Peter Lynch on Leaving Fidelity Magellan at 46 - Work-Life Balance and Life Priorities

Lynch describes his early work ethic and how it led to his career at Fidelity. At 11-13 years old he worked as a caddy to help his family financially. He caddied for the president of Fidelity for 10 years. When applying for a job at Fidelity, there were 75 applicants for 3 spots - he was the only one who had caddied for the president for 10 years, so he got one of the spots and worked there for the next 21 years.

Despite loving his job, Lynch explains why he couldn't continue. Using his 'hot fudge sundae indicator' metaphor - one is good, two is not so good, when you have to eat seven you approach nausea - he describes having too many things he enjoyed: his job, outside charitable activities, and family. It all didn't fit even if there were 9 or 10 days in a week, and with his personality he'd probably work 8 of those 9 days anyway.

Lynch emphasizes you can't run a fund at half speed or quarter speed - either you run it full out or you don't. He had to make a decision about what he wanted to do for the next 20-30 years and decided fund management was not what he wanted to continue doing.

Lynch was amazed by the public reaction to his decision. With over a million Magellan accounts (1 out of 100 Americans in the fund), he received thousands of letters, telegrams and phone calls. Almost all were supportive, saying while he should continue running the fund, they thought he was doing the right thing. Even people not in the fund said it was a smart decision. The outpouring of support was incredible - people saying what a brilliant thing he was doing, though Lynch himself didn't think it was that brilliant, he just did it.

Lynch's advice to his generation: if you have enough net worth (which he was lucky to achieve), and you're exhausted and can't do the things you want to do, have young children and want to spend time with your wife, it's silly to keep working. He emphasizes he's never heard anyone when they're dying say 'I wish I'd spent more time in the office' - that statement just never occurs. You ought to ask yourself what's good, what's fun. If you've been blessed with enough net worth, it's silly to keep doing what you're doing. The segment ends describing Lynch at age 47 as 'already a Wall Street legend.'