BUSINESS
Legendary stock market investor Warren Buffett revealed how he made mind-boggling profits with just two bets on the stock market.
One of the world’s richest persons, Warren Buffett is known as a legendary wealthmaker. Buffett, who founded Berkshire Hathaway, has amassed one of the biggest fortunes on the planet. His current net worth stands at $106 billion (over Rs 8.7 lakh crore). The man recently shared a valuable lesson that can be imbibed by all investors around the globe.
Buffett revealed how he made mind-boggling profits with just two bets on the stock market. Buffett had invested $1.3 billion (around Rs 10,000 crore) each in the famous drink brand Coca Cola and the financial giant American Express. Those investments are now worth $47 billion (over Rs 37,000) crore. Buffett said that growth occurred every year with the investments and was “as certain as birthdays.
Buffett and his partner Charlie Munger had made a total share purchase of $1.3 billion in Coke in 1994 and Amex in 1995. The bets worked wonders over the years. They received a cash dividend of $75 million in 1994. This grew to $704 million in 2022. With American Express, dividends grew from $41 million to $302 million by 2022.
Buffett said that while these investments were “far from spectacular” but brought “important gains in stock prices”. Compared to his profits in the two stocks, such an investment in a 30-year bond, it would have meant “unchanged $80 million” in annual income. While the two bets now form 5% of Berkshire’s assets, a misguided bond investment would have meant just 0.3% of his net worth would be from that month. In short, Buffett’s lesson is that one doesn’t need too many investments to grow and “just a few winners” can “work wonders”. Living long into your 90s also helps, he added.
READ | Meet Kunal Shah, CEO whose salary is Rs 15,000, net worth is Rs 15,000 crore, he’s not from IIT, IIM
Bypolls: Priyanka Gandhi gains comfortable lead in Wayanad, BJP leads on Nanded Lok Sabha seat
IND vs AUS 1st Test: Jasprit Bumrah equals Kapil Dev's record with fifer against Australia
Ind vs Aus Test series: Anushka Sharma cheers for Virat Kohli in Perth, opts for casual outfit
Meet man, who is richest person in modern history, his net worth has surged to...
Bigg Boss 18: Alice Kaushik out from Salman Khan's house? Here's what we know
BIG challenge for Mukesh Ambani as Noel Tata makes this move after Ratan Tata's death, it is...
Neelam Kothari finally reveals if she was in relationship with Govinda: ‘In those days we were…’
SEBI's first reaction on Gautam Adani bribery case, begins inquiry into...
Meet Hyderabad girl who began NEET preparation in class 7, scored 99.9 percentile, secured AIR...
Badshah breaks his silence on dating rumours with Pakistani star Hania Aamir: ‘We have a lot of…’
Delhi pollution: Air quality deteriorates to 'severe' category in Delhi-NCR; AQI at 419
'I think bro is her EX': Man performs risky bike stunt with burqa-clad woman in Bangladesh, watch
Viral video: Little girl's power-packed dance to 'beer song' melts hearts online, watch
Explained: Why India must win the 1st Test against Australia in Perth
Raima Sen mourns Bharat Dev Varma's demise, pens emotional note for 'great father, great husband'
DNA TV Show: Ahead of Maharashtra poll results, MVA, Mahayuti engage in resort politics
Maharashtra: Stage set for assembly poll results; Mahayuti, MVA confident of their victories
All set for vote counting in Jharkhand tomorrow; NDA, JMM-led alliances confident of winning
Watch: Australia star inquires Rishabh Pant about his next IPL team, gets 2-word reply
Shah Rukh Khan’s house Mannat was first offered to his industry rival…, but he refused because...
The Visionary Who Promises a Blue Sky for India: Holger Thorsten Schubart’s G20 Climate Speech
The Surge of High-End Living: Luxury Residential Market to Outpace Other Segments
FeFCon 2024 to be Held in Bangalore: A Premier Event on Fever Management
'That’s wild': Noida man turns cigarette butts into teddy bears in viral video, watch
London Airport evacuates passengers over security threat, thousands stranded
The World’s First Innovative Iron Supplement to Combat Iron Deficiency and Anaemia
Meet grandmother who became fashion icon after trying on her granddaughter’s clothes
IND vs AUS: Rishabh Pant joins Virat Kohli, Rohit Sharma in elite WTC list, becomes 3rd Indian to...
'All scripted drama...': Puneet Superstar allegedly assaulted by influencers in viral video, watch
Actress Ana de Armas caught kissing Cuban President Miguel Díaz-Canel’s son in viral photos
Oreshnik's Shadow: Will Russia's hypersonic missile force west to back down?
‘You’re So Beautiful’: World’s tallest woman meets world’s shortest woman over tea, pics go viral
Delhi-NCR Air Pollution: Consequences of GRAP-4 are drastic, may have adverse effects, says SC
Delhi-NCR Air Pollution: Schools likely to stay closed till..., check city-wise update
Maharashtra: 3 killed, 9 hospitalised after gas leak at fertiliser plant in Sangli
THIS farm is selling a cup of coffee for Rs 28000, but there's a twist, it is...
Chhattisgarh: 10 Maoists killed after encounter with security personnel in Sukma
Mukesh Ambani's SUPERHIT plan for Jio users, offers unlimited 5G access for 1 year for just Rs...
IND vs AUS 1st Test: KL Rahul's dismissal sparks DRS controversy in Perth Test
Dense fog, heavy rain predicted in these states till November 25; check here
Oreshnik Hypersonic Missile: Which nations are within its range?