Quote of the Day

[billyjoe]

Dec. 31st


"Be always at war with your vices, at peace with your neighbors, and let each new year find you a better man."----Benjamin Franklin


-----------billyjoe

[IIC]

"Get in...Get Out...Get it over with"...IIC

[Tatnic]

Quote:
Originally Posted by IIC
Three quotes from Buffet:


The investor of today does not profit from yesterday's growth.

If past history was all there was to the game, the richest people would be librarians.

Risk can be greatly reduced by concentrating on only a few holdings.





In reading many of his other quotes I get the idea that he suggests only investing in businesses you can understand. If you don't understand the business then take a pass. A "Few" holdings may be a subjective term...If you have a $100,000 portfolio maybe a few is 5...If you have a billion dollar portfolio maybe a few is 100???

When you put it like that then yes, I agree that he only has a few on a relative basis...especially considering some mutual funds a fraction of Berkshire's size have hundreds of positions.

I don't recall where you posted that response about chinese companies Doug, but you're right, there's plenty of corruption over there. In fact, now that you mention it I recall reading somewhere that 2 of the most corrupt countries in terms of business dealings are china and india. Something to do with bribes in order to win business contracts. And I assume that russia is right up there with them but that's just an assumption.

[IIC]

When you put it like that then yes, I agree that he only has a few on a relative basis...especially considering some mutual funds a fraction of Berkshire's size have hundreds of positions.

I don't recall where you posted that response about chinese companies Doug, but you're right, there's plenty of corruption over there. In fact, now that you mention it I recall reading somewhere that 2 of the most corrupt countries in terms of business dealings are china and india. Something to do with bribes in order to win business contracts. And I assume that russia is right up there with them but that's just an assumption.

It was on Peanuts thread