Zweig on Buffett and Bitcoin

Author and columnist Jason Zweig says that successful investors–such as Warren Buffett and Charlie Munger–can set aside emotions, according to a recent CNBC article. At the recent Evidence-Based Investing conference in New York, Zweig mentioned Berkshire Hathaway’s Buffett and Munger as among the top tier, adding that they are “inversely emotional and are able to turn emotions inside out,” and “acutely sensitive to the fear inside other people” which they then take advantage of. With regard to investing in cryptocurrencies, Zweig advised, “Make sure you look first at an exit strategy before investing,” and said that investors should have a […]

For Hedge Funds, Being Like Buffett Isn’t Easy

While Warren Buffett’s track record is appealing to large private equity firms, his buy-and-hold strategy (averaging 10-20 years rather than the hedge fund industry norm of 3-5 years) can be hard for many to adopt, according to a recent Bloomberg article. “To play,” the article says, “they would need to give themselves lots of time—decades, in fact—and as near-to-permanent capital as they could muster. Ambitious buyout firms bet that by raising long-duration funds, they would finally have the patient capital to do those eye-watering megadeals they’d been coveting.” Some of the biggest hedge fund firms (such as Carlyle Group, Blackstone Group, […]

Buffett Speaks at Forbes’ Centennial on the Dow, Geico and U.S. Prospects

The Dow At the one hundred year anniversary of Forbes magazine, the billionaire CEO of Berkshire Hathaway predicted that the Dow Jones Industrial Average will breach 1 million in the next century, according to a recent article in The Wall Street Journal. That would require the index to grow by 3.9% annually (over the last 100 years, it has grown by 5.8% annually over the last 100 years). “The continued climb,” the article says, “is one reason Mr. Buffett cited for his optimism about America—a sentiment he has long imparted to his followers, particularly during turbulent times like the 2008 […]

Buffett Bets on Trucking

Last week, Berkshire Hathaway announced an agreement to purchase a 38.6% stake in Pilot Travel Centers LLC for an undisclosed amount, according to a Wall Street Journal article that calls it “Berkshire’s latest wager on traditional forms of transportation and U.S. economic growth.” According to the article, the Tennessee-based company, better known as Pilot Flying J., is the largest operator of truck stops in the U.S. as well as one of the country’s largest private companies. Through its 750 locations in the U.S. and Canada, the company reports it generates over $20 billion in annual revenue and employs 27,000 people. […]

A “Flywheel” Approach to Investing

By John Reese — Teacher and leadership coach Jim Collins has authored and co-authored six books that delve into the inner workings of corporations and what makes them succeed or fail. One of the many concepts he features in his books, articles and lectures is that of the flywheel: “No matter how dramatic the end result, good-to-great transformations never happen in one fell swoop. In building a great company or social sector enterprise, there is no single defining action, no grand program, no one killer innovation, no solitary lucky break, no miracle moment. Rather, the process resembles relentlessly pushing a […]