Early Life and Education
Daniel Seth Loeb was born on December 18, 1961, in Santa Monica, California. He is the son of Ronald and Clare Loeb. His father was a partner at a law firm, and his mother was a historian. Loeb attended Palisades Charter High School. He then studied at the University of California, Berkeley, for two years before graduating from Columbia University in 1983 with a bachelor's degree in economics.
Rise to Success
Loeb's career began at Warburg Pincus from 1984 to 1987. He then worked in corporate development at Island Records. After that, he was a risk arbitrage analyst at Lafer Equity Investors and later worked in distressed debt at Jefferies LLC. From 1994 to 1995, he was a Citigroup vice president in charge of high-yield bond sales. In 1995, Loeb founded Third Point LLC with an initial investment of $3.3 million. Third Point focuses on event-driven, value-oriented investing. The hedge fund has achieved an annualized return of approximately +16.2% since its inception.
Key Business Strategies
Loeb's investment approach often involves identifying companies that are undervalued or facing difficulties. He is known for his activist campaigns, where he uses public letters to criticize management and advocate for changes. His strategies have included pushing for restructuring and improved performance in companies like Yahoo!, Sony, and Sotheby's.
Philanthropy
Daniel Loeb is actively involved in philanthropy. The Margaret and Daniel Loeb Foundation supports Alzheimer's research, education reform, and LGBT rights. He has also established the Daniel S. Loeb Scholarship at Columbia University and supports various organizations focused on healthcare and social justice.