文档介绍：WISDOM IN A NUTSHELL
PRESENTS
INSIDE THE GURU MIND SERIES
Warren Buffet
The Man Who Made Billions With A Unique
Investment Strategy
By
Robert Heller
Published By Dorling Kindersley Ltd., London 2001
ISBN: 0789451573; 1st edition (April 1, 2000)
112 pages
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Warren Buffet Page 2
The Buffet Fundamentals
Warren Buffet discusses his unique investment principles, the factors he considers when
determining the real value of a business and his post-acquisition management style.
Assessing the Value panies
Finding the Diamond in the Rough
How to Identify panies
Buffet selects investment targets through relatively simple criteria. First, he scrutinizes
companies in non-financial terms:
1. Is it simple and understandable?
• Buffet believes that if you do not understand the business, you cannot make a rational
judgment regarding its real or intrinsic value.
• This principle limits Buffet from participating in high-panies such as Microsoft.
However, he is quick to point out that many other opportunities exist where growth rates are
just as appealing.
2. Has it consistently delivered above-average performance?
• Buffet believes that the probability of a pany turning good is much lower than the
probability of a pany remaining good.
3. Does it have favorable long-term prospects?
• Buffet studies the quality of pany’s leaders when determining its future.
- Does management make rational decisions?
- Are its leaders honest with its shareholders?
- Does management resist the temptation to imitate other management practices and
policies, whether they are applicable or not?
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