Wednesday

We found 32 Warren Buffett related articles for you this week



9 Nuggets of Investment advice from the Best Investor, Warren Buffett - The Motley Fool, 29 June 2013
When it comes to great investors, they don't get much better than Warren Buffett. Through shrewd investments in stocks and entire companies that he bought, Buffett has grown his Berkshire Hathaway (NYSE: BRK-A) (NYSE: BRK-B) company's per-share book value by an annual average of 19.7% between 1965 and 2012. That's a total gain of more than 586,000%. The company's stock has grown by about about million percent since 1965, enough to turn a $10,000 investment into roughly $100 million. So we can agree that the guy knows a thing or two about investing, right? Thus, it would be smart to heed his investment advice. Let's a look at some of his nuggets of wisdom.

Be optimistic
"Over the long term, the stock market news will be good. In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts, the Depression, a dozen or so recessions and financial panics, oil shocks, a flu epidemic, and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497."

This bit of investment advice offers useful perspective, reminding us that the market's overall trend has been to rise, despite some big and small hiccups.

Geniuses need not apply
It can be easy to assume that you need to be brilliant like Buffett to make money in stocks. He would disagree, though:

"You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beats the guy with 130 IQ."

That point is supported by plenty of examples of the bumbling of brilliant folks, such as the 1994 implosion of the massive Long Term Capital Management hedge fund company, which boasted two Nobel laureates and lost billions anyway. Read more...
 Warren Buffett's Acquisitions
1 Explosive risk Warren Buffett should be worried about - The Motley Fool, 12 July 2013
Crude oil shipments by railroad have grown by a staggering 28,000% over the past five years. That growth has been a great profit driver for railway companies, and Warren Buffett's Berkshire Hathaway (NYSE: BRK-B) (NYSE: BRK-A) which controls Burlington Northern.

Warren Buffett is buying this stock now - MarketWatch, 10 July 2013
According to a filing with the SEC, Warren Buffett's holding company Berkshire Hathaway has continued to buy shares of DaVita, a $12 billion market cap provider of kidney dialysis services at hospitals and dialysis centers.

3 Companies that Warren Buffett should buy next - The Motely Fool, 07 July 2013
Warren Buffett has been nothing short of a master dealmaker for the better part of five decades now. Through a disciplined approach that stresses the understanding of a company's fundamental business model, as well as buying and holding businesses, not stocks, over a very long period of time, Buffett has played Wall Street like a violin.

Potential Elephants for Warren Buffett - The Motley Fool, 03 July 2013
As many of us know, Berkshire Hathaway (NYSE: BRK-A) is generating an increasing amount of cash. As the company does not pay a dividend and very unusually buys its own shares (in 2012 Berkshire did a $1.3 billion share re-purchase), it must re-invest those proceedings somewhere.

Why Buffett likes Coke ... and not just the drink - The Motley Fool, 02 July 2013
A friend of mine was recently telling me about his investment in Coca-Cola (NYSE: KO). Then, he went on to say that he knows investors who match nearly every one of Warren Buffett’s investment decisions; after all, my friend said, Buffett is a legend.

Berkshire Hathaway Units strike two more deals - The Wall Street Journal, 27 June 2013
Two Berkshire Hathaway units struck small deals Thursday, keeping up the pace of their bolt-on acquisitions, while their boss, Warren Buffett, hunts for the big prize.

Berkshire Hathaway's Newspaper Investments Part II - Seeking Alpha, 24 June 2013
We have been analyzing and evaluating the newspaper companies that Warren Buffett and Berkshire Hathaway (BRK.B, BRK.A) have invested in in the past and have invested in recently over the last twelve months.

Warren Buffett bought this stock. Should you? - Yahoo Finance, 21 June 2013
In times of uncertainty, it can be useful to follow the lead of the best investors. One of Warren Buffett's recent investments, Chicago Bridge & Iron, is down 10%. Should you buy along with Buffett or is this stock headed down more?

