Ha....buffet said ifff the fed were to keep rates at 0% for the next 50 yrs, Dow would go to 100,000

Discussion in 'Economics' started by S2007S, May 2, 2016.

  1. Warren has beat the mkt for the last 30 years, about 20%/yr average and survived two 50% drawdowns
     
    #21     May 3, 2016
  2. It will be hard to bet against Warren Buffett/BH... If only because of the fact that he's a big stack bully, to use the poker terminology.
     
    #22     May 3, 2016
  3. newwurldmn

    newwurldmn

    What's crazier is that when he touts that number it's BRK book value which is after corporate taxes are paid. SPX returns are pre-tax (or at best tax deferred).
     
    #23     May 3, 2016
  4. Chris Mac

    Chris Mac

    What is crazier is accepting wrong figures as right (not 20% : 16% per year vs 9.5% for the S&P).
    Actually, Bill Gates did quite better. As an 100% owner of MSFT stocks at the same time, he was up +24% per year during the last 30 years (or +84 000 % compounded).
    But Bill Gates never said he was a financial genius.

    CM
     
    #24     May 3, 2016
  5. LacesOut

    LacesOut

    This is correct...
    it's no surprise that his buddy Obama quashed the Keystone...after all - how would that help Buffett's railroad investment?
     
    #25     May 3, 2016
    Chris Mac likes this.
  6. eurusdzn

    eurusdzn

    Buffet was the laughing stock of the town in the late 1990's amongst gunslinger traders making a killing. His poster investment at the time was KO (Coke) during the internet boom.
    What an idiot , as Infoseek and CMGI and their like were in play.
     
    #26     May 3, 2016
  7. For the record, my comment was just an observation, rather than judgement...
     
    #27     May 3, 2016
  8. ironchef

    ironchef

    If you bought BH 50 years ago, it's return compounds at an annual rate of 21.6%:

    http://fortune.com/2015/02/28/berkshire-after-50-years/

    If you own it since the mid 80s, one A share costed ~$2,000 then and is ~$217,000 now.

    If you were stupid and bought it just before the crash in 2007 @ $~150,000 peak, all time high, you are still ahead today @ ~$217,000.

    I don't know how he did it but there are few others who can claim these numbers.
     
    #28     May 4, 2016
  9. Chris Mac

    Chris Mac

    Ok but :
    1 Money making was easy between 1950 and 1970 : you can't consider these figures.
    2 Lobbying is not trading (Keystone decision thx to Obama=> what a joke).
    http://www.americanthinker.com/articles/2015/11/warren_buffett_and_the_keystone_decision.html
    3 He made big noob mistakes in 2007 / 2008 and is doing the same NOW.
    4 Lot of traders were quite much better (Dennis Richard, Michael Marcus, Marty Schwartz, Larry Williams) without cheating, lying, lobbying.
    5 Generally, self-proclaimed Gurus end bad (Bill Gross, Bill Miller, Nouriel Roubini, Abby Joseph Cohen...).

    CM
     
    #29     May 4, 2016
  10. ironchef

    ironchef

    If it is so easy, name a few more investors who did as well or better than his track record back between 1950 and 1970.:D

    Not trying to argue or debate, so this is the end of my comments.

    Peace.
     
    #30     May 4, 2016