You don’t have to swing at everything — you can wait for your pitch. There’warren buffett stock portfolio pdf nothing material I want very much.
We don’t get paid for activity, just for being right. As to how long we’ll wait, we’ll wait indefinitely. The free market’s the best mechanism ever devised to put resources to their most efficient and productive use. The least I can do is help pay for all that. You stand at the plate, the pitcher throws you General Motors at 47!
There’s no penalty except opportunity lost. The problem when you’re a money manager is that your fans keep yelling, “Swing, you bum! Mary Buffett and David Clark p. It takes 20 years to build a reputation and five minutes to ruin it.
If you think about that, you’ll do things differently. If you can stick with Pepsi, you should be O. Buy into a company because you want to own it, not because you want the stock to go up. People have been successful investors because they’ve stuck with successful companies. Sooner or later the market mirrors the business. Should You Leave It All to the Children? I’ll tell you why I like the cigarette business.
It costs a penny to make. Sell it for a dollar. And there’s fantastic brand loyalty. Someone’s sitting in the shade today because someone planted a tree a long time ago. Never count on making a good sale.
Have the purchase price be so attractive that even a mediocre sale gives good results. It’s a game of a million inferences. There are a lot of things to draw inferences from — cards played and not played. These inferences tell you something about the probabilities. It’s got to be the best intellectual exercise out there. You’re seeing through new situations every ten minutes. You’re doing calculations all the time.
The way I see it is that my money represents an enormous number of claim checks on society. It is like I have these little pieces of paper that I can turn into consumption. If I wanted to, I could hire 10,000 people to do nothing but paint my picture every day for the rest of my life. But the utility of the product would be zilch, and I would be keeping those 10,000 people from doing AIDS research, or teaching, or nursing. I don’t do that though. I don’t use very many of those claim checks.