Warren Buffett Quotes


The Happiest people DO NOT necessarily have the BEST THINGS. They simply APPRECIATE the things they have.

So if you are evaluating others (or yourself!) in the investment field think out some standards - apply them - interpret them.

Market price while used exclusively to value our investments in minority positions is not a relevant factor when applied to our controlling interests.

I don't know that I could draw one that's perfect. But I'd rather by approximately right than precisely wrong and it would be precisely wrong to turn it down.

If we have a strength it is in recognizing when we are operating well within our circle of competence and when we are approaching the perimeter.

Our approach is very much profiting from lack of change rather than from change

When Berkshire buys common stock we approach the transaction as if we were buying into a private business.

We have usually made our best purchases when apprehensions about some macro event were at a peak. Fear is the foe of the faddist but the friend of the fundamentalist.

Money will always flow toward opportunity and there is an abundance of that in America.

I could end the deficit in 5 minutes. You just pass a law that says that anytime there is a deficit of more than 3% of GDP all sitting members of congress are ineligible for reelection.

The thing to do is to keep your mind when the world around you is losing theirs.

I really like my life. I've arranged my life so that I can do what I want.

The most important thing in terms of your circle of competence is not how large the area of it is but how well you've defined the perimeter.

Truly conservative actions arise from intelligent hypotheses correct facts and sound reasoning.

I'll bring my tax returns; you bring yours. I'll meet you anytime anywhere.

There is no staff. I make all the investment decisions and I do all my own analysis.

Never lie under any circumstances.

Anything can happen in stock markets and you ought to conduct your affairs so that if the most extraordinary events happen that you're still around to play the next day.

I read annual reports of the company I'm looking at and I read the annual reports of the competitors - that is the main source of material.

You have to turn over a lot of rocks to find those little anomalies. You have to find the companies that are off the map - way off the map.

Other guys read Playboy. I read annual reports.

Read Ben Graham and Phil Fisher read annual reports but don't do equations with Greek letters in them.

When asked how he became so successful in investing Buffett answered: 'we read hundreds and hundreds of annual reports every year.

When I take a look at a company's annual report if I don't understand it they don't want me to understand it.

Unless your answers are clearly better copy the answers of your betters.

If horses had controlled investment decisions there would have been no auto industry.

Much success can be attributed to inactivity. Most investors cannot resist the temptation to constantly buy and sell.

We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.

Anyone who believes a growth rate in excess of 15% per annum over the long term is attainable should pursue a career in sales but avoid one in mathematics.

There is no question we have an access stock.

Don't pass up something that's attractive today because you think you will find something way more attractive tomorrow.

Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good results.

We've seen what about 50% of our human capacity can accomplish. Visualize what 100% can do.

If you look at the Forbes 400 they are paying a lower rate accounting payroll taxes than their secretary or - whomever around their office.

Accounting is the language of business.

The reaction of weak management to weak operations is often weak accounting.

To be successful you should concentrate on the world of companies not arcane accounting mathematics.

In the long run managements stressing accounting appearance over economic substance usually achieve little of either.

Managers and investors alike must understand that accounting numbers are the beginning not the end of business valuation.

If you get to my age in life and nobody thinks well of you I don't care how big your bank account is your life is a disaster.

The 19th century belonged to England the 20th century belonged to the U.S. and the 21st century belongs to China. Invest accordingly.

An investor needs to do very few things right as long as he or she avoids big mistakes.

Outstanding long-term results are produced primarily by avoiding dumb decisions rather than by making brilliant ones.

Do not take yearly results too seriously. Instead focus on four or five-year averages.

The most important investment you can make is in yourself... nobody can tax it or take it away from you.

All day you wait for the pitch you like; then when the fielders are asleep you step up and hit it.

Take the high road; it's far less crowded.

We enjoy the process far more than the proceeds.

Never ask a barber if you need a haircut.

Asking for financial advice from a financial planner is like asking a barber if you need a hair cut.

You don't ever ask a barber whether you need a haircut.

In economics you always want to ask 'And then what?'

Valuing a business is part art and part science.

Market prices for stocks fluctuate at great amplitudes around intrinsic value but over the long term intrinsic value is virtually always reflected at some point in market price.

Like most trends at the beginning it's driven by fundamentals at some point speculation takes over. What the wise man does in the beginning the fool does in the end.

Managers that always promise to 'make the numbers' will at some point be tempted to make up the numbers.

The true investor welcomes volatility ... a wildly fluctuating market means that irrationally low prices will periodically be attached to solid businesses.

It's just that right now the athlete's on the floor. But we - this is a super athlete.

Today people who hold cash equivalents feel comfortable. They shouldn't. They have opted for a terrible long-term asset one that pays virtually nothing and is certain to depreciate in value.

