/biz/ - Business & Finance

>>15618565
imagine all the hours wagies had to slave away for this mans wealth

how to short rich old white men?

>>15618565
>Imagine having around 70k $ at the age of 14 while the markets are still at an ATL.

>>15618601
Why short high IQ and experience?

>>15618609
Now image tripling your $1M (((somehow))) between age 30 and 33

Imagine reaching the net worth of 14 year old buffet at 32

>>15618731
I want to learn something here, stop tiptoeing around the subject. How did Buffett make money between 30 and 33? And which Jews helped him?

>>15618807
It's called Chain Link.

Buffet is a fed.

>>15618731
Seems you don't know about Mr. Buffet's middle age. He was a little autist doing autist things and liked collecting money and numbers. Then one of his partners tried to sneakily fuck him over and Mr Buffet said: "Decrease my numbers?! I think the fuck not" he then went into autistic rage mode and fought back he then realized it was much easier making money by having functional business that increases his investable income so he started doing business aggressively just to make the numbers increase but his real passion was reading the news, doing FA on companies and investing money into shit he did tons of research on.

Even to this day Berkshire is run by business managers and Buffet spends most of his time reading the news(no jokes) and then doing FA on companies. He is a friendly autist with an IQ of over 160. He always plays down his IQ because all people are born equal and with hard work you can have his "self-developed" pattern recognition skills.

>>15619001
this is likely true

>>15619001
>all people are born equal
Not falling for obvious b8

>>15619147
Did you fail reading comprehension?

>>15619001
It's beautiful. And you put his news reading autism in there, it's wonderful.

But one question remains. Who was the sneaky business partner?

>>15619147
Based retard

>>15618731
>>15618807
>what Jews helped him?
Or maybe he didn’t play video games, make nazi memes, and masterbate all day in his parents basement like you faggots.

>>15620197
Hm is your net worth sir? You must be successfull af.

>>15618687
Because nothing can save from the brown wave

Did this boomer just win the largest game of roulette or did he actually make good investments? I'm too lazy to look it up.

>>15619972
>|
>|>
>|
>|3
Yes, who could that mystery man have been?

>>15620197
So you didn't know what the brackets meant and believe I randomly tossed the term Jews in there.

>>15618565
gold outpreformed this preboomer. he's the product of nepotism

>>15620805
That's nonsense

>>15620883
>reeeeee its not true
his dad was a congressman. dudes was connected from the start. how else would you fleece people for $10k way back then

>>15620916
I was talking about gold outperforming Buffett or Berkshire Hathaway

>>15621031
chart is for ants but the numbers are a blow out since y2k

>>15620279
104k I’m 28 I’m a poor fag

>>15621031
this is a better take against other stocks. dude has been riding the falling coat-tails of this country.

>>15618565
that pic proves capitalism is a scam where the rich get richer. took him 30 years to get to 1 million, and then he makes 50 billion in 10 years, joke of a fucking system. not saying its impossible to get rich but the rich clearly have and advantage in gathering more wealth.

>>15621112
I wonder how he would do starting at -100k at 24 from student load debt like most millenials.

>>15620197
>Or maybe he didn’t play video games, make nazi memes, and masterbate all day in his parents basement like you faggots.
That's reality, they want excuses
>>15620805
>gold outpreformed this preboomer
damn, who would have guessed

>>15618565
He was taught one on one how to invest by Benjamin Graham the father of value investing. Right before the biggest bull run in history. He himself accounts most of his success to Graham book and lessons. And he is autistic with numbers.

>>15621112
it's not capitalism
it's the monetary system

>>15621241
everyone's so caught up in capitalism and socialism, the US uses tons of both and either system can be ran into the ground or improved on

he looks like a bubble

>>15618565
Did you know that he invests in UDOO?

>>15618565
Warren buffet is a pseudo character created to centralize public interaction to economic innuendo. Him, Rothschild and Ted turner are characters created to have a person to blame. Financial institutions have hundreds of administrators and there is no such thing as one man to rule all as richest.

