I remember watching an interview with Warren Buffet on CNBC TV last night. Maybe it is an old interview but I do not remember seeing it before. I recall Mr. Buffet saying that he does not visit companies before buying them. Warren Buffet invests using financial information only.
I recall some of Warren Buffet's investment rules, or perhaps they are life rules:
1) Buy a business that has a large barrier to entry. The analogy presented on TV was that of a moat. Something that prevents or discourages competition and gives the business a competitive advantage.
2) Avoid debt.
3) Save and invest.
4) Invest in business that have extremely competent owners and management. I recall Mr. Buffet referring to such managers as "400 hitters".
5) I am summarizing here: Avoid the noise and confusion of wall street. Mr. Buffet finds someplace where he can think clearly (Omaha). Mr. Buffet is looking for one good idea per year.
6) [paraphrasing] Enjoy life and make yourself happy. Be content with what you have.
7) Live below your means.
8) Buy at a good price.
9) I recall Mr. Buffet being very concerned that management be ethical and honest.
Did anyone else watch the interview last night? If I missed anything or made a mistake please correct me.
I am surprised by the simplicity of Warren Buffet's approach.
I recall some of Warren Buffet's investment rules, or perhaps they are life rules:
1) Buy a business that has a large barrier to entry. The analogy presented on TV was that of a moat. Something that prevents or discourages competition and gives the business a competitive advantage.
2) Avoid debt.
3) Save and invest.
4) Invest in business that have extremely competent owners and management. I recall Mr. Buffet referring to such managers as "400 hitters".
5) I am summarizing here: Avoid the noise and confusion of wall street. Mr. Buffet finds someplace where he can think clearly (Omaha). Mr. Buffet is looking for one good idea per year.
6) [paraphrasing] Enjoy life and make yourself happy. Be content with what you have.
7) Live below your means.
8) Buy at a good price.
9) I recall Mr. Buffet being very concerned that management be ethical and honest.
Did anyone else watch the interview last night? If I missed anything or made a mistake please correct me.
I am surprised by the simplicity of Warren Buffet's approach.