Invest in as much of yourself as you can you are your own biggest asset by far.

The best asset is your own self. You can become to an enormous degree the person you want to be

Too often a vast collection of possessions ends up possessing its owner. The asset I most value aside from health is interesting diverse and long-standing friends.

Why not invest your assets in the companies you really like? As Mae West said 'Too much of a good thing can be wonderful'.

I knew a lot about what I did when I was 20. I had read a lot and I aspired to learn everything I could about the subject.

Resolution Trust Company was set up to liquidate a bunch of assets that the government had inherited because the savings and loans went broke.

We do not view the company itself as the ultimate owner of our business assets but instead view the company as a conduit through which our shareholders own assets.

You have hedge funds and people like that buying these assets to yield 15 or 20 percent I mean that's the buyer for these people that are trying to unload them.

A home is one of the most important assets that most people will ever buy. Homes are also where memories are made and you want to work with someone you can trust.

I never attempt to make money on the stock market. I buy on the assumption that they could close the market the next day and not reopen it for five years.

It's better to hang out with people better than you. Pick out associates whose behavior is better than yours and you'll drift in that direction.

While the poor and middle class fight for us in Afghanistan and while most Americans struggle to make ends meet we mega-rich continue to get our extraordinary tax breaks.

The market system rewards me outlandishly for what I do but that doesn't mean I'm any more deserving of a good life than a teacher or a doctor or someone who fights in Afghanistan.

The dominant factors affecting control valuations are earning power (past and prospective) and asset values.

Whether we're talking about socks or stocks I like buying quality merchandise when it is marked down.

The less prudence with which others conduct their affairs the greater the prudence with which we should conduct our own affairs.

If you are a professional and have confidence then I would advocate lots of concentration.

You are lucky in life if you have the right heroes. I advise all of you to the extent you can to pick out a few heroes

We can afford to lose money - even a lot of money. But we can't afford to lose reputation - even a shred of reputation.

Wall Street is the only place that people ride to in a Rolls Royce to get advice from those who take the subway.

The advice "you never go broke taking a profit" is foolish.

Larger sums may be an advantage at some cases and a disadvantage at others.

The ability to say no is a tremendous advantage for an investor.

Someone is sitting in the shade today because someone planted a tree a long time ago.

Taking jobs to build up your resume is the same as saving up sex for old age.

I made my first investment at age eleven. I was wasting my life up until then.

I tell college students when you get to be my age you will be successful if the people who you hope to have love you do love you.

You've gotta keep control of your time and you can't unless you say no. You can't let people set your agenda in life.

Long ago Ben Graham taught me that

Wild swings in share prices have more to do with the "lemming- like" behaviour of institutional investors than with the aggregate returns of the company they own.

It's never paid to bet against America.

We would do best in a market where everyone acted foolishly.

Investing is not as tough as being a top-notch bridge player. All it takes is the ability to see things as they really are.

An investor will succeed by coupling good business judgment with an ability to insulate his thoughts and behavior from the super-contagious emotions that swirl about the marketplace.

We believe that according the name 'investors' to institutions that trade actively is like calling someone who repeatedly engages in one-night stands a 'romantic.'

We continue to make more money when snoring than when active.

The Stock Market is designed to transfer money from the Active to the Patient.

I do know that when I am 60 I should be attempting to achieve different personal goals than those which had priority at age 20.

Focus alone is not enough; putting in the time to commit is also crucial to achieve success.

Of the billionaires I have known money just brings out the basic traits in them. If they were jerks before they had money they are simply jerks with a billion dollars.

Activity is the enemy of investment returns.

Wall Street makes its money on activity. You make your money on inactivity.

In my view [the trade deficit] will create political turmoil at some point...Pretty soon I think there will be a big adjustment.

You do not adequately protect yourself by being half awake when other are sleeping.

There are certain things that cannot be adequately explained to a virgin either by words or pictures.

Observing that the market was FREQUENTLY efficient EMT Adherents went on to conclude incorrectly that it was ALWAYS efficient. The difference between these propositions is night and day.

People always ask me where they should go to work and I always tell them to go to work for whom they admire the most.

Do what you love and work for whom you admire the most and you've given yourself the best chance in life you can

Enjoy your work and work for whom you admire.

I learned to go into business only with people whom I like trust and admire.

I'll tell you why I like the cigarette business. It cost a penny to make. Sell it for a dollar. It's addictive. And there's a fantastic brand loyalty.

I want to be able to explain my mistakes. This means I do only the things I completely understand.

You shouldn't own common stocks if a 50 per cent decrease in their value in a short period of time would cause you acute distress.

We need a tax system that essentially takes very good care of the people who just really aren't as well adapted to the market system but are nevertheless doing useful things in the society.

Beware [of] the investment activity that produces applause; the great moves are usually greeted by yawns.