>>15620550
Sergey Nazarov

>>15621203
This anon says it how it is

warren buffet learned the mutual fund scam and did it before anyone else

a simple fee of 3% takes close to half of your money in the long run

so he made money off of other peoples money but also knew that he needed to reinvest it to make even more so its compound on compound

>>15621960
>so he made money off of other peoples money
That's what people do in investing. They give money to people who get a higher ROI.

it's been explained how he did it, tl:dr he margin longed low risk companies
1/3
>IF INVESTORS had access to a time machine and could take themselves back to 1976, which stock should they buy? For Americans, the answer is clear: the best risk-adjusted return came not from a technology stock, but from Berkshire Hathaway, the conglomerate run by Warren Buffett. Berkshire also has a better record than all the mutual funds that have survived over that long period.

Some academics have discounted Mr Buffett as a statistical outlier. Others have simply stood in awe of his stock-picking skills, which they view as unrepeatable. But a new paper* from researchers at New York University and AQR Capital Management, an investment manager, seems to have identified the main factors that have driven the extraordinary record of the sage of Omaha.

>Understanding the success of Mr Buffett requires a brief detour into investment theory. Academics view stocks in terms of their sensitivity to market movements, or “beta”. Stocks that move more violently than the market (rising 10%, for instance, when the index increases by 5%) are described as having “high beta”, whereas stocks that move less violently are considered “low beta”. The model suggests that investors demand a higher return for owning more volatile—and thus higher-risk—stocks.

The problem with the model is that, over the long run, reality has turned out to be different. Low-beta stocks have performed better, on a risk-adjusted basis, than their high-beta counterparts. As a related paper† illustrates, it should in theory be possible to exploit this anomaly by buying low-beta stocks and enhancing their return by borrowing money (leveraging the portfolio, in the jargon).

>>15622853
2/3
>But this anomaly may exist only because most investors cannot, or will not, use such a strategy. Pension schemes and mutual funds are constrained from borrowing money. So they take the alternative approach to juicing up their portfolios: buying high-beta stocks. As a result, the average mutual-fund portfolio is more volatile than the market. And the effect of ignoring low-beta stocks is that they become underpriced.

Mr Buffett has been able to exploit this anomaly. He is well-known for buying shares in high-quality companies when they are temporarily down on their luck (Coca-Cola in the 1980s after the New Coke debacle and General Electric during the financial crisis in 2008). “It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price,” he once said. He has also steered largely clear of more volatile sectors, such as technology, where he cannot be sure that a company has a sustainable advantage.

>Without leverage, however, Mr Buffett’s returns would have been unspectacular. The researchers estimate that Berkshire, on average, leveraged its capital by 60%, significantly boosting the company’s return. Better still, the firm has been able to borrow at a low cost; its debt was AAA-rated from 1989 to 2009.

>>15622853
So jumping ahead, and please correct me if I’m wrong, but he bought low then levered up on decidedly unsexy companies that had good fundamentals? That’s crazy talk

>>15622865
the other thing about him is his dad was a congressman for four terms, he had an easy time finding investors with his connections, he didn't have do cold call people or go door to door
3/3
>Yet the underappreciated element of Berkshire’s leverage are its insurance and reinsurance operations, which provide more than a third of its funding. An insurance company takes in premiums upfront and pays out claims later on; it is, in effect, borrowing from its policyholders. This would be an expensive strategy if the company undercharged for the risks it was taking. But thanks to the profitability of its insurance operations, Berkshire’s borrowing costs from this source have averaged 2.2%, more than three percentage points below the average short-term financing cost of the American government over the same period.

A further advantage has been the stability of Berkshire’s funding. As many property developers have discovered in the past, relying on borrowed money to enhance returns can be fatal when lenders lose confidence. But the long-term nature of the insurance funding has protected Mr Buffett during periods (such as the late 1990s) when Berkshire shares have underperformed the market.

