36th Annual Graham & Dodd Event with Li Lu '96, Founder and Chairman of Himalaya Capital

Value investing relies on six timeless principles, including treating stocks as business ownership, maintaining a margin of safety, and understanding the limits of one's circle of competence. While generative AI offers significant productivity gains, it remains a tool that requires human oversight to mitigate existential risks and prevent the emergence of autonomous, uncontrollable systems. China’s economic trajectory reflects a deliberate, state-led transition from low-end manufacturing to high-end technological self-sufficiency, often at the cost of domestic real estate and consumer wealth. Despite geopolitical friction, the United States and China remain bound by a single global market, necessitating strategic stability. Investors should prioritize rational, long-term value creation over speculative, zero-sum activities, viewing current market bifurcation as an opportunity to acquire high-quality assets at advantageous prices while maintaining a focus on global purchasing power.