We don't get paid for activity just for being right. As to how long we'll wait we'll wait indefinitely.

Always associate yourself with people who are better than you.

I am a huge bull on this country. We will not have a double-dip recession at all. I see our businesses coming back almost across the board.

I mean in terms of alternatives some people have suggested for example that why don't we - why isn't America doing what Berkshire Hathaway is doing? Why isn't that a better deal for America?

The fundamental basis of above-average performance in the long run is sustainable competitive advantage.

Very successful people say no to almost everything.

You don't want 300 million Americans putting their money under the mattress.

Every company that has an economist working for him has one employee too many.

Interest rates are to asset prices what gravity is to the apple. When there are low interest rates there is a very low gravitational pull on asset prices.

We've been in a recession by any common sense definition because if you look at the American public they've got 20 billion - 20 trillion I should say worth of residential homes.

Continually challenge and be willing to amend your best loved ideas.

Trust is like the air we breathe--when it's present nobody really notices; when it's absent everybody notices.

Buy a cross section of American industry and if a cross section of American industry doesn't work certainly trying to pick the little beauties here and there isn't going to work either.

The patient that's on the floor with the cardiac arrest is not Wall Street. It's the American economy.

The American worker is more productive than he's ever been.

Risk is a part of God's game alike for men and nations.

As of 1992 in fact-though the picture would have improved since then-the money that had been made since the dawn of aviation by all of this country's airline companies was zero. Absolutely zero.

Occasionally a man must rise above principles.

Do not put all your eggs in one basket.

Good big decisions do not take time at all if they do you are in trouble.

That which is not worth doing at all is not worth doing well.

Well it may be all right in practice but it will never work in theory

I lose confidence in other people all kinds of institutions.

There is seldom just one cockroach in the kitchen. You know you turn on the light and all of sudden they all start scurrying around.

We've had public companies in the past in that business and they bleed. We've got a lot more blood than they do.

How do you beat Bobby Fischer? You play him at any game but chess. I try to stay in games where I have an edge.

I view derivatives as time bombs both for the parties that deal in them and the economic system.

Let blockheads read what blockheads wrote.

People should always know better.

It's never paid to bet against America. We come through things but its not always a smooth ride.

If I got a chance to take one percent of the deal either way I would make that bet.

The truth is everything that has happened in my life... that I thought was a crushing event at the time has turned out for the better.

I have a wonderful family. I have a job that I love and wonderful people who help me with it. It can't get any better than that.

Personally I really hope I can treat everyone equally. I think I have done a pretty good job so far but I know I can do it better.

It's better to build than to buy if you can find the right people.

I don't think you can have a better secretary of the Treasury than Hank Paulson.

If you can eliminate the government as a 39.6% partner then you will be much better off.

The smarter the journalists are the better off society is. For to a degree people read the press to inform themselves - and the better the teacher the better the student body.

The smarter the journalists are the better off society is.

... the best way to own common stocks is through an index fund.

The best thing that happens to us is when a great company gets into temporary trouble...We want to buy them when they're on the operating table.

The best education you can get is investing in yourself and that doesn't mean college or university.

The best business returns are usually achieved by companies that are doing something quite similar today to what they were doing five or ten years ago.

I measure success by how many people love me. And the best way to be loved is to be lo veable.

The best investment you can make is in yourself

The best investment you can make is an investment in yourself...The more you learn the more you'll earn.

I think any time you couple the term "Wall Street" with "bailout" or something like that you know - I don't like what's going on in Wall Street.

The important thing is to keep playing to play against weak opponents and to play for big stakes.

Everybody's got a different circle of competence. The important thing is not how big the circle is. The important thing is staying inside the circle.

It's a big mistake to try and mislead people. They will turn around.

I think the biggest thing we need is to unclog the credit markets and we may need another stimulus - if we do it's - it should go to the lower and middle-income people.

Unfortunately the hangover may prove to be proportional to the binge.

When bills come due only cash is legal tender. Don't leave home without it.

If you gave me $100 billion and said take away the soft drink leadership of Coca-Cola in the world I'd give it back to you and say it can't be done.

If knowing history made you rich librarians would be billionaires.

My friends and I have been coddled long enough by a billionaire-friendly Congress.

Of our 49 billion we haven't moved any to Bitcoin

The smartest side to take in a bidding war is the losing side.

The Noah rule: Predicting rain doesn't count; building arks does.

Predicting rain doesn't count. Building arks does.

It takes 20 years to build a reputation and five minutes to ruin it. If you think about that you'll do things differently.

The same things happen to quite an extent around the globe. I mean the European banks were doing what the American banks were.

When it's raining gold reach for a bucket not a thimble.

Opportunities come infrequently. When it rains gold put out the bucket not the thimble

Bull markets and Bear markets can obscure mathematical laws they cannot repeal them.

