[Investment] Warren Buffet's Brilliant Investment Insights

Warren Buffet or ‘The Sage of Omaha’ is one of the richest men in the world. He is noted for his adherence to the value investing philosophy and for his personal frugality despite his immense wealth. Buffett's speeches are known for mixing business discussions with humor.

Each year, Buffett presides over Berkshire Hathaway's annual shareholder meeting in the Qwest Center in Omaha. Berkshire's annual reports and letters to shareholders, prepared by Buffett, frequently receive coverage by the financial media.

His words reflect his attitude and mind-set towards money which made him eminent in the world. Here are few brilliant and inspirational investment insights from the legendary Buffet which will make you reorganize your mind-set towards the way you handle your money.

“Rule No. 1: Never lose money. Rule No. 2: Don't forget rule No. 1”

“I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.”

“Never invest in a business you cannot understand.”

“Always invest for the long term.”

“Price is what you pay. Value is what you get.”

“Buy a business, don’t rent stocks.”

“Risk comes from not knowing what you're doing.”

“Someone’s sitting in the shade today because someone planted a tree a long time ago.”

“The fact that people will be full of greed, fear or folly is predictable. The sequence is not predictable.”

“Only buy something that you’d be perfectly happy to hold if the market shut down for 10 years.”

“Our favorite holding period is forever.”

“I really like my life. I’ve arranged my life so that I can do what I want.”

“I buy expensive suits. They just look cheap on me.”

“I am a better investor because I am a businessman and a better businessman because I am an investor.”

“I never attempt to make money on the stock market. I buy on the assumption that they could close the market the next day and not reopen it for ten years.”

  

“I try to buy stock in businesses that are so wonderful that an idiot can run them. Because sooner or later, one will.”

“Whether we’re talking about socks or stocks, I like buying quality merchandise when it is marked down.”

“Most people get interested in stocks when everyone else is. The time to get interested is when no one else is. You can’t buy what is popular and do well.”

“Time is the friend of the wonderful company, the enemy of the mediocre.”

“The Stock Market is designed to transfer money from the Active to the Patient.”

“We don’t get paid for activity, just for being right. As to how long we’ll wait, we’ll wait indefinitely.”

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

“Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good results.”

“In the business world, the rearview mirror is always clearer than the windshield.”

  

“The investor of today does not profit from yesterday’s growth.”

“You only have to do a very few things right in your life so long as you don’t do too many things wrong.”

“In a commodity business, it’s very hard to be smarter than your dumbest competitor.”

“Investors making purchases in an overheated market need to recognize that it may often take an extended period for the value of even an outstanding company to catch up with the price they paid.”

“A hyperactive stock market is the pickpocket of enterprise.”

“Valuing a business is part art and part science.”

“Chains of habits are too light to be felt until they are too heavy to be broken.”

“In a commodity business, it’s very hard to be smarter than your dumbest competitor.”

“A hyperactive stock market is the pickpocket of enterprise.”

“Should you find yourself in a chronically leaking boat, energy devoted to changing vessels is likely to be more productive than energy devoted to patching leaks.”

“Valuing a business is part art and part science.”

“Chains of habits are too light to be felt until they are too heavy to be broken.”

“Enjoy your work and work for whom you admire.”

“A great investment opportunity occurs when a marvelous business encounters a one-time huge, but solvable problem.”

“I never buy anything unless I can fill out on a piece of paper my reasons. I may be wrong, but I would know the answer to that.”

“It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price.”

“The business schools reward complex behavior more than simple behavior, but simple behavior is more effective.”

“Anything can happen in stock markets and you ought to conduct your affairs so that if the most extraordinary events happen, that you’re still around to play the next day.”

“I don’t measure my life by the money I’ve made. Other people might, but certainly don’t.”

“If at first you do succeed, quit trying on investing.”

“Turnarounds seldom turn.”

“I always knew I was going to be rich. I don’t think I ever doubted it for a minute.”