Is there an organizational model that allows you to deal with all the information? Source: BRK Annual Meeting 1997
Well, it may have been because of a couple of small, incremental bits of information, but that came into a mass that had been accumulated over decades. That’s why we like businesses that don’t change very much.
A computer screen doesn’t tell you anything. It might tell you about P/Es or something like that, but in the end you have to understand the business. If there are certain businesses in that mall they think they understand and they’re public companies, and they can learn more and more about them….
Anything you can do to develop your own abilities or business is likely to be more productive than investing in foreign currencies.
We don’t buy businesses with much thought of world trends, but we do think about businesses subject to foreign competition, with high labor content and a product that can be shipped in.
There’s nothing different, in my view, about analyzing securities today vs. 50 years ago.
Most people won’t find a lot of great things [to invest in]. Instead, you’ll want to find a few things that are much better than anything else. Act on these.
I have no use whatsoever for projections or forecasts. They create an illusion of apparent precision. The more meticulous they are, the more concerned you should be. We never look at projections, but we care very much about, and look very deeply, at track records. If a company has a lousy track record, but a very bright future, we will pass on the opportunity – Warren Buffett
We essentially spend no time thinking about macroeconomic factors. We simply try and focus on businesses that we think we understand and where we like the price and management. We try to price rather than time purchases – Warren Buffett