A bull market is like sex. It feels best just before it ends.

Diversification may preserve wealth but concentration builds wealth.

Read 500 pages every day. That's how knowledge works. It builds up like compound interest.

A pin lies in wait for every bubble and when the two eventually meet a new wave of investors learns some very old lessons.

People went crazy with tulip bulbs. They went crazy with the South Sea Bubble they went crazy internet stocks they went crazy with the uranium stocks back when I was first getting started.

I would say the biggest single cause was we had an incredible residential real estate bubble.

With enough insider information and a million dollars you can go broke in a year.

Banking is very good business if you don't do anything dumb.

Chains of habit are too light to be felt until they are too heavy to be broken.

When the brothel burns down even the pretty girls have to run out.

I think confidence will come back.

Never be afraid to ask for too much when selling or offer too little when buying.

It is to our advantage to have securities do nothing price-wise for months or perhaps years while we are buying them.

We say we are trying to buy into businesses with excellent economics run by honest and able people at a decent price. We buy very few securities so we look at it as "focused" investing.

Buy into a company because you want to own it not because you want the stock to go up.

Optimism.. is the enemy of the rational buyer

Uncertainty is the friend of the buyer of long term values.

The future is never clear; you pay a very high price in the stock market for a cheery consensus. Uncertainty actually is the friend of the buyer of long-term values.

Buy a business don't rent stocks.

Buy stocks like you buy your groceries not like you buy your perfume.

Only buy something that you'd be perfectly happy to hold if the market shut down for 10 years.

You can't buy what is popular and do well.

I buy expensive suits. They just look cheap on me.

It irritates the hell out of me but you can't buy love.

It's a lot easier to buy things than it is to sell them.

If you buy things you do not need soon you will have to sell things you need.

I think the worst mistake you can make in stocks is to buy or sell based on current headlines

First many in Wall Street - a community in which quality control is not prized - will sell investors anything they will buy.

I like to go for cinches. I like to shoot fish in a barrel. But I like to do it after the water has run out.

The critical investment factor is determining the intrinsic value of a business and paying a fair or bargain price.

Our goal is to find an outstanding business at a sensible price not a mediocre business at a bargain price.

I think the rest of the country should be paying less the 95 percent that [Barack] Obama talks about or maybe even a little higher than that.

Cash never makes us happy but it's better to have the money burning a hole in Berkshire's pocket than resting comfortably in someone else's.

The (stock) market is there only as a reference point to see if anybody is offering to do anything foolish. When we invest in stocks we invest in businesses.

I am a better investor because I am a businessman and a better businessman because I am no investor.

Whatever you like to do make it a hobby and whatever the world likes to do make it a business.

Things you like to do should be a hobby of yours but things the world does should be a business of yours.

We like to buy businesses but we don't like to sell them.

Don't invest in pieces of papers (stocks) invest in great businesses underlying them

We look for things I can understand. A lot of businesses I don't understand.

What we really want to do is buy businesses that we would be happy to own forever.

Investment philosophy is the clear understanding that by owning shares of stocks he owns businesses not pieces of paper.

I try to buy stock in businesses that are so wonderful that an idiot can run them. Because sooner or later one will.

As an investor with small capital one should prefer businesses that have high returns on capital and that require little incremental investment to grow.

We try to buy businesses with good-to-superb underlying economics run by honest and able people and buy them at sensible prices. That's all I'm trying to do.

Investment students need only two well-taught courses - How to Value a Business and How to Think About Market Prices

In the business world the rearview mirror is always clearer than the windshield.

A great investment opportunity occurs when a marvelous business encounters a one-time huge but solvable problem.

Shares are not mere pieces of paper. They represent part ownership of a business. So when contemplating an investment think like a prospective owner.

In the world of business the people who are most successful are those who are doing what they love.

Intrinsic value can be defined simply: It is the discounted value of the cash that can be taken out of a business during its remaining life.

The value of a business is the cash it's going to produce in the future.

If you understood a business perfectly and the future of the business you need very little in the way of a margin of safety.

Look for 3 things in a person. Intelligence Energy & Integrity. If they don't have the last one don't even bother with the first two.

I have three boxes on my desk: In Out and Too Hard.

Fund consultants like to require style boxes such as "long-short " "macro " "international equities." At Berkshire our only style box is "smart.

Never test the depth of river with both the feet.

If book knowledge made great investors than the librarians would all be rich.

The U.S. Treasury has got borrowing costs like nobody else has.

When you build a bridge you insist that it can carry 30 000 pounds but you only drive 10 000-pound trucks across it. And that same principle works in investing.

What could be more advantageous in an intellectual contest - whether it be chess bridge or stock selection - than to have opponents who have been taught that thinking is a waste of energy?

