How Warren Buffett Defied Popular Thinking on Risk

When ownership in a stock is measured in days or weeks rather than years, risk becomes a reflection of a stock's volatility – also known as its "beta." As the idea of beta grew increasingly popular in investing literature and academic circles, the long-term investor in Buffett became more incensed with the concept altogether.

Why Buffett Avoids Diversification

Investing guru and CEO of Berkshire Hathaway, Warren Buffett, will tell investors that they should take this particular wisdom with a grain of salt.

The Buffett Mystique

The myth of the Oracle from Omaha who picks “value” stocks and holds for the long run has caused some people to believe that they can replicate Buffett and be equally successful.

Where Buffett Believes Your Money Should Go

Mr. Buffett would like for us to see “the important thing is to be in the left business with the left people,” as long as “you don’t go crazy in terms of what you paid for it.”

Warren Buffett of Berkshire Hathaway Inc.: How to Avoid Ruining a Decade's Worth of Success

For the investor, a too-high purchase price for the stock of an excellent company can undo the effects of a subsequent decade of favorable business developments," he wrote in his 1982 letter to shareholders of Berkshire Hathaway.

Warren Buffett's Worst Enemy Is Also Yours

What's more is that anxiety, whether rational or not, seems to be a built-in part of an investor's life. In fact, we all worry about the future, because of the numerous uncertainties it presents.

Warren Buffett: Why Being Cheap With Money Is a Big Mistake

Berkshire Hathaway has been so successful is because Buffett considers both the business and the price. Only by gauging the prospect of the business and the relative price can we determine the true value of the investment.

Why Warren Buffett Doesn't Diversify Too Much

Buffett understands these areas well enough that when he becomes convinced a particular stock is undervalued, he is confident enough to make a big investment.

Buffett Update: Billionaire Buys Cadillac Not Subaru

It seems that no matter what Warren Buffett happens to say or do, it will always find its way into the news. Last week, the billionaire investor was photographed sitting behind the wheel of a brand-new Subaru Outback. When this happened, a blogger at Auto Evolution decided to turn this into a story.

Even Warren Buffett finds it baffling

Mr. Buffett believes retail is challenging because habits, tastes and sales channels are always in flu such that businesses don’t really build and maintain competitive advantages, or what he calls “economic moats.”

Buffett's Achilles' Heel: Investing in Retail

Billionaire and Berkshire Partner Munger Often Speak of 'Failures'.

Why Buffett is betting on energy stocks again

Warren Buffett has been a big believer in and buyer of U.S. energy—indirectly. When it comes to direct investments in energy stocks, though, Buffett—famous for using an elephant-gun analogy to describe his hunt for acquisitions—has been notably gun-shy.

The 2 Things Warren Buffett Would Never Spend a Dime On

In his 2011 annual letter to Berkshire Hathaway shareholders, Buffett devoted nearly 2,000 words of commentary in a section named "The Basic Choices for Investors and the One We Strongly Prefer."

Warren Buffett Doesn't Always Care about Earnings Growth

Most investors are obsessed with earnings growth, and for good reason. As a company's profit increases, its share price usually follows, as investors can typically expect higher dividends or share buybacks from a company with higher earnings.

Why Buffett & Gates Are Successful

When people talk about focus they are often talking about working on a single goal. It is a thing you have. It is a static thing.

Why Warren Buffett Hides These Executives' Monster Salaries

In other companies, the compensation is listed for top five execs, but for Berkshire it's only three. I think it'd be useful to add two execs from the subsidiaries to let shareholders know how they're being compensated.

How to invest like Warren Buffett

Where others may interpret such difficulties as meaning it's time to quit, Buffett prevailed through tough periods and resisted any urge to pull out of the game.

Hold Till You're Old: Why Warren Buffett Is Still Invested in Coca-Cola

Investors fail to hold on to their securities for many reasons, the biggest two being their inability to stomach market risk and their tendency to heed short-term market predictions.

Neuroeconomists Retrospectively Confirm Warren Buffett's Wisdom

Warren Buffett, billionaire invested, says that investors should try to "be fearful when others are greedy and be greedy only when others are fearful."

Warren Buffett's 'Single Best Measure' Of Stock Market Value Is Higher Today Than It Was During the Credit Bubble

Market Cap to GDP is a long-term valuation indicator that has become popular in recent years, thanks to Warren Buffett.

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