Heinz shakes up its Board after Buffett Acquisition - Wall St. Cheat Sheet, 20 June 2013
The board of H.J. Heinz Co. (NYSE:HNZ) is undergoing a big shake-up, with 11 of the company’s executives leaving. The move comes a month after Heinz was purchased by Warren Buffett’s Berkshire Hathaway (NYSE:BRKA) (NYSE:BRKB) and Brazilian investor Jorge Paulo Lemann’s 3G Capital.

Berkshire Hathaway's Newspaper Investments Part I - Seeking Alpha, 17 June 2013
We have been analyzing and evaluating the newspaper companies that Warren Buffett and Berkshire Hathaway (BRK.B, BRK.A) has invested in the past and has invested in recently over the last twelve months.

Warren Buffett embraces an old love - The Motley Fool, 14 June 2013
It didn't take long after Warren Buffett's Berkshire Hathaway welcomed four former AIG executives into the fold that it introduced a new, specialty insurance arm to the world.
 Warren Buffett - The Investor
When Buffett Speaks - We Listen - The Motley Fool, 11 July 2013
Mr. Buffett, the CEO of Berkshire Hathaway (NYSE: BRK-A) (NYSE: BRK-B) is famous for his unique investment theses. He just loves to invest in branded consumer products, such as See's Candy, Coca-Cola, and lately Heinz ketchup and sauces.

Why Buffett's gifts will only get bigger - The Motley Fool, 11 July 2013
On Monday, Berkshire Hathaway (NYSE: BRK-B ) (NYSE: BRK-A ) CEO Warren Buffett just gave a total of 22,870,529 Class B shares of Berkshire Hathaway stock to five different charitable foundations, worth nearly $2.63 billion dollars based on today's closing price of $114.88 per share.

Warren Buffett's generosity grows with Berkshire's stock price - CNBC, 08 July 2013
With a lot of help from a 39 percent increase in the value of Berkshire Hathaway's Class B stock over the past 12 months, Warren Buffett's donation to the Bill & Melinda Gates Foundation this year was the largest since his annual contributions began in 2006.

Buffett now controls 34 percent of Berkshire stock - Associated Press, 08 July 2013
Billionaire Warren Buffett's recent donations of Berkshire Hathaway stock reduced his voting power in the company to about 34 percent.

Warren Buffett is not a myth - The Motley Fool, 08 July 2013
Over on MarketWatch, a site run by the Wall Street Journal, Paul Merriman recently published an article entitled Warren Buffett: More myth than legend. With a bombastic title like that it's no surprise that the article is one of the most viewed on the site. The main argument of the article is this: over the last 15 years Berkshire Hathaway (NYSE: BRK-A) (NYSE: BRK-B), Warren Buffett's company, has seen its stock rise at a lower rate than a group of value orientated funds.

The crucial advice from Buffett you're probably ignoring - Yahoo Finance, 20 June 2013
The latest rankings of the world's richest people show that telecom magnate Carlos Slim of Mexico is again on the top of the heap, followed by Microsoft founder Bill Gates. Fourth on the list is Warren Buffett. The Oracle of Omaha also made his fortune with one company, Berkshire Hathaway (BRK-B), but there's a twist.

Is Buffett’s successor already sitting next to him? - The Motley Fool, 18 June 2013
It seems to have taken some time to become newsworthy, however articles recently published in the American press have highlighted that in 2009, billionaire investor Warren Buffett hired a woman by the name of Tracey Britt as his financial assistant at Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B).

3 things Bill Gates has learned from Warren Buffett - Wall St. Cheat Sheet, 16 June 2013
Bill Gates proves that no matter how rich or successful you are, there’s always room for more learning and improvement. In a light, insightful post written on his LinkedIn profile, Gates offers the three things he believes to have learned from Warren Buffet over the years.

