Warren Buffet – Investment Masterclass

Warren Buffet is a very wise man in investing, and is always willing to share his vast knowledge on the subject. Below I have gathered some of his most important pieces of wisdom.

Time is Key

Of course, this isn’t the first time you have heard me harping on about the importance of time when investing, but if you don’t believe me, listen to Warren Buffet. Mr. Buffet once said “Someone is sitting in the shade today because someone planted a tree a long time ago.” This makes absolute sense, right?

Of course, investing is like growing a tree. It will not grow overnight, just like your investment. It takes years of patience and care, rewarding you many years after you “plant the seed”. If you are not willing to invest for an absolute minimum of 5-7 years, do not even consider it. Of course, the longer the leave it the better, time in the market is the key factor to investing, not timing (as I am sure you may well be sick of hearing me say). Another great quote he produced was “no matter how great the talent or efforts, some things just take time. You can’t produce a baby in one month by getting nine women pregnant.” – Investments cannot be rushed.

Understand Risk and Understand Your Own Behaviour

Mr. Buffet once said “Risk comes from not knowing what you are doing.” He is a firm believer of taking your time and making careful, educated decisions when investing.

If you understand the risks you are taking and use diversification in your portfolio, you are doing something right. The biggest failure we see in investing, is uneducated people either buying in on the popular stock, crypto currency, etc., when it is at a high. They see how things have gone, get sucked in by the hype and end up buying in at a high price. On the flip side, if an investment loses value, an uneducated person may panic and sell up and buy in, when an educated individual would see this as an opportunity to buy in. Another of his quotes includes this sentiment as “I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.”

We should all listen to the wisdom of this man, who has amassed a fortune of over $100 billion over his lifetime.

If you understand all of the above sentiments, let us know if you would like to begin on your investment journey. We would be thrilled to assist you on your way to making your own fortune.