Dubbed the “Chinese Warren Buffett,” Li Lu built a $15 billion investment firm with remarkable long-term bets, most notably his early and massively profitable investment in BYD.
In the investment world Li Lu is respected for his track record in long-term value investing. At the relatively tender age of 59 he has earned the nickname “Chinese Warren Buffett.”
Lu founded Himalaya Capital in 1997 and built it up to $15 Billion worth of assets under management. The company’s most important investment was in the then struggling Chinese maker of bicycles and batteries called BYD. Lu had the foresight — or fantastic stroke of luck — to take a large stake at BYD’s 2002 IPO when shares were offered at less than HK$3, or about $0.37.
In July 2021 when BYD had established itself already as China’s leading maker of batteries for electric vehicles and a fledgling EV-maker, Himalaya Capital cashed in over $300 Million worth of BYD shares, with BYD share at HK $227.62 (about $28) — a return of nearly 76-fold. Even better, Lu had the good sense to retain a 6% stake in the company. Today BYD is the world’s leading maker of EVs and batteries, having recently surpassed Tesla. Its stock is trading at over $150, putting a $9 billion valuation on Himalaya’s stake.
Lu’s successful picks let him grow an $88 million investment by late Berkshire Hathaway Chairman Charlie Munger to over $400 million.
Today Lu’s estimated net worth is well over $5.6 Billion, perhaps as much as $10 billion.
Born in China, Lu enrolled in Columbia University’s American Language Program to learn English. In 1996 he simultaneously earned an economics BA, a JD, and an MBA from Columbia. Li Lu is actively involved in philanthropy and serves on the boards of several prominent institutions, including as a trustee of Caltech and Columbia.
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