A climate of fear is your friend
“A climate of fear is your friend when investing; a euphoric world is your enemy.” – Warren Buffett (2013 letter to Berkshire Hathaway shareholders)
Read More about A climate of fear is your friendLegendary value investors' secrets
April 26, 2024
“A climate of fear is your friend when investing; a euphoric world is your enemy.” – Warren Buffett (2013 letter to Berkshire Hathaway shareholders)
Read More about A climate of fear is your friend“You don’t try and buy businesses worth $83 million for $80 million. You leave yourself an enormous margin (of safety). When you build a bridge, you insist it can carry 30,000 pounds, but you only drive 10,000-pound trucks across it. And that same principle works in investing. ” – Warren Buffett on what Benjamin Graham,…
Read More about Margin of safety“A bull market is like sex. It feels best just before it ends.” – Barton Biggs. (Note: Warren Buffett, in his 2013 letter to Berkshire Hathaway shareholders, was quoting the late Barton Biggs.) P/S Barton Biggs (November 26, 1932 – July 14, 2012) was a money manager said to be best known for accurately predicting…
Read More about A bull market is like sex“In my opinion, investment success will not be produced by arcane formulae, computer programs or signals flashed by the price behavior of stocks and markets. Rather an investor will succeed by coupling good business judgment with an ability to insulate his thoughts and behavior from the super-contagious emotions that swirl about the marketplace.” – Warren…
Read More about Warren Buffett on investment successGlobal markets are in a turmoil as the USA and China poise themselves for a possible trade war. This brings to mind what legendary investor Warren Buffett said in his FY2016 letter to Berkshire Hathaway shareholders. “The years ahead will occasionally deliver major market declines – even panics – that will affect virtually all stocks,”…
Read More about Two things to remember amid panic over possible US-China trade warBack in December 2007, Warren Buffett made a ten-year US$1 million prize bet (background reading: Warren Buffett is set to win this US$500,000 wager) with asset manager Protégé Partners. Essentially, Warren Buffett wanted to prove a point: that his pick – a virtually cost-free investment in an unmanaged S&P 500 index fund – would, over…
Read More about Warren Buffett wins bet and charity gets US$2.2m instead of US$1m“In the short run, the market is a voting machine; in the long run, however, it becomes a weighing machine.” – Benjamin Graham Legendary value investor Warren Buffett, the chairman of Berkshire Hathaway, once again cited the abovementioned maxim of Benjamin Graham in his FY2017 letter to shareholders. What is so endearing about this quote…
Read More about Warren Buffett: Don’t treat marketable common stocks as ticker symbolsDoes Warren Buffett or Berkshire Hathaway hold certain stocks forever? To answer this question, one needs to go back to Berkshire Hathaway’s 2016 Annual Report 2016, in which chairman Warren Buffett said: “Sometimes the comments of shareholders or media imply that we will own certain stocks “forever.” It is true that we own some stocks…
Read More about Does Warren Buffett or Berkshire Hathaway hold certain stocks forever?“The years ahead will occasionally deliver major market declines – even panics – that will affect virtually all stocks,” Warren Buffett said in his FY2016 letter to Berkshire Hathaway shareholders. “No one can tell you when these traumas will occur – not me, not Charlie, not economists, not the media. Meg McConnell of the New…
Read More about Warren Buffett: Two things to remember during scary periods“Long ago, Sir Isaac Newton gave us three laws of motion, which were the work of genius,” Warren Buffett said in a comment in Berkshire Hathaway’s FY2016 annual report. ” But Sir Isaac’s talents didn’t extend to investing: He lost a bundle in the South Sea Bubble, explaining later, “I can calculate the movement of the…
Read More about The Fourth Law of Motion that Sir Isaac Newton failed to discover