David Gottesman
David S. Gottesman | |
|---|---|
| Born | David Sanford Gottesman 26 April 1926 New York City, U.S. |
| Died | 28 September 2022 (aged 96) Rye, New York, U.S. |
| Other names | Sandy Gottesman |
| Occupation(s) | Entrepreneur, investor, philanthropist |
| Years active | 1950s–2022 |
| Known for | Founder of First Manhattan Co., Berkshire Hathaway board member |
David Sanford "Sandy" Gottesman (April 26, 1926 – September 28, 2022) was a prominent American entrepreneur, billionaire investor, and philanthropist. He established First Manhattan Co. (FMC) and maintained a longstanding partnership with Warren Buffett.
Early life and education
Gottesman was born in New York City into a Jewish family, the son of Benjamin Gottesman, a banker and investor, and Esther (née Garfunkel), who played an instrumental role in securing the Dead Sea Scrolls for Israel. He was the nephew of financier and philanthropist Samuel Gottesman and had two siblings named Milton and Alice. During his youth, the family relocated to New Rochelle, New York. After completing high school, he enlisted in the US Army and pursued engineering studies at Princeton University prior to his deployment in the South Pacific during World War II.
Upon completing his military duties, Gottesman obtained a bachelor's degree from Trinity College and later earned an MBA from Harvard Business School in 1950.
Career
Following graduation, Gottesman spent nearly ten years working in mergers and acquisitions at Hallgarten & Company. In 1963, he was introduced to Warren Buffett by a mutual acquaintance who recognized their shared investment philosophy focused on value. This meeting sparked a close friendship characterized by frequent discussions on investment strategies and regular golf outings. Gottesman often traveled to visit Buffett in Omaha, Nebraska, typically returning to New York on late-night flights after extended conversations.
In 1964, he launched the investment advisory firm First Manhattan Co. and became an early shareholder in Berkshire Hathaway. Alongside Buffett and Charlie Munger, he co-invested in Diversified Retailing Co., which acquired private retail businesses beginning with Hochschild Kohn's. Although this venture did not succeed, Gottesman oversaw its divestiture at a modest loss. Diversified Retailing was eventually merged into Berkshire Hathaway in 1978. By March 2021, Gottesman owned 17,202 class A shares and more than two million class B shares of Berkshire Hathaway, constituting a substantial portion of his assets. He highlighted the remarkable gains from holding these shares for over forty years, estimating their value had increased approximately 6,000 times by 2012. In 2003, he joined the board of directors of Berkshire Hathaway.
Philanthropy
In 2008, Gottesman contributed $25 million to the Albert Einstein College of Medicine, founding the Ruth L. and David S. Gottesman Institute for Stem Cell Biology and Regenerative Medicine. He and his wife also sponsored the Train Track Park bike path encircling Jerusalem. The couple’s name is associated with both the Gottesman Hall of Planet Earth and the new National Library of Israel building in Jerusalem.
After Gottesman's passing, his wife Ruth made a $1 billion donation to the Albert Einstein College of Medicine in February 2024 to fund free tuition for all future medical students—marking one of the largest educational gifts ever recorded in the United States.
Personal life
David Gottesman wed Ruth Levy in 1950 following their meeting two years earlier. Their marriage lasted 72 years until his death. Ruth earned a bachelor's degree from Barnard College as well as master's and Ed.D. degrees in Educational Psychology from Teachers College, Columbia University.
They had three children: Robert W. "Bob" Gottesman, who served as executive chairman and former CEO of First Manhattan, William L. Gottesman, and Alice R. Gottesman; they also had seven grandchildren.
The family lived in Rye, New York. David was passionate about swimming and held trustee positions at the Mount Sinai Medical Center, as well as Vice Chairman and trustee roles at the American Museum of Natural History.
Gottesman passed away at his home in Rye on September 28, 2022, aged 96.