Anyone with even a cursory knowledge of investing and trading, or even a basic interest in the global economic games cannot escape the name of Warren Buffett, the “Oracle of Omaha”.
Widely known as one of the most successful investors of all time, Buffet runs Berkshire Hathaway, which owns more than 60 successful companies — including insurer GEICO, restaurant chain Dairy Queen, battery maker Duracell.
Born on 30th August 1930, he is the son of a US Congressman. Buffett bought his first stock at the age of 11, and first filed taxes at the mere age of 13.
His philanthropic endeavors are also highly spoken of, as he has donated over $41 billion, mostly to the Gates Foundations and his kids’ foundations. Additionally, he has promised to donate over 99% of his wealth.
In 2010, Warren Buffett and Bill Gates launched the Giving Pledge. This effort is an invitation to billionaires, requesting them to commit at least half of their wealth to charitable causes.
An inspiration to many, Warren Buffett is truly a force to be reckoned with. Here are a few investment quotes straight from the horse’s mouth:
- “Rule №1: Never lose money. Rule №2: Never forget rule №1.”
Warren Buffett has always emphasized the need to stay rational and sticking to your homework when researching businesses in which to invest.
- “Beware the investment activity that produces applause; the great moves are usually greeted by yawns.”
- “Price is what you pay. Value is what you get.”
In other words, don’t focus on short-term swings in price, focus on the underlying value of your investment.
- “Risk comes from not knowing what you’re doing.”
The success in one area which one understands often incites temptation to cavalierly analyze another area, of which one has less knowledge. This temptation should be firmly resisted.
- “It’s far better to buy a wonderful company for a fair price, than a fair company at a wonderful price.”
This famous Buffett quote is very interesting, as frequently, value investors will pass on anything that they cannot get for a deeply discounted price.