>These two factors—the low-beta nature of the portfolio and leverage—pretty much explain all of Mr Buffett’s superior returns, the authors find. Of course, that is quite a different thing from saying that such a long-term performance could be easily replicated. As the authors admit, Mr Buffett recognised these principles, and started applying them, half a century before they wrote their paper.

>>15622902
>but he bought low then levered up on decidedly unsexy companies that had good fundamentals?
total madman

>>15622981
Fuckin’ a. What would Elon do?

>>15622650
>They give money to people who get a higher ROI
but they would have been better off buying the whole market in an index fund
>>15622902
yep and used his congressman fathers connections
Smart plan, discipline, and good connections

>>15622912
>These two factors—the low-beta nature of the portfolio

Watch the video in OP 4:05

Debunked

>>15618565
Hell yeah I'm 26 and so far my worth has tracked exactly like Buffet's. Next 4 years will be tough to keep up with, though

>>15623226
no it doesn't, just because he says he doesn't put much value to beta, doesn't mean he doesn't mostly buy companies with low beta

>The company wholly owns GEICO, Duracell, Dairy Queen, BNSF, Lubrizol, Fruit of the Loom, Helzberg Diamonds, Long & Foster, FlightSafety International, Pampered Chef, and NetJets, and also owns 38.6% of Pilot Flying J; 26.7% of the Kraft Heinz Company, and significant minority holdings in American Express (17.6%), Wells Fargo (9.9%), The Coca-Cola Company (9.4%), Bank of America (6.8%), and Apple (5.22%)
diversified portfolio of consumer staples and companies with entrenched advantages, seems pretty low beta

What about him?

>>15621148
all sucessfull people getting rich i know from history didnt study. people who study became famous for science but stayed normal or poor.

>>15620805
Umm, no it didn't you idiot.

>>15621062
If you don't have any outstanding debts, you're actually pretty well off compared to most people

>Buffet
>Investing genius

lol

Actively seek counterarguments to consolidate your arguments

Professor Anthony Weston, a contemporary exponent of critical thinking, wrote in his Rulebook for Arguments, “If you can’t imagine how anyone could hold the view you are attacking, you just don’t understand it yet.”

The great Roman philosopher and orator Cicero wrote in his influential work De Oratore (55 BCE, Eng. trans. On the Orator,) “The man who can hold forth on every matter under debate in two contradictory ways of pleading, or can argue for and against every proposition that can be laid down—such a man is the true, the complete, and the only orator.”

Advocating observable evidence and rational investigation, the great English natural philosopher Francis Bacon wrote in his Novum Organum (1620,) “The human understanding when it has once adopted an opinion draws all things else to support and agree with it. And though there be a greater number and weight of instances to be found on the other side, yet these it either neglects and despises, or else-by some distinction sets aside and rejects, in order that by this great and pernicious predetermination the authority of its former conclusion may remain inviolate.”

>>15619147
Youre special anon

>>15621517
This guy gets it

>>15620197
>He can't work hard and do all of those things listed at the same time.
Not gonna make it

Warren Buffet can be a hack, but you guys can learn from his investing principle.

>>15623722
Net worth = assets - liabilities

>>15618565
all that money and you're still going to die in just a few years

imagine in 50 years it probably isn't going to be that way. with that kind of money he would be able to extend life until they finally solve immortality.

too bad for him this isn't 50 years from now.

>>15618601
>white
hes a kike

>>15624418
thank you, had to reread this just to absorb it all.
I've read some really great stuff here over the years, this one is important.

>>15618825
Please shut the fuck up already loser

>>15625830
is Sergez Nayarov jew?
>>15620197
I do none of those and kinda not poor but not rich either. Warren sure has (connections). What's your reason for being a poorfag?

