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Apple, in absolute terms, has been his best investment (iirc). But yeah. The law of large numbers has gotten him. When you have to invest hundreds of billions,
by christophilus 5y ago
Apple, in absolute terms, has been his best investment (iirc). But yeah. The law of large numbers has gotten him. When you have to invest hundreds of billions, it’s impossible to keep compounding at high rates. I’d put a lot of money on Buffett beating the market if he was managing $50M.
- lotsofpulp 5y agoIt is possible the parameters of the world changed so much that Buffett’s expertise is not as useful as it once was.
- christophilus 5y agoIt’s possible. It’ll take another decade of Guy Spier and friends underperforming for me to be convinced of it.
- JumpCrisscross 5y agoOne of Buffett’s built-in edges is access to cheap capital through his insurance companies [1]. That matters less in a low-interest rate environment, which has been the dominant regime for the last 20 years. [1] https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3197185 https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3197185
- waffle_maniac 5y agoBetter than Coke?