워런 버핏
Longtime leader of Berkshire Hathaway who practiced long-term compounding by investing within his circle of competence in businesses with durable economic moats and margins of safety.
1,409 records in all
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58 basic records of 389
Principles are our summary of their public statements.
The best acquisitions involve businesses where the existing management stays in place to run the company as they have in the past.
Supporting quotes
Demonstrated consistent earning power (future projections are of little interest to us, nor are "turnaround" situations2 more supporting quotes are in the member records.
Be wary of industries where bankrupt competitors stay active by selling assets to fund losses, as they can drive prices below sustainable costs for everyone.
3 more supporting quotes are in the member records.
As a business grows larger, its ability to move quickly or correct mistakes by selling positions diminishes significantly.
3 more supporting quotes are in the member records.
A business should operate in a way that satisfies both customers and regulators to ensure smooth expansion into new markets.
3 more supporting quotes are in the member records.
When a company faces a scandal, one should talk directly to customers to see if their trust and buying habits have actually changed.
A business can survive major losses if it has enough cash on hand and a stable float from its operations to cover liabilities.
Do not let anger or a sense of betrayal drive you to acquire a bad business just to spite someone.
When a fund or business grows too large to execute its core strategy effectively, stop accepting new capital.
Structure your business and communication to support long-term gains rather than short-term appearances or commissions.
Engage in a set of activities to generate many ideas, then narrow them down to focus on and execute the best one.
Ownership percentage matters less than the total intrinsic value of the stake; a smaller slice of a much larger pie is often worth more.
3 more supporting quotes are in the member records.
One should identify where value actually accrues in an industry rather than just looking at who makes the final product.
Focus on how customers interact with a product and their loyalty to a brand rather than the technical specifications of the technology.
A business must change its playbook as it grows because the methods that worked for a small company often fail at a massive scale.
Operating as a company with an infinite time horizon and no fee drag allows for better alignment of incentives than a traditional fund.
Help customers save money on logistics or travel so they have more disposable income to spend on your products.
1 more supporting quote is in the member records.
By offering a permanent home for culture and people, a company can become the preferred buyer for owners who care about their legacy, reducing competition.
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The businesses we are offered by the stock market every day - in small pieces, to be sure - are often far more attractive than the businesses we are concurrently being offered in their entirety.2 more supporting quotes are in the member records.
Focus on the long-term value and quality of a business rather than just looking for a deep discount on a poor one.
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I bristled at Stanton's behavior and didn't tender. That was a monumentally stupid decision.2 more supporting quotes are in the member records.
If a compensation system like fixed-price options has successfully built a strong owner culture, it may be better to leave it intact despite its logical flaws. Practical results matter more than perfect incentive structures.
3 more supporting quotes are in the member records.
Give first-class managers the freedom to focus on long-term value by removing distractions like hostile takeovers or voting disputes.
3 more supporting quotes are in the member records.
You are seeing 211 basic records. Membership answers from all 1,409 of this master's records.
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