10 Learnings from Warren Buffet

 

1. Buy businesses, not stocks

Think like an owner. Focus on fundamentals, cash flow, and competitive advantage, not short-term price movement.

2. Circle of competence matters

Invest only in industries you deeply understand. Saying “no” to most opportunities is a strength, not a weakness.

3. Margin of safety is non-negotiable

Purchase below intrinsic value to protect against errors, volatility, or unforeseen risks.

4. Long-term compounding beats trading

Time in the market is more powerful than timing the market.
Buffett’s wealth is largely the result of decades of disciplined compounding.

5. Quality over cheapness

A great business at a fair price is superior to a mediocre business at a bargain price.

6. Management integrity is critical

He evaluates leaders on honesty, capital allocation skill, and shareholder alignment, not just growth promises.

7. Avoid debt and complexity

Strong balance sheets and simple, understandable models reduce permanent loss of capital.

8. Emotional discipline is an edge

“Be fearful when others are greedy, and greedy when others are fearful.”
Markets reward patience and rational behavior, not excitement.

9. Cash is optionality

Holding liquidity allows you to act decisively during crises, when the best opportunities appear.

10. Reputation compounds like money

Trust, ethics, and consistency create long-term leverage beyond finance—in partnerships, deals, and leadership.