>>15619001
>He always plays down his IQ because all people are born equal and with hard work you can have his "self-developed" pattern recognition skills.
WAT???
CIA please go away and take your CIA like methods to deceive people with you

>>15625904
I'm on my way up. Not on Warren pace, but I went though a few years of blind retardation. I'm not blaming anyone for my lack of wealth besides my own lack of ambition.

>14: 5k
naw, his parents were funding his projects to the order of hundreds of thousands of dollars by then. the chart is misleading. He simply used his parents weatlh and bought early on in the stock market. He picked the right stocks (survivorship bias) and now has $80 billion.
Trump was a similar story except he just took a different route. Due to the drastic differences you can get through exponential growth, he only has $4 billion.
I'm sure they're both skilled in their own right, but anyone with an IQ of 100 and impulse control could turn $1 million in 1945 into $1 billion in 2010.

while the advice they give you may be helpful, it will not make anyone a billionaire. their parents being multi-millionaires, made them billionaires.

>>15626756
No he didn't did you even read his autobiography? I sold cokes door to door and had a news paper route which he expanded then started a little newspaper scam and got cuaght but kept his money. He invested his money OTC and people laughed at him because of his age.

>>15626793
>rich people lying to protect their egos
He made $72,000 in inflation adjusted earnings from selling newspapers at 14? give me a fucking break.
Starting at $5,000 with average S&P in 1944 returns gives you $1,100,000 in 2019.
He got help from his parents.

>>15618565
tell me what happened at age 43-44

>>15626756
>naw, his parents were funding his projects to the order of hundreds of thousands of dollars by then. the chart is misleading.

This. 5k when he was 14 is like almost a 100k now

>>15627034
it was a nickel machine and buffett claims he made a $25 the first week, or an average of 100 games played per day over 5 days
Or if he's splitting 50/50 with the barber, that's 200 pinball games per day on average.
What kind of barber in 1944 was averaging 200 pinball games a day?
if his business was with $1000 that he sold it for, was he really getting 20,000 pinball games a year? That means he sold 2 pinball machines.

and if it was a more realistic 20 pinball games a day, that means it took him another 25 weeks to buy another machine.

now add in the fact back in 1944, pinball was basically a gambling machine. there were no flippers so you could only tilt the machine. you could exchange points with the owner for nickels. So that cuts on returns since we're already counting all the profit. So are the barbers doing this exchange maintenance too? or is it essentially a pinball machine with no rewards?

any way you run the numbers it sounds like warren is full of shit.

>>15619001
He's inspiration to all the future Kang Buffets

>>15618687
I think you mean privilege and inferiority complexes

>buy up a bunch of insurance companies
>trick america into buying your insurance and handing over billions of premiums
>take that cash premium and turn it into the largest free loan in history
>invest in american companies during the rise of the american empire

what's smart is figuring out how to get the largest free loan in history, not his investing talent

>>15621062
>poorfag
>am 28
>dont even have $104
100k @ 30 is enough to make big strides. Money makes money the hardest part is producing & retaining enough initial capital. Like trying to make a snowball in shit snow. It's hard work at first but once the shape's there snow sticks easily to it.

how in the hell DOES he evaluate stocks?

I just keep buying "good" companies that I think are going to be around forever. McDonalds, Microsoft, Nintendo, JNJ, that type of stuff.

>>15618807
unironically ben graham.

buffett does his aw golly shucks midwestern persona but he's a total zog predator

t. read everything by and about buffett and munger

>>15627749
he looks at their balance sheets and understands their debts, expenses and costs.
Your valuation represents future demand so you need to find that demand supply and compare those to other assets of similar nature.
You can value stocks (crypto too) a million ways but it should start with supply/demand and work out from there

>>15625052
>JeWs ArEnT wHiTe

>>15628204
I uhhh... I thought demand for Juul would be high uhhh... fuck. At least there’s yield? Maybe I should just start studying accounting if I’m 30 and not good at anything but interested in investing but confused by complex stuff like repo rates or derivatives... “you can buy the underlying variable interest rate and that’s a derivitive called a swap” shit just makes my head spin, how the hell does someone buy a variable interest rate and sell a fixed rate... and why would they think themselves fit to gamble on such a thing

>>15627891
Start with graham?
Best things to read by and about munger and buffet?

