Warren Buffett- The Great Investor
Warren Buffett is a name that does not appeal to any introduction, no matter who you are, whether you are interested in the stock market or not, but still the world’s richest man, “Warren Buffet” is a name that you must be heard,
How much can a person earn from the stock market, and how much can be rich – in this regard, the “Warren Buffet” of America is first taken,
Warren Buffett has a net worth on June 2018 – 85 billion US Dollar
If you talk about Indian rupee, then Warren Buffet has total assets – about Rs 56 lakh crore,
(1 billion = 100 million)
1 billion dollars = 6700 crores)
And he has been in the list of the world’s top 10 rich people for the last several decades,
Can you believe – a person who starts his own $ 100, can make Rs 56 lakh crore,
This is absolutely true, and the only thing that prevails is the awakening – Warren Buffett
And the most interesting thing is that they have made so much money and wealth, through investment,
Warren Buffett started from Rs 5000 to 56 lakh crore, is known by this name as the greatest, biggest, most successful investor of this world ever so far,
Due to his success and endless wealth, Warren Buffet is known by many names such as – the magician of the stock market, Oracle of Omaha, and when in 2006 he donated a large part of his property, due to this century also called the largest donor,
You can read about the whole life cycle and success about Warren Buffet on Wikipedia –
Let’s take a look at Warren Buffet’s life here,
Childhood of Warren Buffett
Warren Buffett was born on August 30, 1930, in the city of Omaha in the state of Nebraska, which is located in the United States of America, whose parents were Howard and Leela (Stall)
His father was a stockbroker and Warren Buffet probably began to be very interested in the stock market and business as a child since childhood, Warren Buffett began to understand business at the young age of 6 and at the young age of 6 Started business, when bought some bottles of Coco-Cola from a grocery store and sold it to others with some benefit.
In his childhood when the children of his age were busy jumping to play, Warren Buffett was working on business for earning money the businesses, such as selling a newspaper, and different Selling stall with goods.
Warren Buffett started buying shares in the stock market at the age of 11 and bought the company’s stock, called the CityService, as the first deal at 38 DOLLAR, but the price of this stock is 27 dollars in a few days. Gone, but without fear, Warren Buffett worked patiently, and after a few days back when the stock’s price went up to 40, he sold that stock,
And the first lesson in relation to the investment benefits in the stock market is that –
Be patient with investing in the stock market (Keeping patience is a key in the stock market)
Warren Buffett’s Best InvestmentTips for Beginners
Warren Buffett’s Best InvestmentTips for Beginners
Warren Buffett’s education
Warren Buffett’s age was 17 years old in 1947, and he completed his studies of High School from Woodrow Wilson High School, Washington.
There was not much oddity to study in college, but on the father’s explanation, he took admission in Pennsylvania University, where he studied only two years, and later left from there saying that – the professor of that know less than them,
He later completed his graduation from Nebraska Lincoln University, and later applied to study at Harvard University, where Harvard resigned his application, looking at Warren Buffet’s young age,
Warren Buffett was most interested in the business and the stock market, and at that time Benjamin Graham’s ideas had such an impact on him that he got admission in Columbia Business School directly to receive education from them, from Benjamin Graham’s Columbia Business School MSc in Economics from there, was the only student to get A + grade from the class Degree, which changed his whole life.
Warren Buffett – LIFE CHANGING MOMENT
How coincidental it is that in the year 1929, 1 year before the birth of Warren Buffett, the American stock market had dropped very badly and had declined more than 80%, and was born after 1930.
But by the age of 21, Warren Buffet had completed his studies, and he was heavily influenced by the book written by Benjamin Graham, SECURITY ANALYSIS, and The Intelligent Investor, and today, such a wealthy wealth owner, Warren Buffett, wrote the book The Intelligent Investor Consider the best book written on the stock market investment.
Warren Buffett considers this book and the author of this book Benjamin Graham to come in contact with him to change his life,
Apart from this, when they were not doing anything more at the beginning of their career, another life-changing event was that Warren Buffett went to Dell Carnegie’s classes for public speaking and better communication, and it changed his life.
