Oct 6 2008

Words of Wisdom from Warren Buffett

During this economic turmoil and financial crisis, I have been asking myself how is the Oracle of Omaha navigating so smoothly through these tough waters.  In the last week or so, Warren Buffett and his company Berkshire Hathaway have decided to invest just shy of $12.7 Billion or 40% of the cash balance in “attractive” investments.

If you haven’t been keeping track of the recent portfolio decisions from Warren Buffett, here is the sumarized list:

Constellation Energy (CEG) $4.7 Billion

Goldman Sachs (GS) $5.0 Billion

General Electric (GE) $3.0 Billion

Living up to one of the famous Buffettism’s…”Be fearful when others are greedy and be greedy when everyone is fearful”

So the main inspiration of this blog post was when I came across a recent Warren Buffett interview conducted by Charlie Rose. This video helps me think about the long term view when investing but to also understand that even Warren still thinks there is a good deal of uncertainty in these times.

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