Prepping for the Post-Buffett Era: Meet one of Berkshire's most influential women - The Motley Fool, 15 June 2013
To be sure, anyone familiar with Berkshire Hathaway CEO Warren Buffett knows the man loves farming. Buffett's affinity for the industry began early. As a sophomore in high school, he bought a 40-acre farm in Nebraska and hired a tenant farmer to run the operation for him.

 General News
Warren Buffett's Supersized Tax Deduction - Forbes, 09 July 2013
Warren Buffett is one of the world’s richest and most benevolent men. The uber- billionaire has now donated approximately $2.6 billion to the Bill and Melinda Gates Foundation and four other charities.

Buffett On Berkshire's Dividend Policy - Seeking Alpha, 02 July 2013
In Berkshire Hathaway's (BRK.A) (BRK.B) most recent letter to shareholders, Warren Buffett gives perhaps his most complete explanation for BRK's zero-dividend policy.

How Berkshire Hathaway is quietly taking over the world - The Motley Fool, 01 July 2013
On multiple occasions, Warren Buffett has bluntly admitted that Berkshire Hathaway's enormous market capitalization will make it impossible for the company to duplicate its past rates of return going forward.

Why Berkshire Hathaway stock is the ideal Buy-and-Hold Investment - The Motley Fool, 27 June 2013
No investor is a bigger superstar than Berkshire Hathaway's Warren Buffett. But the beauty of Berkshire Hathaway stock is that even when Buffett is no longer able to run the company, the tenets that have guided his investment decisions will remain in place for his successors to follow for decades to come.

Investor letters the pros are reading – Forbes, 26 July 2013
In these stormy markets investors seek shelter in words of wisdom from famous investors like Warren Buffett. Here are four lesser-known must-read market masters to help weather the current conditions–if only they all agreed on the forecast.

Finding the next Warren Buffett: Mike Koza - Forbes, 20 June 2013
So far in our search for the next Warren Buffett we’ve looked at Justin Uyehara, a swing trader, and Kai Petainen, a quant. This time we are going to look at Mike Koza, a civil engineer in California who has an investment style similar to Buffett’s.

Carl Icahn joins Warren Buffett on Twitter - The Street, 20 June 2013
Billionaire activist investor Carl C. Icahn has joined Twitter, following in the social media footsteps of Warren Buffett, the 82-year old head of investing conglomerate Berkshire Hathaway (BRK.A_), who joined in early May.

Berkshire Hathaway: Utility operations Brighten Berkshire's bottom line - Seeking Alpha, 20 June 2013
Berkshire Hathaway (BRK.B) (BRK.A) surprised investors in 2000 by acquiring MidAmerican Energy Holdings Company. We were surprised because MidAmerican Energy is a utility company.

Should you buy stocks discarded by Warren Buffett? - The Motley Fool, 18 June 2013
You may know the phrase "..... our favorite holding period is forever," part of a famous line uttered by mega-billionaire investor and philanthropist Warren Buffett. However, occasionally, stocks that are part of the portfolio of his holding company Berkshire Hathaway (NYSE: BRK-A) (NYSE: BRK-B) are sold off, or the stake is reduced.

Do Berkshire Bears have a good argument? - The Motley Fool, 18 June 2013
Join The Motley Fool for a conversation with author, investor and philanthropist, Whitney Tilson. In addition to managing Kase Capital, Whitney has coauthored More Mortgage Meltdown: 6 Ways to Profit in These Bad Times, Poor Charlie's Almanack, and most recently The Art of Value Investing, a collection of interviews with over 200 successful value investors.

Economic data: interesting but not relevant to equity investors - Moneyweb, 19 June 2013
Would it surprise you to know that there is almost no relationship between the way the economy grows and the stock market’s performance? If you are spending time worrying about the economy when making your investment decisions, it is likely that you are wasting your time.

