Warren Buffett (eng. Warren edward buffett, August 30, 1930, Omaha, Nebraska, USA) is a modern symbol of a super-successful investor who possesses all the qualities and merits necessary for that. According to Forbes magazine, Buffett has been in the TOP of the richest people in the world for a long time.
Warren Buffett’s childhood stock exchange lesson
Those who are not familiar with the personality of the great billionaire are unlikely to believe that this affable elderly man who gets to his favorite diner in a supported car has the capital with which he could easily buy a dozen Omaha-style towns in which he lives. However, get to know Warren Buffett, – probably with one of the most beloved wealthy Americans, the owner of a large block of shares The berkshire hathawaywith interests in all the most attractive sectors of the economy. He did not have dizzying ups or downs, he just steadily and tenaciously increased his own assets, always remaining a long-term investor.
Unlike many Wall Street heroes, Buffett was born into a wealthy family. His father was a successful broker who then went into politics and became a US Congressman. Little Warren from childhood discovered a commercial vein, as well as a talent for memorizing large numbers. As an 11-year-old boy, he used money borrowed from his father to buy three preferred shares in Cities Service for $ 38, which he then sold for 40 and made a profit of $ 5 minus commission. What was the annoyance of the young speculator when, just a few days later, the value of Cities Service securities jumped to $ 200! So, already in childhood, Warren Buffett learned the main rule of the intelligent investor – “patience is rewarded.”
“A +” by Benjamin Graham
The future financial genius received an excellent education, graduating from the University of Nebraska and the famous Columbia University. It was the last university that had a major impact on the further fate of the protagonist. Warren Buffett began attending seminars by the famous investor of the time, Benjamin Graham, on the analysis of securities. The young man brilliantly mastered the course, and Graham had no other options than for the first time in his teaching practice to put the highest mark – “A +”.
Warren Buffett is a long-term investor
The countdown of Buffett’s ascent to financial Olympus began in 1962: as a director Fund Buffett Partnershop Ltdformed from the contributions of his relatives and friends, he acquired the textile company The Berkshire Hathaway. It is this name that will become the familiar now the personification of the powerful empire of Warren, created by him over half a century. Buffett wasn’t buying stock – he was buying a business. Understandable, relevant and promising. Despite the fact that the Oracle from Omaha, as it was called for its ultra-foresight in decision-making, often opted for undervalued companies, with a keen eye he found those whose assets sooner or later became demanded by the market.
Warren Buffett prefers not to interfere with the administration of his acquisitions. It is limited to the appointment or reappointment of the CEO, as well as the determination of the size of his salary. Therefore, the leader himself becomes interested in the productivity and efficiency of his management. Warren Buffett also values genuine partnerships. For example, he has known his closest associate Charlie Munger since childhood.
Aaa from Moody’s
Omaha oracles do not tend to get into debt. By minimizing risks, The Berkshire Hathaway is one of seven issuers known for being demanding agency Moody’s assigned the highest credit rating – Aaawhich provides the corporation with a low cost of capital.
The Buffett empire includes the securities of such world famous issuers as McDonald’s Corp, Coca-Cola Co., Gillette, American Express, The Washington Post Co., Walt Disney and others.
Buffett’s Charity Breakfast
Warren Buffett’s $ 37 billion donation to five charitable foundations (most of which will go to his friend Bill Gates’ foundation) is already the most generous act of charity ever. And this is not taking into account the counts for charity of the money that those who want to have breakfast with the famous billionaire pay. So, in 2011, the winner of the auction held a record amount of $ 2.63 million.