Warren Buffett 03 (May 15 - Dec 26)

[behappyalways]

BERKSHIRE HATHAWAY INC. SHAREHOLDER LETTERS
http://www.berkshirehathaway.com/letters/2015ltr.pdf

[winston]

Economist Guide: 4 Lessons Warren Buffett Teaches Us

By David Dierking

Source: Investopedia

http://www.investopedia.com/articles/in ... er=YahooSA

[winston]

Has Warren Buffett lost his mind?

by Justin Brill

Source: Stansberry Digest

http://thecrux.com/has-warren-buffett-lost-his-mind/

[winston]

The Great Investment Advice Hidden in Warren Buffett's Annual Letter

by Joshua Brown

A sound insurance operation needs to adhere to four disciplines. It must:-
(1) understand all exposures that might cause a policy to incur losses;
(2) conservatively assess the likelihood of any exposure actually causing a loss and the probable cost if it does;
(3) set a premium that, on average, will deliver a profit after both prospective loss costs and operating expenses are covered; and
(4) be willing to walk away if the appropriate premium can’t be obtained.

Source: Reformed Broker

http://fortune.com/2016/03/02/the-great ... al-letter/

[winston]

Warren Buffett on Booms, Bubbles, and Busts

"We will have other bubbles in the future. I mean, there's no question about it."

Source: Motley Fool

http://www.fool.com/investing/general/2 ... busts.aspx

[winston]

3 New Warren Buffett Quotes You Can't Live Without

By Ben Reynolds

Source: The Street

http://www.thestreet.com/story/13494470 ... _ven=YAHOO

[winston]

18 Warren Buffett quotes that tell you all you need to know about personal finance

Some of Buffett's best advice about spending, saving and investing

By Mandi Woodruff

Source: Yahoo Finance

http://finance.yahoo.com/news/warren-bu ... 38360.html

[winston]

Warren Buffett’s 7 best pieces of investing advice

Spoiler alert: Buffett really hates cash.

By Mandi Woodruff

Source: Yahoo Finance

http://finance.yahoo.com/news/warren-bu ... 19702.html

[behappyalways]

Buffett says don't put too much stock in Icahn's market 'reckoning' warning
http://www.cnbc.com/2016/04/29/buffett- ... rning.html

[winston]

Buffett says hedge funds are a bad deal for investors

"There's been far, far, far more money made by people in Wall Street through salesmanship abilities than through investment abilities," Buffett said.

Buffett, Munger slam drugmaker Valeant

OMAHA, Nebraska: Warren Buffett nibbled on sweets during his presentation to shareholders on Saturday but he took a bite out of hedge fund managers.

The storied stockpicker - speaking at a table festooned with Berkshire Hathaway Inc-owned See's Candies at the conglomerate's annual shareholder meeting - suggested that "supposedly sophisticated people" and institutions are being fleeced by hedge funds and their backers.

"There's been far, far, far more money made by people in Wall Street through salesmanship abilities than through investment abilities," Buffett said, citing a simple Vanguard Group index fund that tracks the S&P 500 index of large American companies. He said that fund has beat a group of costlier hedge funds over time.

"Now that may sound like a terrible result for hedge funds, but it's not a terrible result for the hedge fund managers," Buffett said to laughter at the event held in Omaha.

During the financial crisis, Buffett bet the asset management company Protege Partners LLC $1 million that the S&P 500 will outperform a portfolio of hedge funds over the 10 years through 2017. Buffett said Saturday the index fund is beating the hedge funds by nearly 44 percentage points over 8 years.

Hedge funds are famous for their price tag - known as "two and 20" - a fee of two percent of the assets they manage each year and 20 percent of all gains.

It is not the first time Buffett has delivered the message. In his annual letter to shareholders two years ago, Buffett said he has ordered most of the money he is not giving away at his death to be placed in an index fund.

"You just have to sit back and let American industry do its job for you," Buffett said.

Buffett said the cost of consulting and management fees, as well as commissions, eat up investment returns for the wealthy individuals, endowment funds and public pensions that use hedge funds.

New York City's largest public pension voted to exit all of its hedge fund investments earlier this month.

Vice Chairman Charlie Munger, who was seated next to Buffett, offered that some people who have given their savings to Berkshire and some other investors have done well. But, he said, finding such investors is "like looking for a needle in a haystack."

Source: Reuters