> But Warren Buffet invests in individual companies using valuation technique to discover under valued companies which the market is ignoring. Yes, this is tru

> But Warren Buffet invests in individual companies using valuation technique to discover under valued companies which the market is ignoring. Yes, this is true, but the possibility exists that Buffet realizes his early success might have arisen from chance, and that his present success arises from the announcement effect (everyone wants to invest in the same stocks he invests in, so he can't go wrong.) I have no idea whether that's so, I won't pretend to have any inside knowledge, but it's certainly true that Buffet has set things up so his inheritors are in index funds and buy & hold, two ideas he has spoken well of over the years.