At the height of the Great Depression in the United States, a banker from the small provincial town of Quincy (Florida), Mark Munro, noticed that despite the crisis, people still manage to find a couple of cents on a can of Coca-Cola. This led the banker to believe that the market was grossly undervaluing the company's stock. Munro began to actively buy papers despite the huge risks
Mark advised his clients and neighbors to do the same, and even issued loans to buy shares. The strategy worked. When the whole country was making ends meet, the city lived on dividends from soda. Quincy soon became one of the richest cities in the US per capita, with 67 of its richest residents earning the nickname "Coca-Cola Millionaires"
Today, about 8,000 people live in the quiet town of Quincy, and the bank where Mark worked continues to hold most of the investments in Coca-Cola shares. As Warren Buffett said, “Only buy what you would be perfectly happy to keep if the market closed for 10 years.”
Wall Street Education
How Coca-Cola saved a small town in a crisis
At the height of the Great Depression in the United States, a banker from the small provincial town of Quincy (Florida), Mark Munro, noticed that despite the crisis, people still manage to find a couple of cents on a can of Coca-Cola. This led the banker to believe that the market was grossly undervaluing the company's stock. Munro began to actively buy papers despite the huge risks
Mark advised his clients and neighbors to do the same, and even issued loans to buy shares. The strategy worked. When the whole country was making ends meet, the city lived on dividends from soda. Quincy soon became one of the richest cities in the US per capita, with 67 of its richest residents earning the nickname "Coca-Cola Millionaires"
Today, about 8,000 people live in the quiet town of Quincy, and the bank where Mark worked continues to hold most of the investments in Coca-Cola shares. As Warren Buffett said, “Only buy what you would be perfectly happy to keep if the market closed for 10 years.”
2 years ago | [YT] | 0