If you ask Howard Marks how he made his $2.2 billion fortune, he might describe decades of work as an analyst at Citicorp (a subsidiary of Citigroup), leading the high-yield debt and convertible securities office at TCW Group in the ‘80s and early ‘90s, or even his lucrative investments in luxury properties. But of course, the key calls Marks made after founding Oaktree Capital Management in 1995 have made the bulk of his earnings. In fact, he now says just five prophetic predictions built his reputation as a legend on the Street.
The septuagenarian detailed these five specific market calls between 2000 and 2020 in a new memo titled Taking the Temperature Monday. The mostly contrarian takes ended up netting Marks billions, but the lessons learned may be even more valuable.