In an inflationary world a toll bridge (like company) would be a great thing to own because you've laid out the capital costs. You built it in old dollars and you don't have to keep replacing it.

I wouldn't mind going to jail if I had three cellmates who played bridge

We have embraced the 21st century by entering such cutting-edge industries as brick carpet insulation and paint. Try to control your excitement.

The active investors will have their returns diminished by a far greater percentage than will their inactive brethren. That means that the passive group - the "know-nothings" - must win.

It takes 150 years to build an investment bank and only five minutes to convince you to sell me preferred stock in it at a 10% interest rate.

Possessing a powerful worldwide brand is essential for sustained success.

Your premium brand had better be delivering something special or it's not going to get the business.

What motivates most gold purchasers is their belief that the ranks of the fearful will grow ... As 'bandwagon' investors join any party they create their own truth - for a while.

You know with your money and my brains I mean there's no telling how far we'd go.

Charlie [Munger] and I are not big fans of resumes. Instead we focus on brains passion and integrity.

Americans are in a cycle of fear which leads to people not wanting to spend and not wanting to make investments and that leads to more fear. We'll break out of it. It takes time.

The only time to buy these is on a day with no 'y' in it.

The stock market is a wonderfully efficient mechanism for transferring wealth from the impatient to the patient.

An investor should ordinarily hold a small piece of an outstanding business with the same tenacity that an owner would exhibit if he owned all of that business.

Investors making purchases in an overheated market need to recognize that it may often take an extended period for the value of even an outstanding company to catch up with the price they paid.

Never give up searching for the job that you're passionate about.

When we own portions of outstanding businesses with outstanding managements our favorite holding period is forever.

Focus on return on equity not earnings per share.

Making money isn't the backbone of our guiding purpose; it is the by-product of our guiding purpose.

We set no volume goals in our insurance business generally-and certainly not in reinsurance-as virtually any volume can be achieved if profitability standards are ignored.

Money will not change how healthy you are or how many people love you.

Knowing what to leave out is just as important as knowing what to focus on.

You can't produce a baby in one month by getting nine women pregnant.

Beware of geeks bearing formulas.

We've got more productive capacity now than we ever have.

Should you find yourself in a chronically leaking boat energy devoted to changing vessels is likely to be more productive than energy devoted to patching leaks.

You can lose leverage and it's the only way a smart guy can go broke.

My father was the best person i've ever known.

In investing just as in baseball to put runs on the scoreboard one must watch the playing field not the scoreboard.

I don't look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.

The most dangerous distractions are the ones you love but that don't love you back.

Basically the single-most important decision in evaluating a business is pricing power.

Basically when you get to my age you'll really measure your success in life by how many of the people you want to have love you actually do love you.

People always should know better. People don't get - they don't get smarter about things that get as basic as greed.

Investing is laying out money now to get more money back in the future.

It is not necessary to do extraordinary things to get extraordinary results.

It's almost impossible to overpay the truly extraordinary CEO... but the species is rare.

Equities will do well over time - you just have to avoid getting excited when other people are getting excited.

The extraordinary business does not require good management.

If you want to soar like an eagle in life you can't be flocking with the turkeys.

Be brave when others are afraid and afraid when others are brave.

I insist on a lot of time being spent almost every day to just sit and think. That is very uncommon in American business.

The most important quality for an investor is temperament not intellect. You need a temperament that neither derives great pleasure from being with the crowd or against the crowd.

What the human being is best at doing is interpreting all new information so that their prior conclusions remain intact.

Gold has two significant shortcomings being neither of much use nor procreative.

We don't get paid for being busy we get paid for being right.

Working with people who cause your stomach to churn seems much like marrying for money - probably a bad idea under any circumstances but absolute madness if you are already rich.

When people talk about cash being king it's not king if it just sits there and never does anything.

Failing conventionally is the route to go; as a group lemmings may have a rotten image but no individual lemming has ever received bad press

Benign neglect bordering on sloth remains the hallmark of our investment process.

A lot of people disagree with me on this I believe in mark to market.

We also believe candour benefits us as managers. The CEO who misleads often in public eventually misleads himself in private.

A single year's performance is of minor importance and good or bad should never be taken seriously.

Investing in a market where people believe in efficiency is like playing bridge with someone who has been told it doesn't do any good to look at the cards.

When a management with a reputation for brilliance tackles a business with a reputation for bad economics it is the reputation of the business that remains intact.

When a management team with a reputation for brilliance tackles a business with a reputation for bad economics it is the reputation of the business that remains intact

When a management with reputation for brilliance gets hooked up with a business with a reputation for bad economics it's the reputation of the business that remains intact.

You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beats the guy with 130 IQ.

Bad terminology is the enemy of good thinking.

You can't make a good deal with a bad person.

