on the fundamental need for tires and the company's reputation for quality.
Coca-Cola: He holds significant Coca-Cola stock, accumulating it through stock options over his long career. He considers Coca-Cola a strong, reliable long-term investment.
Nvidia: He mentions buying Nvidia stock after a market downturn caused by concerns about Chinese competition. His reasoning reflects his belief in the long-term prospects of the company, even amidst short-term anxieties.
In summary, de Quinto's investment philosophy is rooted in a long-term, value-driven approach focused on understanding the businesses he invests in. His approach integrates risk tolerance with a clear understanding of both the macro-economic environment and the business fundamentals driving his chosen investments. He emphasizes that his wealth is a direct result of his own hard work and that he doesn't believe in obtaining wealth through dishonest means.
Marcos de Quinto mentions his real estate holdings several times in the transcript. His approach to real estate investment seems to be driven by a focus on preserving capital and acquiring unique, historically significant properties rather than short-term speculation or high-volume transactions.
Key Aspects of his Real Estate Strategy:
Focus on unique properties: He states he invests in properties located in unique and historically significant locations, believing these are less susceptible to value fluctuations and less risky than more conventional real estate investments. His purchase of a convent with a church and garden serves as an example.
Long-term perspective: Similar to his stock investments, he takes a long-term view, focusing on the inherent value of the property rather than short-term market trends. His aim appears to be preserving capital and possibly generating income through things like converting properties into small hotels.
Risk mitigation: His preference for singular, unique properties suggests a desire to minimize risk. While he acknowledges concerns about potential government confiscation or neighborhood changes, he believes that the inherent historical and unique nature of the properties selected would mitigate such risks significantly.
Passive income generation (potential): He hints at potential future income generation through property development, mentioning the possibility of turning a purchased convent into a small hotel. This indicates a desire for passive income alongside capital preservation.
Limited details: He offers limited specifics regarding the details of his real estate ventures, stating only that he has properties in Spain, Lisbon, and New York. He does not share specifics of his investment strategy, only his underlying beliefs.
Specific Example:
The purchase of a convent with a church and garden in a historic location exemplifies his strategy. He explicitly states that he believes this type of property will never lose value and is buying it primarily for its preservation value, mentioning the possibility of future development into a small hotel.
In short, de Quinto’s real estate strategy seems to center on acquiring and preserving unique, historically significant properties with an eye towards long-term capital appreciation and potential passive income generation. He does not explicitly describe himself as a real estate investor, but his comments strongly suggest this is a significant part of his wealth portfolio, built on a philosophy similar to his stock investing—one of long-term holding and careful property selection.