Warren Buffett’s Guru – Benjamin Graham
Benjamin Graham is the mentor of Warren Buffett, and as far as Benjamin Graham is concerned, Benjamin Graham was also a prominent figure in the 1920’s, and he specializes in finding stocks which are cheap, profitable and risk-free,
Benjamin Graham wrote a book at the age of 40 over the stock market – Security Analysis
And after that, his second book came around 1950 – The Intelligent Investor
In The Intelligent Investor, the book simply states “Principal of Intrinsic Value,” which means you should invest in the stock market, instead of looking at the stock price, it should be seen that what is the net worth of the company whose stock is, and the net According to what the stock should be, and what is the stock price in the market right now,
And if you find the intrinsic value of the stock more than the market price, then you should invest in that stock,
And if the intrinsic value of the stock is lower than the market price, then you should not invest in that stock.
Warren Buffett is very confident in this method’s Simple and Effective Set of Rules, and they invest in similar simple rules today,
Well, despite good information in Warren Buffet’s stock market, Benjamin Graham and his father had advised them to stay away from the stock market early and not work on the American stock market Wall Street,
After this, Warren Buffett was so impressed with his master Benjamin Graham that he offered to work with Graham for free, but Graham refused,
At the age of 22 when Warren Buffet completed his studies and when his father and guru advised staying away from the stock market, he was unable to do much, and in this, he started doing a job in Dad’s brokerage house,
Meanwhile, the relationship continued to grow between Warren Buffett and Suzie Thompson, and later in April 1952, both of them got married, and Warren Buffet had a daughter whose name was semolina.
Meanwhile, the financial condition of Warren Buffett was not as good, and he lived in a rented house for $ 65, and he had made his little daughter’s bed in Dreswer’s dresser to save money,
And Warren Buffett had been partnering in two small businesses – Texaco station and in some real estate, but he was not getting some special success, and this was the beginning of his career.
And in the meanwhile, he worked on his public speaking and communication skills, and then the life-changing incident took place, and Warren Buffet’s master Benjamin Graham offered to work with him, whose Warren Buffet had been waiting for a long time.
Warren Buffett and Benjamin Graham together
When Warren Buffet started working with his master Benjamin Graham, he got the job of analyzing America’s stock exchange and index S & P report, and in this way, he started looking for new opportunities for investment,
While working with Guru, there was a slight difference in the way investment between both Warren Buffett and Benjamin Graham,
Benjamin Graham, where he paid attention to the company’s balance sheet and income statement, and used to talk only about the number while investing in the company, and did not pay much attention to corporate leadership,
On the other hand, Warren Buffett valued company management for investing heavily and even paid attention to the fact that what is special about the company in which they invest, that the company will be able to get the company from its competitor Separates
Beginning of Buffett Associated, Ltd.
In the meanwhile, Warren Buffett worked in 1956 to make $ 1,800 of his savings by investing $ 1.4 million,
After this, with Buffett Associates, Ltd. with 7 of his relatives, Warren Buffett. , And initially collected a total of 1 Lac five thousand in the form of capital, and by the end of the year, their capital had reached $ 3 million,
Now Warren Buffett’s life changed, now he was becoming more successful day by day, and his investment started giving a great advantage, and he started becoming famous in his city for his stock investment,
A lot of people came to Warren Buffett to take tips to invest his investment and sought advice from him, but Warren Buffet believed the stock market to take and give tips for investment, and he never got any tips or advice like this. Granted,
By 1962, Warren Buffett’s company’s total capital reached $ 7.5 million, of which 1 million was Warren Buffett,
And in this way Warren Buffett partnerships in about 90 different American businesses, in which he felt invested,
And in whatever company they associate with all of the Partnership in one company Buffett Partnerships Ltd,
After this, his company made a lot of profits and in this way, Warren Buffett’s investment decisions gave a very good result, and until 1668, his company had reached a total of $ 104 million US dollars,
Their biggest investment in the meantime was – Berkshire Hathaway
Warren Buffett and Berkshire Hathaway
Warren Buffett now focuses his attention on Berkshire Hathaway, and this company bought his 49% share of his own, and became its director,
Although the company was passing through a very bad phase and was almost on the verge of drowning, and Warren Buffett quickly changed his management to the company’s management and created a new policy to run the company, and fully control his hands was taken in,
And with their understanding of business and investment decisions, their company started giving profits until 1970 and their value of investment reached $ 140 million,
Warren Buffet never sold the shares of this company and lived only with the salary from the company, his life was great, he was a life-long life and highly regarded person,
He also invested with his salary income, and shortly after that he made $ 3 million in that investment, but never sold his Berkshire Hathaway stock,
Warren Buffett’s business grew strong enough until 1983, and his NET WORTH grew year after year, and he made a lot of profits,
Although today, if we sit on account of their total success, they have earned the wealth of 85 billion rupees today at the rate of CAGR of just 21%.