Good profits simply are not inconsistent with good behavior.

A CEO's behavior has a huge impact on managers down the line.

Only when you combine sound intellect with emotional discipline do you get rational behavior.

Inactivity strikes us as intelligent behavior.

The big question about how people behave is whether they've got an Inner Scorecard or an Outer Scorecard. It helps if you can be satisfied with an Inner Scorecard.

What the wise do in the beginning fools do in the end.

Consciously paying more for a stock than its calculated value - in the hope that it can soon be sold for a still-higher price - should be labelled speculation

In our view derivatives are financial weapons of mass destruction carrying dangers that while latent are potentially lethal.

In the great majority of cases we simply do not know enough about the industry or company to come to sensible judgments-in that situation we pass.

Cash combined with courage in a time of crisis is priceless.

You're dealing with a lot of silly people in the marketplace; it's like a great big casino and everyone else is boozing. If you can stick with Pepsi you should be O.K.

In business I look for economic castles protected by unbreachable 'moats'.

You should invest like a Catholic marries: for life.

It's the deleveraging that's going on right now that has caused the credit crisis.

Paradoxically when 'dumb' money acknowledges its limitations it ceases to be dumb.

I'd rather have a $10 million business making 15 per cent than a $100 million business making 5 per cent.

If you're in the luckiest one per cent of humanity you owe it to the rest of humanity to think about the other 99 per cent.

With each investment you make you should have the courage and the conviction to place at least ten per cent of your net worth in that stock

Too often executive compensation in the U.S. is ridiculously out of line with performance. That won't change moreover because the deck is stacked against investors when it comes to the CEO's pay.

I put heavy weight on certainty. It's not risky to buy securities at a fraction of what they're worth.

They say the chains of habit are too light to be felt until they are too heavy to be broken. The chains you put around yourself now have enormous consequences as you go through life.

There seems to be some perverse human characteristic that likes to make easy things difficult.

If I eat 2 700 calories a day a quarter of that is Coca-Cola

He must never forget Charlie's plea: Tell me where I'm going to die so I'll never go there.

Charlie and I have a number of filters that things have to get through before we'll think about them.

Honesty is a very expensive gift Don't expect it from cheap people.

If you expect to continue to purchase stocks throughout your life you should welcome price declines as a way to add stocks more cheaply to your portfolio.

Writing a check separates a commitment from a conversation.

I checked the actuarial tables and the lowest death rate is among six-year-olds. So I decided to eat like a six-year-old.

I did not think I would see the day when you know an AIG would not be able to have its checks clear.

Take Wrigley's Chewing Gum. I don't think the Internet is going to change how people chew gum.

The typical large company has a compensation committee They don't look for Dobermans on that committee they look for chihuahuas.

I'm putting all my money in the Chinese toy market.

The best thing I did was choose the right heroes.

The best thing I did was to choose the right heroes.

An IPO is like a negotiated transaction - the seller chooses when to come public - and it's unlikely to be a time that's favourable to you.

Having first rate people on the team is more important than designing hierarchies and clarifying who reports to whom.

It's class warfare; my class is winning but they shouldn't be.

If principles can become dated they're not principles.

There's class warfare all right but it's my class the rich class that's making war and we're winning.

In a difficult business no sooner is one problem solved than another surfaces - never is there just one cockroach in the kitchen.

Problems in a company are like cockroaches in the kitchen. You will never find just one

Money to some extent sometimes let you be in more interesting environments. But it can't change how many people love you or how healthy you are.

Too often a vast collection of possessions ends up possessing its owner.

Never invest in a business you can't understand

Investment must be rational; if you can't understand it don't do it.

We make investment decisions based on our evaluation of the most profitable combination of probabilities.

My wealth has come from a combination of living in America some lucky genes and compound interest.

When you combine ignorance and leverage you get some pretty interesting results.

it's a good idea to review past mistakes before committing new ones.

In a commodity business it's very hard to be smarter than your dumbest competitor.

Stocks of companies selling commodity-like products should come with a warning label: "Competition may prove hazardous to human wealth".

I can't promise results but I can promise a common destiny.

If you can't communicate and talk to other people and get across your ideas you're giving up your potential.

Is management candid with the shareholders?

A newspaper that reduces its coverage of the news important to its community is certain to reduce its readership as well

Look for companies with high profit margins.

Buy companies with strong histories of profitability and with a dominant business franchise.

I always invest in companies an idiot could run because one day one will.

I prefer liquor store robbers with hungry kids to companies that locate offshore to avoid U.S. taxes.

A Company should be viewed as an unfolding movie not as a still photograph

Time is the friend of the wonderful company the enemy of the mediocre.

A pack of lemmings looks like a group of rugged individualists compared with Wall Street when it gets a concept in its teeth.