5 Dividend stocks approved by Warren Buffett - Wall St. Cheat Sheet, 17 June 2013
With the Federal Reserve pushing interest rates to historic lows, money has been forced into different asset classes in the great hunt for yield. Dividend-paying stocks can provide a stable source of cash flow that exceeds the rate on bonds or savings accounts, but investors may want to consider some timeless advice from the Oracle of Omaha before pulling the trigger.

Buffett's Banking Secret - The Motley Fool, 16 June 2013
While many investors avoid investing in banks, much of Warren Buffett's success has come from his investments in the financial sector. What gives Buffett the confidence to commit billions of dollars to an industry that many have classified as a "black box?"


Friday

The 10 biggest banks in the world are?


At the end of last year Industrial and Commercial Bank of China (ICBC) displaced Bank of America to become the world’s biggest bank by Tier-1 capital, which is mostly common stock and retained earnings. This is the first time a Chinese lender has occupied the top slot. Despite its recent financial hiccups, China now boasts four of the world’s ten biggest banks (the same number as America), whereas Europe and Japan have only one each. China’s slowing growth and continued credit expansion could signal troubles on the horizon. But such concerns are not likely to unnerve China’s depositors. The state owns most of the equity of China’s large banks. And the government has a history of bailing them out.

via http://www.economist.com

Monday

The best 5 investment tips I ever received


When investing it’s easy to feel a certain sense of panic. Although you may like the idea of successfully investing money, the reality may suggest that this is something that will be incredibly difficult to do.
These are the circumstances that are associated with confusion, but there are also opportunities. In order to succeed, you’ll need to show some bravery, but it’s also important that you should consider the fundamentals that are associated with investments. Challenging conditions can lead to bad decisions, so it’s critical that you should take a balanced approach.
1. Investing in bonds
The yields available on bonds are pretty poor at the present time and you may feel that you wish to avoid such investments, for this reason. The truth is, however, that they still represent a good, defensive option.
Within any portfolio, it makes sense to have some investments that are at the lower end of the risk spectrum. You may wish to consider whether bonds might be able to play this role for you.
2. Stocks and shares
Stock market investments will still form the core of many portfolios and it’s been noted by some analysts that the performance of certain global stock markets seems to be somewhat at odds with the worldwide gloom.
This is something that needs to be considered carefully. For some, it may offer an indication that holding shares is likely to be profitable. The wise investor will note, however, that it has never been more important to carry out research and to make the right selections.
3. Property
London property prices continue to surge and it’s the same for many other major cities of the world. Given such a situation, some investors are deciding that it makes sense to invest in bricks and mortar. You may feel the same way, but it pays to understand the driving forces behind property prices in any given location.
With any investment, it should be the case that you have a suitable awareness of the risks involved. With that in place, you are in the best position to make truly informed decisions.
4. Precious metals
When the price of gold was rising to unprecedented levels, it seemed that many analysts couldn’t wait to tell anyone who would listen that the gold rush could continue for years. Now that the situation has entered reverse, there’s a sudden lack of confidence.
It’s often said that gold represents a safe haven for when there is a lack of confidence in currencies and in the broader economic situation. Does this mean that, as confidence returns, the price of gold will continue to fall? This is certainly what some would argue, although there may be value to be found in other precious metals at this time.
5. Currency trading
Those who understand the currency markets have an opportunity to make money, no matter whether currencies are increasing or decreasing in value. This is not, however, an approach that is suited to all.
Various online tools allow you to practice with virtual currency trading, which may be a good route to testing your strategies, before seeking to take the plunge.

Welcome to connect with Tait Brands on Facebook at www.facebook.com/TaitBrands

Thursday

10 steps to choosing the best investment

When it comes to investments, a one-size-fits-all approach just doesn’t work – there isn’t a single investment product that will work for everyone.
We all have a unique set of personal circumstances and individual savings goals, and it’s only when you take a closer look at these that you can begin to answer the question ‘what is the best investment for me?’

