The value of patience and flexibility
The investments made by IAC's president and senior executive, Barry Diller, have proved to be very successful, thanks in no small part to strategic thinking and patience. The company, which is part of the MAPFRE US Forgotten Value Fund portfolio, has developed significantly in recent years by bringing offline businesses to the digital marketplace.
In an joint interview with Joey Levin, CEO of IAC, in Forbes magazine, Jonathan Boyar, president of Boyar Value Group, discusses the importance of seeking out opportunities in the marketplace and the comparative advantage of "being indifferent to short-term performance if it delivers superior results over the long-term”.
In this regard, he says that IAC cannot be considered a "value" company that sells at a discount. In fact, "the shares of companies like this are usually not statistically cheap." However, he stresses that this doesn’t mean that it doesn’t represent good value at its current price levels.
For Boyar, the main strategy followed by MAPFRE AM's fund consists of acquiring shares in high-quality companies at a reasonable price. It was in December 2019 when MAPFRE's fund management unit and Boyar Value Group agreed to create this fund by going after high-quality companies at fair prices. Since the beginning of the year, the portfolio has risen 20 percent, outperforming its benchmark index and becoming one of the best-performing funds in its sector.