>>15628274
They admit that they’re a separate ethnicity. You automatically become a citizen of israel if you take a genetics test and you’re >75% Jewish, but here we just take thirdworld garbage immigrants. Its equal I don’t have a problem with it.

>>15628302
swaps are only for institutional investors, not for (You) so you shouldn't even concern yourself with that. There are so many other financial assets that you could focus on.

>>15628481
My point was more that these fancy things confuse me, so I’ve been too scared to get near finance, accounting, or business, but I’m spending a lot of my time on the stock market, so I’m wondering if it’s worth studying.

>>15628397
>genetics test
There’s a lot of Somalians there that claimed to be Jewish but really were just seeking a better life. They’re darrrrk black and have face tattoos and shit, I highly doubt they were made to take a dna test. I bet there’s ways around it if you really want to live in Israel. But there’s plenty of literal 3rd world “garbage immigrants” there.

I wonder if we’d be less pussified (and obese) if we had mandatory military service like they do.

>>15618687
Because they are race traiting worms that send niggers into europe. We should torture and kill this scum.

>>15628559
Buffetsama? You really think he does all that?

>>15628529
>My point was more that these fancy things confuse me
I think you might underestimate yourself. From all the things that "confused" you, you picked swaps, which are one of the most difficult things to grasp and they are of no consequence for you or your investments. This makes me believe that you actually understood all the other instruments, but got intimidated by shit like swaps. It's like me trying to study physics and instead of starting with classical mechanics and work my way up from there, instead I jump straight into quantum theory and decide that physics is too hard for me to even bother. Small steps, anon.

>>15628724
Thanks fren. I think I’ll give some open courseware courses a try between current classes.

>>15628529
I have a finance degree, worked for a broker, and I don't understand interest rate swaps

>>15624005
zoom out

>>15628557
how fuckign stupid are you? Those Somalians get thrown into prision camps or forced into being injected with impotency drugs. You fucking idiot.

>>15620526
Whats the difference? Picking the right number is picking the right number

>>15628397
imagine if some white nation were to do the same.

>>15618601
Slap a pedophilia case against him. Although, I wouldn't be so shocked if he fiddled with tons of kids already anyway.

>>15629698
Israelis do that shit? I didn’t know that...

>>15631565
Apartheid is alive and well in Israel my friend. Their eugenics policies put the Germans to shame (and that’s a good thing!)

>>15618565
fucking boomer, why does this old jew need so much money anyway?

Warren Buffett is the most immoral man in America. In the past when people were blessed with wealth they spent it on monuments, castles, libraries, living well, patronising the arts.

All buffett will leave is a mountain of McDonald's wrappers and coke cans. It is revolting that we live in a society where some are immiserated while others with wealth beyond the dreams of ordinary men don't even use it to live in a superior manner.

>>15627310
lol you think he got a fortune of 80.000.000.000$ by "privilege

shake your head, retard

>>15630467
Hungary practically does that, same goes for Nippon

>>15632826
ooga booga we live in a society coca cola immoral

>>15618584
Imagine having this dim of an understanding of entrepreneurship and risk to think this wealth was built by wagies

>>15618565
Well he certainly has a lot of American treasure hahaha

>>15625052
He's not. He just hangs around with a bunch of kikes.

>>15633324
Yes.

>>15632639
I don't think he needs it. They are playing in a competition and measure the score in terms of money.

I think he together with Bill Gates signed a pledge to give most of their net worth away.

>>15633474
boy I hope you eat dirt and barely survive just to understand how fucked up shit just came out your mouth right now.