1. Investing money – how much do you have to invest?

Are you looking to invest a lump sum, or to set aside a regular monthly amount? Maybe a short term investment or longer? And how much money do you have available? Certain assets require a lump sum investment, such as corporate bonds or when you’re putting down a deposit to purchase a property, and others offer the flexibility of either lump sum or regular contributions, such as a cash ISA or stocks and shares ISA.
Some investments also have a minimum financial commitment, so knowing what you can afford and whether you plan to make a one-off or an ongoing saving is a good starting point.

2. How long do you want to invest money for?

Or, put another way – when will you need access to your money? Certain investment products run for a fixed period of time, so if you have a specific date in mind as to when you need access to your capital, then some product types won’t be right for you. In addition, certain investments, such as shares, are much longer lasting and shouldn’t be considered as short term investments.
That’s because although shares have historically increased in value over the long term, they can fluctuate in value in the short term. It’s recommended that you invest money at least five years to be in a good position to ride out these fluctuations.

3. What are you planning to use the money for?

We all have different reasons for saving, and the purpose of your investment can affect how much risk you’re prepared to take with your money. If your investment is to pay for your children’s education, then you may be investing over a long period of time, and looking for a higher return, as a result you may be inclined to choose a higher-risk investment option.
Conversely, if you’re investing money to pay for an overseas trip, or a new car, you may be investing for a short period of time and want certainty about the outcome of your investment, and you may feel more comfortable with a lower risk investment option.

4. Do you need an income from your investment?

If you’re looking for a regular income from your investment then this will influence your choice of product. A pension is probably the best-known investment vehicle for providing an income in retirement
There are other investment products available that can also provide a regular income such as annuities, or corporate bond funds, alternatively you could choose to invest in a buy-to-let property to provide you with a rental income.

5. What age are you?

Attitude to risk can change with age. Longer term, higher risk investment options may be more attractive to someone in their thirties than to someone who is getting close to retirement.
People tend to invest money in lower-risk products as their retirement approaches.

6. What are your personal circumstances?

If you’re a parent with financially dependent children, then you’re probably going to be more cautious with your savings than someone who’s single and doesn’t have any dependants, and therefore more likely to choose a low to medium risk and possibly short term investment. For someone who’s self-employed the priority may be finding a product that allows flexible contributions to suit a more erratic income pattern.
It’s important that you to take a close look at your circumstances and how they affect your investment decision before you make a commitment.

7. Do you have other investments?

If you already have a number of investments and feel that your future financial requirements are well taken care of, then you may be willing to take a higher risk with your next investment. However, if this is your first and only investment then you may be more conservative in your choice.

8. What are your values?

It’s important that you feel comfortable with where your money is going, so if you have strong beliefs then it’s worth seeking out an investment that fits with these. There are a number of green and ethical investments  available as well as investments that are designed for specific cultural groups.

9. What’s your risk profile?

How do you feel about investment risk? Not everyone is happy riding out the ups and downs of the stock market, and if the thought of a particular investment makes you lie awake at night, then it’s probably too risky for you.

10. How much flexibility do you need?

When you invest money, it gets tied up and is no longer easily accessible. But, if you have a sudden need for cash how quickly and easily can you liquidate your asset? And what’s the penalty for doing this?
If you think this may be an important factor for you then it’s worth knowing up front what the implication of getting out of an investment early is – if indeed it’s possible.
Once you’ve answered these questions you’ll have a better idea of the type of investments that would suit you. Financial advisers tend to recommend having a portfolio of investments, that way if one investment performs badly, you have others to fall back on. It also means you can plan so you have short term investments as well as long-term ones.
Your tax status is another important consideration. You need to factor in the tax implications of each investment option based on your personal circumstances – that way you’ll get a true picture of the return you’re likely to make. Find out more about investment and tax.
It’s also a good idea to review your portfolio on an annual basis after you’ve invested money. Circumstances change, so it makes sense to check that it still represents the best investment for you.