At Berkshire Hathaway's 2012 annual shareholders' meeting, Buffett summarized the investment secrets that made him one of the world's greatest billionaires from investments: we have summarized them for you.
"We look for a business that we think we can understand, and if the price is attractive, we buy it."
"It doesn't matter what the news says, or what the Fed does, or what happens with elections, or what the situation in Europe is, we just buy."
Buffett, the chairman and CEO of Berkshire Hathaway, tends to make investment decisions only when he can understand the intrinsic value of the asset, the competitive landscape, and the future direction of the industry's development, whether he buys the company's stocks or the entire company!
"If we were right about the business, macroeconomic factors had no effect, and if we were wrong about the business, macroeconomic factors would not save us."
"We look at values only, and we don't watch the news at all," he said.
"Everyone thinks we sit around and talk about macroeconomic factors, but we don't discuss macroeconomic factors at all!"
And this shatters many myths for us...
Examine your investments like Warren Buffett!