>>15635180
Warren has had many loved ones and family members counting on him for a very long time. People bought shares of Berkshire, trusting him to help them out with his financial wisdom. He doesn't want to let them down.

When would you stop fighting for the people you care about? When do you say "that's enough, you can stop trusting me now"?

>>15619147
Evidently not.

>>15618565
this guy had to 14h each fucking day and penny pinch into his 30ties for the first million and then another 16 years the same to the first B
that's dedication most people will not bring to the table
the guy still eats at $20/meal restaurants (with a bodyguard) and goes to work every day

>>15632826
If you look at the stock of berkshire (his investment firm)
it quadrupled the last 20 years nearly perfect
you could have put $20 as a low wagie a week into his stock and after 20-30years you would be, by statistics, in the top 20% of wealth
but, you know, cheap booze and the new GTA is out, and HBO costs 60$ a month

>>15618565

Warren Buffet is a deep state puppet and an imbecile. He doesn’t write his own books, he doesn’t make his own trades, and he’s not who you people think he is. All the world’s a stage and half of humanity is being led on a wild goose chase by the other half.

>>15633262
>>15633474
wow so he can exchange that shit into 6,666,666,666 hair cuts if one hair cuts costs 12 bucks but I think he is to greedy to pay for a hair cut and doent want to spend anything so because he wants the average joe whos work hours amassed his wealth can never own anything and have to keep slaving.
ENJOY TAKING ALL THAT MONEY WITH YOU TO HELL OLD MAN.

>>15635620
think how absurd that is, being so old you probably will never get another haircut while you could give one hair cut to EVERY single human on earth! blows my mind.

>>15635522
That is completely irrelevant to the content of my post.

>>15627310
>>15635620
>>15635636
These are allowed to vote and participate in modern society.

>>15635734
You think they are useful and high functioning members of society ?
Really ?

>>15627749
Try reading a book, anon. Do you think you're going to learn the extent of Warren Buffett's knowledge by posting on 4chan and doing a simple Google search?

>>15635734
Who do you think is voting Democrat?

>>15618565
Warren Buffett is a closet index investor (50+ years) and the '08 federal government biz bailout saved Berkshires Hathaways fucking ass.

Is he an American treasure like Thomas Sowell? No.

Is his partner Charlie Munger an American treasure? Yes.

Warren Buffet is the face of Berkshire but Charlie Munger is the actual big dicked brain.

Hey im currently only 9 years behind warren buffet.

One sick altseason and i got him !

>>15635734
blow it out your ass

>>15636400
This, buffet got lucky gambling in his early years. Being the brainlet that he is Munger had to save his ass.

>>15636744
Wow I real life boomer who grew up with Quake and Xbox 360. The nothing is serious everything is a joke generation. Listening to some 50cent while reminiscing about windows 7?

>>15636806
>Imma be an investaa too someday

>>15637069
At least I am trying and reading broadly what can you say did you do with your life? Probably too scared to even try then critiques other people into the ground for trying.

>>15618565
>drinks diet cherry pepsi
>jacks off to the sears catalog
>has a rolodex next to his landline
>smokes refries from public ashtrays
>looks like his mother dressed him
>thinks the internet is a fad
just don't take his advice on tech or trends.

>>15627310
>>15632826
>>15635436
>>15635620
>>15635636
>>>Reddit.com<<<<

>given hundreds of thousands (millions?) of dollars by his parents but tries to hide this fact in biographies
>started with pinball gambling ring
>moved on to insurance fraud (overcharging on premiums and using that money to hoard real estate)
>doubled down by leveraging loans on his stolen real estate
>bought some oversold companies before the greatest bull run in history
Warren never had to work a real job in his life. He's good at picking stocks that 2x the S&P, but reallistically there are lots of people who can do that. If warren started with poor parents, no one would have ever heard of him.

>>15636298
I don’t even enjoy my time here anymore. And I think the negativity has really taken a toll.