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I kinda think Buffett's way of investing is obsolete these days. Every single analyst is studying the fundamentals and financials of companies now. Every single

I kinda think Buffett's way of investing is obsolete these days. Every single analyst is studying the fundamentals and financials of companies now. Every single analyst has access to the same information he had. It was different decades ago when we didn't have BloomBerg, Thomson Reuters, FactSet, etc. Now everyone does. His advantage now is just that he has boatloads of money to buy companies and turn them around.

triviatise 9y ago
you dont understand his strategy if you think it is out of date. 1) he buys equity in the private markets not in the public markets 2) he has capital to buy entire companies 3) he can evaluate a company based on the people, not based on financials 4) he commits to not meddling in operations. Today's tax structure forces entrepreneurs to sell because of huge tax implications of passing down a privately held company. 5) emotionally he is very strong and he is willing to wait on the sideline for years if necessary. He holds on to huge amounts of cash. Meanwhile shareholders are getting mad that he is not getting the returns and start talking about how he should just pay out the dividends, people start talking about how he has lost his touch or his method is out of date. The market is skyrocketing. Then the crash happens and he buys tons of distressed assets at a discount and he is brilliant again.
- joosters 9y ago
  People are forced to avoid tax on their profits? Oh the humanity!
  - mlindner 9y ago
    If the sudden taxes kill the company, then certainly. It's in the US's best interest for them to avoid those taxes because if they don't then the US loses out on taxing future profits of that company.
    - FridgeSeal 9y ago
      Whelp, better just never tax anyone just in case they make some money in the future that we can continue to not tax, because then they'll threaten to fire all their workers and take their money overseas!

triviatise 9y ago

you dont understand his strategy if you think it is out of date. 1) he buys equity in the private markets not in the public markets 2) he has capital to buy entire companies 3) he can evaluate a company based on the people, not based on financials 4) he commits to not meddling in operations. Today's tax structure forces entrepreneurs to sell because of huge tax implications of passing down a privately held company. 5) emotionally he is very strong and he is willing to wait on the sideline for years if necessary. He holds on to huge amounts of cash. Meanwhile shareholders are getting mad that he is not getting the returns and start talking about how he should just pay out the dividends, people start talking about how he has lost his touch or his method is out of date. The market is skyrocketing. Then the crash happens and he buys tons of distressed assets at a discount and he is brilliant again.

joosters 9y ago
People are forced to avoid tax on their profits? Oh the humanity!
- mlindner 9y ago
  If the sudden taxes kill the company, then certainly. It's in the US's best interest for them to avoid those taxes because if they don't then the US loses out on taxing future profits of that company.
  - FridgeSeal 9y ago
    Whelp, better just never tax anyone just in case they make some money in the future that we can continue to not tax, because then they'll threaten to fire all their workers and take their money overseas!