One of Simpson’s successes came with the breakup of American Telephone & Telegraph in the 1980s. It has invested about 40% of Geico’s capital in three of the Baby Bell regional operating companies created from the liquidation. The gamble doubled in two years and added $ 400 million to the insurance company’s $ 1 billion net worth, according to Jack Byrne, former chairman of Geico.
His other notable investments have included sportswear maker Nike, and Carmax, which sells used cars. “He just pulled rabbits out of the hat year after year after year,” Byrne said in a 2011 interview. Simpson retired from Berkshire in 2010 and founded SQ Advisors with his wife, Kimberly Query, the following year. Simpson said in an interview with Bloomberg at the time: “I did retire for one day,” Simpson said in an interview. So he realized, “I’ll probably drive myself and my wife crazy if I quit completely and do nothing.”