Peter Lynch

Peter Lynch managed the Fidelity Magellan Fund from 1977 to 1990, compounding at roughly 29% a year and turning Magellan into the most successful mutual fund of its era. Though not a Berkshire employee, his commonsense philosophy overlaps deeply with Warren Buffett's.

"Invest in What You Know"

Lynch urged individuals to use their own observations—store lines, product launches, workplace trends—as a research edge Wall Street lacks. That bottom-up curiosity mirrors Buffett's focus on businesses he understands inside his circle of competence.

Categories and Stocks

Lynch classified stocks into types—slow growers, stalwarts, fast growers, cyclicals, turnarounds, and asset plays—and matched each to the right holding period and temperament. The framework helps investors avoid forcing one metric on every business.

Why He Matters

• Understandability first: only own what you can explain.
• Long-term bias: let good businesses compound; don't trade on noise.
• Contrarian calm: buy when others are fearful, sell when they are greedy.

His ideas pair naturally with margin of safety and intrinsic value—different vocabulary, the same discipline Buffett practices.