Joel Tillinghast: sabbatical leave until January

David_Snowball

Morningstar reports that Joel Tillinghast, manager of Fidelity Low-Priced Stock, is taking a few months off. He'll still attend weekly training sessions of Fidelity's staff, might teach a B-school course, and will retain a veto over any portfolio changes. In his absence, Jamie Harmon of Fidelity Advisor Small Cap will oversee the portfolio management team.

Mr. T. has a remarkable record. The fund seems to alternate one very strong year with one modestly below-average one, but its long-term record (absolute, relative, and risk-adjusted) are phenomenal. Commentators have been predicting the demise of Low-Priced Stock for more than a decade, and have remained consistently, ludicrously wrong. With Will Danoff at Contrafund, Tillinghast is one of Fidelity's two remaining stars. The question is whether this is, to quote an old ad campaign, "The Pause that Refreshes," or a sign of his diminished passion for the grind of managing $30 billion. Morningstar is betting that it's the former.

For what interest it holds,

David

http://news.morningstar.com/articlenet/article.aspx?id=387058

Investor

This is interesting. Everyone needs a break. I hope he comes back after the sabbatical.

[Deleted User]

It'd be nice (not for existing shareholders of FLPSX though) if he started his own small independent small-cap fund. He's a younger guy with decades ahead of him.

GregFromBoston

I don't think anyone has ever been able to diagnose how he has been so successful. This fund has been a rulebreaker forever. My hope (as a long-term shareholder) is that with so many holdings, the success can be partially attributed to strong analyst support. Perhaps the team can carry on for a while with a different captain. It bears watching.