Early Life and Education
Howard Marks was born in Queens, New York, in 1946. He showed early academic promise, graduating cum laude from the Wharton School of the University of Pennsylvania in 1967 with a degree in finance and a minor in Japanese Studies. He furthered his education at the University of Chicago Booth School of Business, earning an MBA in Accounting and Marketing in 1969.
Rise to Success
Marks's career began in 1969 at Citicorp as an equity research analyst. He rose through the ranks, becoming the Director of Research. In 1985, he joined TCW Group, where he led teams focused on high-yield debt and convertible securities. In 1995, Marks, along with Bruce Karsh and others, co-founded Oaktree Capital Management. The firm quickly became a leader in distressed debt and private equity, growing to manage billions in assets.
Key Business Strategies
At Oaktree, Marks emphasized a value-oriented approach, focusing on risk management, understanding market cycles, and contrarian investing. He is known for his detailed "memos" to clients, which offer insights into market dynamics and investment strategies. He advocates for inferring consequences from company data, managing investment psychology, and assessing market cycles to achieve average returns in bull markets while minimizing losses in bear markets. His strategies include the use of market timing to have cash available during downturns.
Philanthropy
Marks and his wife, Nancy, have been actively involved in philanthropy, supporting educational and health causes. They have made significant contributions to the University of Pennsylvania, including the Marks Family Center for Excellence in Writing, professorships, and scholarship programs.