I don't like what's going on with the executive compensation.

Knowing the edge of your competency is important. If you think you know more than you do you will get in trouble.

Investment decision should be made on the basis of the most probable compounding of after-tax net worth with minimum risk.

The ideal business is one that earns very high returns on capital and that keeps using lots of capital at those high returns. That becomes a compounding machine.

Either they're trying to con you or they're trying to con themselves.

John Maynard Keynes essentially said don't try and figure out what the market is doing. Figure out a business you understand and concentrate.

Risk can be greatly reduced by concentrating on only a few holdings.

As far as you are concerned the stock market does not exist. Ignore it.

I know that Congress will do the right thing.

You pay a very high price in the stock market for a cheery consensus.

Inflation could be a very - is a likely consequence out of what's going on now.

What's going to happen - things we're doing are going to have some inflationary consequences.

If when making a stock investment you're not considering holding it at least ten years don't waste more than ten minutes considering it.

Does the business have a consistent operating history?

Investing is forgoing consumption now in order to have the ability to consume more at a later date.

It's not debt per say that overwhelms an individual corporation or country. Rather it is a continuous increase in debt in relation to income that causes trouble.

It is impossible to unsign a contract so do all your thinking before you sign.

If I got any good ideas out of that or I think they're good ideas I'll be glad to contribute them but the system will probably overdo some other things.

If you cannot control your emotions you cannot control your money.

We will prosper or suffer in controlled investments in relation to the operating performances of our businesses - we will not attempt to profit by playing various games in the securities markets.

Time is your friend impulse is your enemy. Take advantage of compound interest and don't be captivated by the siren song of the market.

Lethargy bordering on sloth should remain the cornerstone of an investment style.

We've got a wonderful economic formula in this country.

Calculate "owner earnings" to get a true reflection of value.

It's easier to create money than to spend it.

If you're in a card game and you can't figure out who the patsy is you're it.

An investor should act as though he had a lifetime decision card with just twenty punches on it.

The stockmarket is a semi-psychotic creature given to extremes of elation and despair.

Credit worthiness is like virginity it can be preserved but not restored very easily so it is crazy to play around with it.

This economy doesn't work well without the lubrication of credit and trust.

You have no ability if you're a financial institution and you're threatened with criminal prosecution you have no ability to negotiate.

You are neither right nor wrong because the crowd disagrees with you.

A contrarian approach is just as foolish as a follow-the-crowd strategy. What's required is thinking rather than polling.

Cultivate curiosity and strive to become a little wiser every day.

An ounce of prevention is worth a pound of cure understated.

I don't want to be on the other side of the table from the customer. I was never selling anything that I didn't believe in myself or use myself.

Focus on your customers and lead your people as though their lives depend on your success.

You only have to do a very few things right in your life so long as you don't do too many things wrong.

The trick is when there is nothing to do do nothing.

We do not have nor have had and never will have an opinion about where the stock market interest rates or business activity will be a year from now.

If a business does well the stock eventually follows.

I think what people understand there probably - well they were hoping the private sector would do it [rescuing AIG ].

Take the job you would take if you were independently wealthy. You're going to do well at it.

It is better to point out your own mistakes than have somebody else do it.

When you're associating with the people that you love doing what you love it doesn't get any better than that.

People will always try to stop you from doing the right thing if it is unconventional.

I think I could make you fifty percent a year on one million dollars. No I know I could. I guarantee that.

A prediction about the direction of the stock market tells you nothing about where stocks are headed but a whole lot about the person doing the predicting.

If the reason for doing something is that everyone else is doing it it's not a good enough reason.

Risk comes from not knowing what you're doing

Only when the tide goes out do you discover who's been swimming naked.

We don't have to be smarter than the rest. We have to be more disciplined than the rest.

Wide diversification is only required when investors do not understand what they are doing.

Diversification is a protection against ignorance. It makes very little sense for those who know what they're doing.

Diversification is protection against ignorance. It makes little sense if you know what you are doing.

I'll take the deal whatever you want to do.

During inflation Goodwill is the gift that keeps on giving.

I get to do what I like to do every single day of the year.

The dumbest reason in the world to buy a stock is because it's going up.

Nothing sedates rationality like large doses of effortless money.

If you want your business to survive for 100 years you've got to make it through every single day for 100 years. It's not enough to do it 99.9% of the time.

I always knew I was going to be rich. I don't think I ever doubted it for a minute.

If you don't know jewelry know the jeweler.

If you don't know the Jewelry know the Jeweller

If you buy the things you don't need you will soon be selling the things that you need.

Never risk what you have and need for what we don't have and don't need.

If I subscribed to the efficient market theory I would still be delivering papers

You could be somewhere where the mail was delayed three weeks and do just fine investing.

Remember that the stock market is manic-depressive.

