Mohnish Pabrai: Heads I win, tails I don't lose much

 

Mohnish Pabrai is a successful Indian-American investor. He famously paid $650,000 (about ₹5.5 crore today) to have lunch with Warren Buffett. Pabrai founded Pabrai Investment Funds in 1999, which now manages over $1 billion and has grown by 517%. His own net worth is estimated at ₹1,202.7 crore.

Born in Bombay - India, on June 12, 1964, Mohnish Pabrai later moved to the USA. He currently stays in Irvine - California. He holds a Bachelor's degree in Computer Engineering from Clemson University and an MBA from the University of California. He started his career as a software engineer and later transitioned into entrepreneurship. His early career started in the tech industry, where he worked for several prominent firms, including Tellabs. He also served as a consultant and investment banker at McKinsey & Company and Goldman Sachs. He founded TransTech Inc., an IT consulting firm, which he later sold for $20 million (Today’s 171 crores) to Kurt Salmon Associates in 1999. In 1999, he launched Pabrai Investment Funds, focusing on value investing principles. 

Mohnish Pabrai is known for his book "The Dhandho Investor." At the heart of his impactful book lies the true essence of value investing: a deep dive into minimizing risk while maximizing returns. Through compelling case studies of the remarkably successful Gujarati Patel community in the USA, the book unveils their powerful business motto: "Heads I win, tails I don't lose much."

He is the founder and chairman of the Dakshana Foundation, a US-based charity. He believes that education is the most powerful weapon to fight poverty. Dakshana provides world-class educational opportunities to economically and socially disadvantaged gifted students. They provide free coaching for IIT and medical entrance exams to impoverished students predominantly in rural India. In addition to providing coaching to scholars in 7 locations throughout India, Dakshana purchased a 109-acre property in 2014 in Ananda Valley, India to develop and create a campus called Dakshana Valley. The campus accommodates over 2,000 scholars.

Mohnish Pabrai's journey from a bold investment in a lunch with Warren Buffett to establishing a billion-dollar fund with remarkable returns exemplifies a profound commitment to value investing. Beyond his formidable achievements in finance, Mohnish Pabrai stands as a testament to the power of giving back through his Dakshana Foundation.

Ravindra Zinjurke