Warren Buffett is the chairman of one of the most successful stocks in history, Berkshire Hathaway Inc. (NYSE BKR.A BKR.B). Warren believes in the investment philosophy of value investing. In fact, Buffett is a disciple of the father of value investing, Benjamin Graham. Warren doesn’t completely follow Benjamin’s value investing today, but it is the basis of his investing style. Warren’s folksy attitude kind-of reminds me of someone’s grandfather. A harmless old fuddy-duddy, but don’t let his appearance fool you. Warren is a number crunching machine, and what makes him so great as an investor is finding value where others see none.
Warren Buffett’s Office
This is what I find so fascinating about Warren. What would you expect on his desk? After all, he’s one of the richest people in the world and made most of his money by investing. Take a close look at that picture. It looks pretty nondescript, and could be anyone’s desk. Notice there’s no Bloomberg terminal. There’s also no desktop computer. It’s been reported he doesn’t own a computer or a cell phone. You do see a traditional phone on his desk, so he can call his broker to make trades. When researching, it has been reported Buffett does use Value Line reports (see Value Line Review), reads company reports, and uses other not so high tech methods. So for those who think you need a slew of computers close to the exchanges to beat the S&P 500, you are mistaken. I’ve included some video from CNBC when Becky Quick interviewed him in his office in 2007.
Videos from CNBC have been removed because they are no longer active
There have been a number of books about him, and about his style of investing. Here are some I recommend:
- Buffettology by Mary Buffett and David Clark
- The New Buffettology by Mary Buffett and David Clark
- Security Analysis by Benjamin Graham
- The Intelligent Investor by Benjamin Graham and Jason Zweig
- Value Investing: From Graham to Buffett and Beyond by Bruce C. N. Greenwald, Judd Kahn, Paul D. Sonkin, and Michael van Biema
- Buffett: The Making of an American Capitalist by Roger Lowenstein