Energy deregulation will be the largest transfer of wealth in history.

Derivatives are financial weapons of mass destruction.

Derivatives are like sex. It's not who we're sleeping with it's who they're sleeping with that's the problem.

If AIG had tried to unwind their derivatives books. I don't know. It would have hit every institution in the world.

Never depend on a single source of income.

Never depend on single income. Make investment to create a second source.

If you don't make mistakes you can't make decisions.

The single most important decision in evaluating a business is pricing power

My idea of a group decision is to look in the mirror.

If we start deciding based on guesses or emotions whether we will or won't participate in a business where we should have some long run edge we're in trouble.

There's nothing inappropriate about having debt in America. It's what helped us grow over time. And it's when debt gets out of control that you worry.

Returns decrease as motion increases.

It makes a difference who the treasury secretary is.

Stop trying to predict the direction of the stock market the economy or elections.

Although we deal with probabilities and expectations the actual results can deviate substantially from such expectations particularly on a short-term basis.

A diamond cannot be polished without friction nor a person perfected without trials. Someone is enjoying shade today because someone planted a tree a long time ago.

I have always cautioned partners that I considered three years a minimum in determining whether we were "performing".

Investing is simple but not easy.

A fool and his money are soon invited everywhere.

If I taught a class on my final exam I would take an Internet company and ask 'How much is this company worth?' Anyone who would answer I would flunk.

Investment ideas like women are often more exciting than punctual.

People do as long as you have markets you'll have excesses.

Exercise humility and restraint.

When investing pessimism is your friend euphoria the enemy.

My job is essentially just corralling more and more and more facts and information and occasionally seeing whether that leads to some action.

It is easier to rationalize than it is to be rational.

When we went crazy and we did go crazy on residential real estate it set things in motion that just - the dominoes started toppling.

I have this complicated procedure I go through every morning which is to look in the mirror and decide what I'm going to do. And I feel at that point everybody's had their say.

I know the country works extremely well. You know but when it isn't clogged up.

When forced to choose I will not trade even a night's sleep for the chance of extra profits.

I don't read economic forecasts. I don't read the funny papers.

In fact in my adult lifetime I don't think I've ever seen people as fearful economically as they are right now.

Ignore the stock market ignore the economy and buy a business you understand.

I think people - what people want to do is make [economy] get worse.

The secret to happiness is having low expectations.

We've actually been pretty good on exports. I mean we are exporting 12% of our GDP now roughly.

The greatest Enemies of the Equity investor are Expenses and Emotions.

Money is not everything. Make sure you earn a lot before speaking such nonsense.

Emotional makeup is more important than technical skill

The key to success is emotional stability.

Tell me your heroes and I'll tell you how your life will end up

Earnings can be pliable as putty when a charlatan heads the company reporting them.

In the end we must have people to match our principles not the reverse.

When they get their ego involved people do things they shouldn't do.

I've never been very fully employed either.

You don't need to have extraordinary effort to achieve extraordinary results. You just need to do the ordinary everyday things exceptionally well.

No matter how great the talent or efforts some things just take time.

If you want to shoot rare fast-moving elephants you should always carry a loaded gun.

SUPPOSE that an investor you admire and trust comes to you with an investment idea. This is a good one he says enthusiastically. I'm in it and I think you should be too.

I don't think it would be crazy to have a model or an entity model on the Reconstruction Finance Corp.

We intend to continue our practice of working only with people whom we like and admire. This policy not only maximizes our chances for good results it also ensures us an extraordinarily good time.

A hyperactive stock market is the pickpocket of enterprise.

Failure comes from ego greed envy fear imitation. I have success not because I am smart but because I am rational.

Over the years a number of very smart people have learned the hard way that a long string of impressive numbers multiplied by a single zero always equals zero.

I sent one e-mail in my life. I sent it to Jeff Raikes at Microsoft and it ended up in court in Minneapolis so I am one for one.

Investors should remember that excitement and expenses are their enemies.

The good thing is we have household formation in this country.

Forecasts usually tell us more of the forecaster than of the forecast

Forecasts may tell you a great deal about the forecaster; they tell you nothing about the future.

There is no perfect mathematical formula for pricing a business.

We have long felt that the only value of stock forecasters is to make fortune-tellers look good.

The real fortunes in this country have been made by people who have been right about the business they invested in and not right about the timing of the stock market.

A lot of great fortunes in the world have been made by owning a single wonderful business. If you understand the business you don't need to own very many of them.

Fear is the foe of the faddist but the friend of the fundamentalist.

I think it will get moving faster. I mean once you get it off the - once credit flows - now the recession is going to get worse.

Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it.

Do what you would do for free having passion for what you do is the most important thing.

By periodically investing in an index fund the know-nothing investors can actually outperform most investment professionals.