Biography of Warren Buffett In English

Biography of Warren Buffett In English hello everyone today’s video is about a man who despite being 89 years is not only young at heart but his style of doing business and investing

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    Biography of Warren Buffett

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    Video credit – Convey World


    is unparalleled ranked at number six in the Forbes list of the richest persons in the world Mr Warren Buffett proves to be one of the best inspirational figures of the investment world let us know his life story Warren Buffett was born in 1937 in the city of Omaha united states

    his father worked as a salesman in a stockbroking firm but sadly during 1929 great the depression he lost his job determined not to give up he started his own stockbroking firm where other children were enjoying their childhood

    playing messing around Warren Buffett loved playing around with numbers since childhood he had a keen interest in reading books he found pleasure in all of these things it would not be wrong to say that since early days he had a mind of a business person he was always up to something trying his hand on small business

    as if it was meant for him all along when he was around seven to eight years old he read a book a thousand ways to make thousand dollars one Among the thousand ways to impress Mr. Buffet was the pinball machine business.

    his mind started to imagine numbers he analyzed how much would a pinball machine cost how many pinball machines can he buy by the profit made from the first pinball machine

    he liked this idea and in partnership with a friend he bought a pinball machine and placed it in a barbershop the objective behind

    it was that people who would be in the waiting line instead of just sitting idly they could play the pinball machine the strategy worked he started to make a profit from

    his little venture he reinvested this profit into buying more pinball machines and placing them in barber shops all over the city he sold his profitable venture at twelve hundred dollars after some time

    he always had the skills required to be a good businessman at the tender age of seven to eight he started doing small business one after the other for example distributing newspapers selling coca-cola chewing gum magazines door-to-door he found satisfaction and joy in doing such small businesses although his family was financially stable and he wasn’t obliged to do this at the young age of 14,

    he bought his first land of 40 acres from the money that he had saved from all the businesses that he had done growing up by the time his college ended he had a fund of 9 800 dollars in his savings his father often used to call him fireball because of his nature of starting businesses at such an early age

    his father had tremendous confidence in him Mr Warren Buffett gained insightful guidance and wisdom from his father which is the reason why he gives the credit for his success to his father

    he applied for his post-graduation in Harvard University which got rejected while he was searching about different colleges and reading about the teachers he got to know that Mr benjamin graham

    Mr. David dog both of them teach at Columbia university Mr Warren Buffett had already read a book co-authored by them

    the name of the book was security analysis and he was highly inspired by this book to learn about investing from Mr. Graham and Mr dog he took admission at Columbia university this turned out to be a life-changing
    the decision which he realized at later stages of his life professor benjamin Graham was the inventor of value investing and is also known as

    the father of value investing after learning the same from professor graham Warren Buffett applied in graham’s company graham Newman corp which was rejected after two years professor graham offered a job to Warren Buffett in his partnership firm for two years Warren Buffett worked as a security analyst with graham Newman corporation he improved his value investing skill
    while working in the company in 1956 when benjamin graham retired he closed his partnership firm and as a result Warren Buffett returned to his hometown Omaha
    after having gained some experience

    he opened a partnership firm in his hometown partnership firms are known as hedge funds now the philosophy he learned while working
    with the professor

    the experience incurred both reaped high profit for him and with huge profits, he became a millionaire in a short span of time for your information value investing means buying stocks that are undervalued that is buying shares at a price lower than their intrinsic value is the real value of shares which are justified by

    the company’s assets earnings dividend earning power professor benjamin graham used to study the financial report of the company to derive

    the intrinsic value of the company it happens often that the share price of the company is trading below the intrinsic value which we call undervalued stock value
    investing is the technique of finding such companies and buying them with the same philosophy Warren Buffett first bought the shares of Berkshire Hathaway in 1962.

    the journey of Berkshire Hathaway and Mr Warren Buffett is an interesting one during 1962
    Berkshire Hathaway was a company that was involved in

    the textile business and it was performing badly the company was selling its textile mills one after another and with the money coming in the company started buying back

    the shares from shareholders to the logic with which Mr. Warren Buffett bought
    shares were that, the management was planning to wind up the business by buying back

    the shares so when the company will sell more of its textile mills and use that money to buy back shares then.

