In this episode of AUM, host Ryan Henderson sits down with Todd Ahlsten, Chief Investment Officer of Parnassus Investments. Todd shares his journey from a 22-year-old intern to leading a firm managing $46 billion in assets, reflecting on key experiences that shaped his investment philosophy.

The conversation delves into the dynamics of the semiconductor industry, the importance of wide business moats and durable competitive advantages, and the evolving relevance of companies like John Deere and Waste Management.

Todd also offers insights into the impact of AI on various sectors and highlights the critical traits for successful long-term investing.

02:13 Todd's Early Interest in Investing

04:35 Joining Parnassus Investments

05:38 Skills and Evolution in Investing

08:32 Navigating Market Noise

12:40 The Parnassus Investment Process

16:42 Idea Generation and Stock Selection

20:34 Traits of Innovative Companies

27:13 Management Traits and Avoiding Complacency

29:17 Deep Dive: John Deere

29:25 Agriculture Industry Overview

29:53 Deere's Cyclical Recovery and Secular Rerate

31:46 Technological Advancements in Agriculture

33:14 Investment Strategies During Economic Cycles

36:45 Waste Management's Competitive Edge

39:46 AI and Semiconductor Investment Trends

48:20 Evolution of Investment Strategies

53:18 Advice for Aspiring Investors

Learn more about Parnassus Investments: https://www.parnassus.com/