Born on August 30, 1930 Warren Edward Buffett is an American investor who is CEO of Berkshire hathway. He is considered one of the most successful investors in the world and he is 4th wealthiest person in the world.
At a very young age Buffett was interested in business and investing. He was inspired by a book one thousand ways to make $1000 which he had borrowed from library at age of seven. From childhood he had entrepreneur instinct. one of his initial business ventures were selling chewing gum, coca-cola bottles and weekly magazines door to door. While still in high school, he made money delivering newspapers, selling golf balls and stamps.
In 1956 buffet's boss Benjamin Graham retired and closed his partnership. At that time Buffett's personal savings were over $174,000 and he started Buffett Partnership Ltd.
In 1957 Buffett operated three partnerships. He purchased a five-bedroom stucco house. Where he still lives for $31,500. In 1958 the Buffetts' third child was born.
In 1959 the company grew to six partnerships and Buffett met future partner Charlie munger. By 1960 Buffett operated seven partnerships. He asked one of his partners a doctor, to find ten other doctors willing to invest $10,000 each in his partnership. Eventually, eleven agreed and Buffett pooled their money with a mere $100 original investment of his own.
In 1962 warren buffet involved into industry business by buying shares in textile firm. Which he later claimed that the textile business had been his worst trade.
He then moved his focus towards insurance sector.
After couple of ventures he was now living solely on his salary of $50,000 per year and his outside investment income.
In 1973, Berkshire began to acquire stock in the Washington post company. In the coming years due to close relation buffet under went investigations on possible conflict but nothing had been found.
In 1987, Berkshire Hathaway purchased a 12% stake in Salomon Inc but company caught up into crisis. Buffett remained Chairman of Salomon until the crisis passed.
In 1988, Buffett began buying the coca cola company stock, eventually purchasing up to 7% of the company for $1.02 billion. It would turn out to be one of Berkshire's most lucrative investments and one which it still holds.
Buffett became a billionaire when Berkshire Hathaway began selling class A shares on May 29,1990, with the market closing at $7,175 a share.
In 2002, Buffett entered in $11 billion worth of forward contracts to deliver U.S. dollars against other currencies. By April 2006, his total gain on these contracts was over $2 billion.
At a very young age Buffett was interested in business and investing. He was inspired by a book one thousand ways to make $1000 which he had borrowed from library at age of seven. From childhood he had entrepreneur instinct. one of his initial business ventures were selling chewing gum, coca-cola bottles and weekly magazines door to door. While still in high school, he made money delivering newspapers, selling golf balls and stamps.
In 1945 when he was in high school Buffett and a friend spent $25 to purchase a used pinball machine which they placed in the local barber shop. Within months, they owned several machines in three different barber shops across Omaha(state in america).
Later he sold that business to a war veteran for $1,200.
Warren buffet bought shares first time at age of 11, he bought three shares of cities services ( oil and gas company) and three for his sister Doris buffett.
At the age of 15 when other teenagers were enjoying around Warren buffet made more than $175 monthly simply by delivering Washington Post newspapers.
He invested in a business owned by his father and bought a 40-acre farm. He bought the land when he was 14 years old with $1,200 of his savings. By the time he finished college, Buffett had managed to accumulate $9,800 as savings from a farm land which was rented to farmer.
At 19, he graduated with a Bachelor of science in business administration.
He completed a master of science in economics from Columbia in 1951 after being rejected by Howard business school.
Buffett wanted to work on wall street but his father did not allow him.
Then Buffett worked as a stockbroker while taking a public speaking course. Using what he learned, he felt confident enough to teach an "Investment Principles" night class at the university. The average age of his students was more than twice his own.
During this time he also purchased a Sinclair Texaco gas station as a side investment but it was unsuccessful.
in 1952 Buffett married Susan Thompson. The next year they had their first child. In 1954 Buffett accepted a job. His starting salary was $12,000 a year that year Buffetts had their second child
Warren buffet bought shares first time at age of 11, he bought three shares of cities services ( oil and gas company) and three for his sister Doris buffett.
At the age of 15 when other teenagers were enjoying around Warren buffet made more than $175 monthly simply by delivering Washington Post newspapers.
He invested in a business owned by his father and bought a 40-acre farm. He bought the land when he was 14 years old with $1,200 of his savings. By the time he finished college, Buffett had managed to accumulate $9,800 as savings from a farm land which was rented to farmer.
