Edward Avedisian: A Musical Virtuoso Turned Investment Wizard and Philanthropist

Edward Avedisian, born to Armenian immigrants in Pawtucket, Rhode Island, embarked on a remarkable journey from a scholarship recipient studying clarinet at Boston University to a distinguished professional clarinetist with the Boston Pops. Over the span of nearly four decades, Avedisian graced the stages of prestigious orchestras, including the Boston Pops and the Boston Ballet Orchestra, collaborating with musical legends such as Luciano Pavarotti, Leontyne Price, Aerosmith, and Whitney Houston. His illustrious career earned him accolades like the Fromm Fellowship, the Ellis Island Medal of Honor, and honorary doctorates from the University of Rhode Island and Boston University, where he now serves as a visiting professor of music.

Beyond his musical acclaim, Avedisian quietly amassed a substantial fortune through astute personal investments. Self-taught as an investor, he meticulously delved into company financials, IPO prospectuses, investment literature, and other sources of insight. “Success is the intersection of opportunity and preparation,” Avedisian remarked, emphasizing the importance of research in investment decisions. Even during his travels for performances, Avedisian devoted time to studying company earnings and market trends, reflecting his commitment to informed investing.

Avedisian embarked on his investment journey in the early 1980s, predominantly adhering to traditional “buy and hold” strategies. With a prudent approach, he invested $10,000 to $20,000 in the stock market whenever possible, leveraging his single and uncomplicated lifestyle to undertake risks that others might shy away from. Witnessing the burgeoning realm of fast-growing technology stocks, he seized the opportunity to capitalize on early investments in companies like Lotus, Amazon, Microsoft, Sun Microsystems, and Cisco, recognizing their potential for significant returns.

As a committed buy-and-hold investor, Avedisian seldom engages in frequent trading. Instead, he reinvests profits or reallocates losses into other stocks, likening his strategy to the cautious yet strategic approach of a gambler in Vegas. Despite facing the temptation to sell during the dot-com bubble burst, he maintained his resolve and refrained from making impulsive decisions, a choice he is grateful for in hindsight.

Additionally, Avedisian demonstrates flexibility in his investment approach, utilizing tools like margin financing and options trading to amplify returns under favorable conditions. However, he cautions against these leveraged instruments for the average investor, acknowledging the inherent risks involved. While actively participating in initial public offerings (IPOs) during the dot-com era, he eschews the common practice of selling shares immediately after a surge in price, opting instead for a patient and discerning approach to maximize long-term gains.

Following his retirement from the music industry in 2009, Avedisian redirected his focus towards philanthropy, particularly in the United States and Armenia. He remains deeply grateful to his parents, who fled the Armenian genocide in the early 1900s and made significant sacrifices to ensure his education despite challenging circumstances, instilling in him invaluable survival skills. Maintaining a strong connection to his Armenian heritage, Avedisian has long been involved in various charitable initiatives in Armenia, earning him the prestigious Presidential Recognition Award from the American University of Armenia.

Throughout his lifetime, Avedisian’s income never exceeded $70,000 annually, and he chose not to disclose the returns on his investment portfolio. Thus, when he announced a staggering $100 million donation to his alma mater, Boston University, in 2022, it came as a surprise to many. The substantial contribution is allocated to support medical student scholarships, fund professorships, and bolster the Avedisian Excellence Fund, doubling the medical school’s scholarship funds. In recognition of his generosity, Boston University decided to rename the School of Medicine as the Aram V. Chobanian & Edward Avedisian School of Medicine.

Notably, Avedisian eschewed personal recognition, preferring to honor his longtime friend Aram V. Chobanian, Dean Emeritus and President Emeritus of the university, with the initial donation proposal. However, Chobanian, like Avedisian, remained modest and initially declined the gesture. Following months of negotiation, Boston University intervened as a mediator, ultimately facilitating an agreement to rename the medical school after both individuals, a compromise solution embraced by all parties involved.

Three months after the donation ceremony, Avedisian passed away at the age of 85 due to illness. Throughout his lifetime, he generously donated over $130 million to various charitable causes.

Despite the challenges small investors face in the capital market, such as the significant advantages enjoyed by Wall Street’s elite in terms of resources and technology, success stories like Avedisian’s inspire many to pursue self-directed investing. While investing in index funds remains a viable option due to its steady performance, individuals are drawn to the excitement and potential rewards of beating the pros at their own game. As Avedisian aptly put it, outperforming the experts on investment performance is not only fascinating but also immensely rewarding. “it’s fascinating, it’s fun, it’s really fun,” Avedisian said.

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John
John
23 days ago

Ed Avedisian was a humble man with a very generous heart and an immense love for Armenia and Armenian heritage.

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