    Mr buffet will get a good rate for selling his shares by 1964 he had bought a good number of shares of Berkshire Hathway when the company sold more of its existing mills and with the money started buying back

    the shares they negotiated with Mr Warren Buffett
    about the price at which he was willing to sell the shares a deal was struck and the price
    was decided at 11.50 per share but when he received the official letter from Berkshire hathaway the price mentioned in it was 11.375
    dollars instead of 11.50 well this mismanagement and fraud conducted by Berkshire
    Hathaway disappointed Warren Buffett on all levels he rejected the offer immediately following

    this incident he started to buy more shares of Berkshire Hathaway and continued until he had complete
    control over the firm once he had controlled the first thing he
    did was fire the management that tried to con
    him in

    the first place on this incident he has once quoted the
    greatest enemies of the equity investor are expenses and emotions
    and he believes that he took an emotional decision during
    this investment

    thus regards it as his mistake but he acted on the mistake and turned it into a successful business later, 1996 he closed his partnership business and took over as the chairman of Berkshire Hathaway after he took over as

    the head of the firm he turned it into a holding firm as its textile business wasn’t up to the mark for those who don’t know holding company is a firm that invests in other
    companies similarly Warren Buffett started to invest in various firms like coca-cola
    Washington post-Geico etc through Berkshire Hathaway later he also entered

    discuss Warren Buffett first investment

    the insurance sector by buying some companies working in the same sector let us discuss warren buffet’s first investment

    the lesson he learned from it was he made his first investment at the very young age of 11 years still believes that he was wasting his life till he was 11 years old the first investment made him was in a firm named city service where he bought shares for himself and

    his sister at a price of 38 dollars initially the stock price of the city service went down to 29 but it gained momentum and soon

    the share price touched the figure of 40. at this price, he sold the city service shares he owned but after he sold off those

    shares the price shot to 200 from this incident Warren Buffett learned to be patient with his investments and to give time for things to work hence his focus mainly lies in investing for

    In the long term for instance he started to buy the shares of Washington post in 1973 and went on to incur a return of more then 9000 on it although after years of being invested in it he sold all

    the 28 percent shares of Washington post in 2014. in his view buying stocks of any firm is like buying that business as a result he invests in the businesses

    which he understands so as to carry out a deep analysis of the company similarly he had invested in coca-cola back in the year 1988.

    he himself is a big fan of the soft drink and loves to consume it on a daily basis if we talk about the investment strategy of Mr warren’s buffet,

    it is a culmination of the strategies propagated by Mr benjamin graham and Philip fisher he says he’s 85 benjamin graham and 15 percent Philip fisher benjamin graham’s strategy says that buy a stock when it’s available at less value or is undervalued whereas Philip fisher’s philosophy states.

    that one should invest in the quality business in fact, he believes that a quote was given by benjamin graham in his book, intelligent investor are the most important word inked on investment
    the quote goes like this investing is most intelligent when it is most business-like if you look at the portfolio of Mr buffet then you will notice that he invested the
    most during the times of recession or when a firm was facing one-time
    problems because during

    that time he could buy the share at low value two rules that Warren Buffett sticks to
    are never lose money and the second one never forgets

    rule number one apart from benjamin graham and Philip
    fisher he follows respects and gives huge credit for his success to Mr
    charlie Munger who also happens to be his business partner

    one of the greatest things that one can learn from him is his reading habit he spends a good, amount of time on a daily basis reading yes dear friends reading and learning is of utmost, importance if you wish to have success in the investment world despite featuring in the list of the richest persons of the world and having a fortune he’s still a down to earth person,

    he still lives in the house he bought back in 1958 and drives his car by himself since 2000 he has donated around 46 billion dollars towards

    the charity you all must be wondering even at the age of 89 why does he need to learn the well business as well as investing are his passion

    he does not do it merely fulfilling his needs but he enjoys it you would be surprised to know that about 90 percent of the wealth he owns is earned by him after he turned 50 years old that is the best example that goes with

    the saying that age is just a number if you all learn something noteworthy from this life story of mr Warren Buffett then does she

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