At 19, he graduated with a Bachelor of science in business administration.
He completed a master of science in economics from Columbia in 1951 after being rejected by Howard business school.
Buffett wanted to work on wall street but his father did not allow him.
Then Buffett worked as a stockbroker while taking a public speaking course. Using what he learned, he felt confident enough to teach an "Investment Principles" night class at the university. The average age of his students was more than twice his own.
During this time he also purchased a Sinclair Texaco gas station as a side investment but it was unsuccessful.
in 1952 Buffett married Susan Thompson. The next year they had their first child. In 1954 Buffett accepted a job. His starting salary was $12,000 a year that year Buffetts had their second child
In 1956 buffet's boss Benjamin Graham retired and closed his partnership. At that time Buffett's personal savings were over $174,000 and he started Buffett Partnership Ltd.
In 1957 Buffett operated three partnerships. He purchased a five-bedroom stucco house. Where he still lives for $31,500. In 1958 the Buffetts' third child was born.
In 1959 the company grew to six partnerships and Buffett met future partner Charlie munger. By 1960 Buffett operated seven partnerships. He asked one of his partners a doctor, to find ten other doctors willing to invest $10,000 each in his partnership. Eventually, eleven agreed and Buffett pooled their money with a mere $100 original investment of his own.
In 1962 warren buffet involved into industry business by buying shares in textile firm. Which he later claimed that the textile business had been his worst trade.
He then moved his focus towards insurance sector.
After couple of ventures he was now living solely on his salary of $50,000 per year and his outside investment income.
In 1973, Berkshire began to acquire stock in the Washington post company. In the coming years due to close relation buffet under went investigations on possible conflict but nothing had been found.
In 1987, Berkshire Hathaway purchased a 12% stake in Salomon Inc but company caught up into crisis. Buffett remained Chairman of Salomon until the crisis passed.
In 1988, Buffett began buying the coca cola company stock, eventually purchasing up to 7% of the company for $1.02 billion. It would turn out to be one of Berkshire's most lucrative investments and one which it still holds.
Buffett became a billionaire when Berkshire Hathaway began selling class A shares on May 29,1990, with the market closing at $7,175 a share.
In 2002, Buffett entered in $11 billion worth of forward contracts to deliver U.S. dollars against other currencies. By April 2006, his total gain on these contracts was over $2 billion.
In 2006, Buffett announced in June that he gradually would give away 85% of his Berkshire holdings to five foundations in annual gifts of stock, starting in July 2006—the largest contribution would go to the bill and melinda gates foundation.
In 2007, in a letter to shareholders, Buffett announced that he was looking for a younger successor, or perhaps successors, to run his investment business.
Buffett ran into criticism during the subprime crisis 2007-2008, part of the recessionthat started in 2007, that he had allocated capital too early resulting in suboptimal deals. "Buy American. I am." he wrote for an opinion piece published in the New York Times in 2008. Buffett called the downturn in the financial sector that started in 2007 "poetic justice". Buffett's Berkshire Hathaway suffered a 77% drop in earnings during Q3 2008 and several of his later deals suffered large mark to market losses.
In 2007, in a letter to shareholders, Buffett announced that he was looking for a younger successor, or perhaps successors, to run his investment business.
Buffett ran into criticism during the subprime crisis 2007-2008, part of the recessionthat started in 2007, that he had allocated capital too early resulting in suboptimal deals. "Buy American. I am." he wrote for an opinion piece published in the New York Times in 2008. Buffett called the downturn in the financial sector that started in 2007 "poetic justice". Buffett's Berkshire Hathaway suffered a 77% drop in earnings during Q3 2008 and several of his later deals suffered large mark to market losses.
His firm recovered from there and go on to make Buffett the richest person in the world in 2008, with a total net worth estimated at $62 billion by Forbes overtaking Bill Gates, who had been number one on the forbes list for 13 consecutive years.
Again in 2008 economic crissis grappled lots of up and down came but his firm again come out strong.
Again in 2008 economic crissis grappled lots of up and down came but his firm again come out strong.
In Q2 2014, Berkshire Hathaway made $6.4 billion in net profit and the price of Berkshire Hathaway's shares hit $200,000 a share for the first time.
“Rule No. 1: Never lose money. Rule No. 2: Never forget rule No.1”
– Warren Buffett