Buffett’s Shareholder Letter Highlights: 1983

Since Warren Buffett took over the management of Berkshire Hathaway in 1965, he has written an Annual Shareholder Letter outlining the progress of the company, setting goals, and discussing the culture and methodology of Berkshire Hathaway. And, while a good portion of each letter is devoted to a rundown of numbers for Berkshire Hathaway, scattered throughout each article is quite a bit of Buffett’s down-to-earth mentality and some fantastic financial advice.

In this series, I’m going to go through and highlight some of the best letters from 1965 through the present. There won’t really be that much of an order, and we won’t do every year, but inside you’ll find not only an interesting insight into Berkshire Hathaway, but also history and the mind of the Oracle of Omaha himself.

Today, we’re going to take a look at the Shareholder Letter from 1983. This letter has been lauded as one of the top five best letters written by Buffett. But first we’ll get some background on what was going on in Berkshire Hathaway that year. Continue reading ‘Buffett’s Shareholder Letter Highlights: 1983’ »

5 Reasons Not to Invest like Buffett

While Warren Buffett is often looked to for advice, and he does have a lot of knowledge to share, doing exactly what Buffett does is not always the answer— or even an option. Buffett shares great general knowledge, but as a billionaire his actions are just going to be different than yours. Keep that in mind while you are investing! You can follow Buffett’s advice while not doing exactly what he is, and to help put you at ease, here are 5 reasons you may not be able to invest like Buffett.

1) You have different goals than him.

Continue reading ‘5 Reasons Not to Invest like Buffett’ »

Buffett’s Shareholder Letter Highlights: 1977

Since Warren Buffett took over the management of Berkshire Hathaway in 1965, he has written an Annual Shareholder Letter outlining the progress of the company, setting goals, and discussing the culture and methodology of Berkshire Hathaway. And, while a good portion of each letter is devoted to a rundown of numbers for Berkshire Hathaway, scattered throughout each article is quite a bit of Buffett’s down-to-earth mentality and some fantastic financial advice.

In this series, I’m going to go through and highlight some of the best letters from 1965 through the present. There won’t really be that much of an order, and we won’t do every year, but inside you’ll find not only an interesting insight into Berkshire Hathaway, but also history and the mind of the Oracle of Omaha himself.

Today, we’re going to take a look at the Shareholder Letter from 1977. This letter has been lauded as one of the top five best letters written by Buffett. But first we’ll get some background on what was going on in Berkshire Hathaway that year.

Continue reading ‘Buffett’s Shareholder Letter Highlights: 1977’ »

Buffett’s Grandson Follows in Same Footsteps with i(x) Investments

Howard Warren Buffett, grandson of Warren Buffet, has started a journey following in his grandfathers footsteps. H.W. Buffett, age 33, is a professor at Columbia’s School of International and Public Affair, runs a farm in Nebraska, and has his own investment agenda as well.

Howard W. Buffett co-founded an investment company called i(x) Investments, which is your usual conglomerate with a twist: it focuses on human needs and social change. The basis of the company is actually solid, as companies that are philanthropic tend to have a higher profit for shareholders than companies that are not. Continue reading ‘Buffett’s Grandson Follows in Same Footsteps with i(x) Investments’ »

Warren Buffett on How To Improve the US Economy

Since the Recession of 2009, the United States economy has been in the news semi-constantly. While most people agree that the economy is doing pretty well, it’s still something that many people are concerned with. In fact, both 2016 presidential candidates talked at length about their differing plans for the economy and how to continue that increase to get things back to where they should be.

However, billionaire investing genius Warren Buffett has said repeatedly that we shouldn’t worry about the economy. The Oracle of Omaha is bullish about the US and extremely optimistic about the future of the country, regardless of who is in charge. But why? Well, as it turns out, Buffett believes that there are two things that will improve the economy. Continue reading ‘Warren Buffett on How To Improve the US Economy’ »

Buffett and the Sharing Economy

Price surges are no new experience for Americans. When something is in high demand, it’s going to be a lot more expensive. We see this most often with hotels, who raise their pricing during whatever time it is for them to shine, pretty much as high as they can.

So, when do you think all the hotels book up in Omaha, Nebraska? The answer might surprise you. It’s not for concerts, sporting events, or even over the summer, but Omaha fills with about 40,000 visitors for Berkshire Hathaway’s shareholder meeting. Since the first meeting in 1980, hotels have caught on to this and started raising prices— some well over $400 for the night! Continue reading ‘Buffett and the Sharing Economy’ »

Warren Buffett’s Wealth Averaged to Dollars Per Day May Surprise You

Billionaire Warren Buffett is reportedly the third wealthiest man in the world, right behind Bill Gates and Amancio Ortega. And, at 86 years old, he is the oldest CEO in the S&P 500. But, to the layman it’s hard to really imagine the kind of wealth that someone like Warren Buffett makes. Last estimates place his wealth at around $70 billion, but for someone who makes thousands a year, how much is $70 billion really?

Well, as it turns out, it’s way more than you probably think it is. Continue reading ‘Warren Buffett’s Wealth Averaged to Dollars Per Day May Surprise You’ »

Buffett and Munger on the Circle of Competence

Warren Buffett has been a public spectacle for a number of years at this point, and is constantly looked toward for advice in business and investing. He tends to keep it simple, which is still the case with his”Circle of Competence” theory.

“What an investor needs is the ability to correctly evaluate selected businesses… You don’t have to be an expert on every company, or even many,” Buffett introduced the subject in his 1996 shareholder letter, “You only have to be able to evaluate companies within your circle of competence. The size of that circle is not very important; knowing its boundaries, however, is vital.” Continue reading ‘Buffett and Munger on the Circle of Competence’ »

Top 10 Career Lessons from Warren Buffett

Warren Buffett, despite his immense wealth, is actually a very down-to-earth sort of person. He reads a lot and has lived in the same house in Omaha for years. And, while most people probably think about investing and financial advice when they consider talking with the Oracle of Omaha, it turns out that he has quite a bit of career advice as well to dole out.

Here, we’ve gathered 10 of his most relevant quotes for success in both your personal life and your career.

1. “Invest in as much of yourself as you can; you are your own biggest asset by far.”

The best and first investment everyone should make is in themselves. That means reading like Buffett, learning, and taking the time to constantly better yourself. You don’t have to pay a lot to do this, but it’s a constant effort. Buffett is an avid learner and, according to some sources, reads upwards of 500 pages everyday.   Continue reading ‘Top 10 Career Lessons from Warren Buffett’ »

Warren Buffett’s Indicators for the Economy

Warren Buffett once said that if he was trapped on a deserted island and needed to check on the economy, but could only get access to one set of numbers, he would look to railway traffic and truck tonnage— even though he’d want to check out a lot of figures.

While sometimes truck tonnage gets overlooked in favor of a focus on rail car traffic, both seem to be a pretty strong indicators— but only when the time is right. Continue reading ‘Warren Buffett’s Indicators for the Economy’ »