Things Warren Buffett said about Investing for Young People!
Now, you know who his man is.
You know the work, the legacy, and the wealth.
But you may not know about his simplicity.
He is one of the richest people on earth but he may be only one of few people, who are actually Honest.
He has been very open about his ways of Investing and how people of all generations can apply a few of those to make pretty good returns, consistently.
His path is rather simple but hard to follow.
And with today’s noise or rather fake noise, it gets more difficult to walk on the path of Buffett.
He has been giving this advice for a long period of time, and today I will try to cover a few of his wise words.
LeNow, you know who his man is.
You know the work, the legacy, and the wealth.
But you may not know about his simplicity.
He is one of the richest people on earth but he may be only one of few people, who are actually Honest.
He has been very open about his ways of Investing and how people of all generations can apply a few of those to make pretty good returns, consistently.
His path is rather simple but hard to follow.
And with today’s noise or rather fake noise, it gets more difficult to walk on the path of Buffett.
He has been giving this advice for a long period of time, and today I will try to cover a few of his wise words.
Let’s keep things simple, pal!
And learn a few of the most important. Shall we?
Here we go
Get on to things Early
This is not to say, that jump on every upcoming wave that you see today.
Not exactly.
The advice he is giving us is to get in early in terms of investing. These mainly consist of
A) Knowledge
B) A certain sum of money.
Now, when it comes to knowledge, Warren asks us to take in as much as we can.
We should never go blind into investing.
He himself reads for 5–6 hours a day. Still today, now imagine how much we need to.
So, wherever you're on the knowledge graph, know that it is never enough.
Get started and learn about how this works.
Second, is that you need some amount of money in order to start.
He himself earned and saved around $10,000 at the age of 21 (just imagine) and he says, that’s what kickstarted his career.
So, having a good chunk of money to start with is always better.
The general rule can be, that you need to save a little more. Save before you spend.
Budget things and try staying low.
The main reason is, that you need to be in a certain position where you are actually able to invest and use all the knowledge you have.
This is how you start.
Look, start making money, maintain a fund and meanwhile learn all you can in terms of investing.
So that when you have that money, you can do the rest of the part right and not waste it.
Simple but tough.
Find your sweet spot
Once you start with your process of investing.
Try and establish a sweet spot for you.
What does that mean?
Let me explain.
Warren has always been a true follower of the rule which says, you don’t invest in companies that you don’t understand.
Now, you don’t understand doesn’t mean you don’t understand their financial statements, because it is all the same. If you can read one, you can read the others too.
Rather, it says, that to only invest in companies whose workings are known by you. You need to be aware of everything possible thing about the business and also need to UNDERSTAND it!
It might also feel like if someones ask you to run that, you will be able to do it, hypothetically.
Learn about the business first and then invest.
Never go out of your comfort zone in terms of business evaluation.
The best way to maintain the rule is to find companies that you Like.
These are mostly companies, which are serving you with products or services that you actually like.
This can be by far the best way to maintain this rule.
Have a framework and a Mindset
Have the right mindset.
Have the right thought process and have faith in yourself, since you have to ignore a ton of advice, which will be thrown at you by the world.
Buffett has always been open to the fact that he doesn’t care about what Wall Street people say.
He has built his mindest in such a way that all matters to him are the Truth.
The truth comes from data and knowledge. Not from speculation.
Markets are always being manipulated and if you can’t hold on to your opinion, then you are going to lose money.
Your patience and your testament will be tested all the time.
It has always been like this and that’s why you need a strong strategy.
Stick to it. And ignore the noise.
Buffett said you don’t have to be a genius to win this game, but you need to have your framework in place.
You need to have your emotion under control.
Facts are your Friends. Remember!
Pal, there are a lot more than this and I am really excited to share it all. So, stay tuned. And if you wish to support my work then you can from here — BuyMeACoffeet’s keep things simple, pal!
And learn a few of the most important. Shall we?
Here we go
Get on to things Early
This is not to say, that jump on every upcoming wave that you see today.
Not exactly.
The advice he is giving us is to get in early in terms of investing. These mainly consist of
A) Knowledge
B) A certain sum of money.
Now, when it comes to knowledge, Warren asks us to take in as much as we can.
We should never go blind into investing.
He himself reads for 5–6 hours a day. Still today, now imagine how much we need to.
So, wherever you're on the knowledge graph, know that it is never enough.
Get started and learn about how this works.
Second, is that you need some amount of money in order to start.
He himself earned and saved around $10,000 at the age of 21 (just imagine) and he says, that’s what kickstarted his career.
So, having a good chunk of money to start with is always better.
The general rule can be, that you need to save a little more. Save before you spend.
Budget things and try staying low.
The main reason is, that you need to be in a certain position where you are actually able to invest and use all the knowledge you have.
This is how you start.
Look, start making money, maintain a fund and meanwhile learn all you can in terms of investing.
So that when you have that money, you can do the rest of the part right and not waste it.
Simple but tough.
Find your sweet spot
Once you start with your process of investing.
Try and establish a sweet spot for you.
What does that mean?
Let me explain.
Warren has always been a true follower of the rule which says, you don’t invest in companies that you don’t understand.
Now, you don’t understand doesn’t mean you don’t understand their financial statements, because it is all the same. If you can read one, you can read the others too.
Rather, it says, that to only invest in companies whose workings are known by you. You need to be aware of everything possible thing about the business and also need to UNDERSTAND it!
It might also feel like if someones ask you to run that, you will be able to do it, hypothetically.
Learn about the business first and then invest.
Never go out of your comfort zone in terms of business evaluation.
The best way to maintain the rule is to find companies that you Like.
These are mostly companies, which are serving you with products or services that you actually like.
This can be by far the best way to maintain this rule.
Have a framework and a Mindset
Have the right mindset.
Have the right thought process and have faith in yourself, since you have to ignore a ton of advice, which will be thrown at you by the world.
Buffett has always been open to the fact that he doesn’t care about what Wall Street people say.
He has built his mindest in such a way that all matters to him are the Truth.
The truth comes from data and knowledge. Not from speculation.
Markets are always being manipulated and if you can’t hold on to your opinion, then you are going to lose money.
Your patience and your testament will be tested all the time.
It has always been like this and that’s why you need a strong strategy.
Stick to it. And ignore the noise.
Buffett said you don’t have to be a genius to win this game, but you need to have your framework in place.
You need to have your emotion under control.
Facts are your Friends. Remember!
Pal, there are a lot more than this and I am really excited to share it all. So, stay tuned. And if you wish to support my work then you can from here — BuyMeACoffee