Give you a chance to become Buffett, would you like

  Buffett chose to dissolve the fund in 1969 because three conditions were met at this time.
  Condition 1: Buffett has accumulated a fortune of 26.5 million US dollars through the 13 years of customer financial management. This gives the 39-year-old Buffett the ability to get rid of client funds.
  Condition 2: From becoming a student of Graham to 1969, the Dow Jones index has risen five times, and it is difficult to find enough cigarette butts in the market to allocate over 100 million US dollars of huge funds. He had to face a choice: either abandon the cigarette butt stock model or reduce the size of his capital.
  Condition 3: Under the continuous promotion of Charlie Munger for 10 years, Buffett’s eyes are no longer limited to cigarette butt stocks. He has begun to consider a long-term coexistence model with great companies.
  As Buffett said: “It was Charlie who pushed me to evolve from ape to man in the investment field. Without him, I would be much poorer than I am now.” In Buffett’s life, Munger is indeed the closest partner and even a friend. It is jokingly called “Siamese Babies” with relatives. However, their outlook on life is actually quite different.
  Buffett is a super dedicated person, his love and devotion to investment, almost no one can compare, including Munger. People often notice Buffett’s dazzling brilliance in the investment field, but it is difficult to notice his dedication. Frankly speaking, if a fairy tells me at this time, as long as I am willing to live a life like Buffett, I will immediately get 600 billion yuan (approximately equivalent to Buffett’s net worth in 2019). I will not accept this deal. I guess You will not be willing to accept it.
  600 billion yuan, more than the total wealth of Ma Yun and Ma Huateng, can be ranked first in China and third in the world. In order to imagine how big this number is, you can assume that 10 million yuan is burned every day—that’s 230 kilograms of hundred yuan bills. It is probably necessary for the grandfather’s grandfather generation to start a fire in 1854, and it burns throughout the year to this day. This also requires 600 billion yuan of interest-free, otherwise, at an annual rate of 3%, nearly 50 million yuan of interest will be generated every day.
  Why did Lao Tang refuse to accept this deal? Let’s take a brief look at Buffett’s life.
  Except for donations for charitable purposes in his later years and a small gift of shares to three children, Buffett has never sold Berkshire stock in his lifetime. And Berkshire only implemented a dividend of $0.1 per share in 1967, allowing Buffett to receive less than $50,000 in dividends. This means that in the more than 50 years since entering Berkshire, Buffett has hardly extracted any material benefits from this huge pile of wealth. How does Buffett support his family? There are mainly three well-documented aspects: one is the salary of the chairman of the board. In the early stage, the annual salary was 50,000 US dollars, which has been raised to 100,000 US dollars from 2019, which has not changed. The second is Buffett’s tenure as a company Directors have a small amount of director allowances each year; the third is that Buffett keeps a small amount of personal investment, which is less than 1% of his net worth.
  Buffett’s wife, Susan, is a master at spending money. At the 1999 Vesco Company’s shareholders meeting, some shareholders asked Munger how he evaluated Buffett’s small investments in cigarette butts. Munger replied slightly jokingly: “You know, Warren is paid very little at Berkshire. He has a wife who can spend money, and she has her own Knight Jet private jet, and she has her own private jet. Ren has some other expenses. Therefore, it is better for Warren to have some private investment. He can buy some cigarette butt stocks to reminisce about the old days and keep him happy.”
  As for Buffett’s own consumption, it can be judged as “just to live.” “. When it comes to eating, it will always be a combination of burgers, steaks, sandwiches, and cola. For more than 50 years, I bought a McDonald’s breakfast on the way to work, whether it was a $2.61 or a $3.17 package, depending on how much change the lady puts in the armrest box. He never cared about wearing it. If no one cares, he can even go out wearing two different styles of leather shoes. Anyone in the house who sees Buffett while doing laundry will catch him and order him to change his clothes. In terms of housing, a house bought for $31,500 in 1958 is an ordinary middle-class house and has been living until now. In terms of business, in 2014, my daughter protested that he continued to drive a broken car, which was embarrassing. It cost 45,000 US dollars to buy the current Cadillac XTS (currently priced at about 300,000 yuan in China). Regarding family affection, I will always read when I go home, and I will always have the company and data in my head. I never noticed the existence of my wife and children, and my two children and one daughter failed to finish college. Of course, after 1999, Buffett allocated funds to set up a foundation for all three children, which is considered to have a decent life in middle age.
  This kind of life is roughly equivalent to “ordinary middle-class bald man + a giant gold brick that can never be moved in the basement”! And this giant gold brick has been determined to be donated to various charitable funds in batches 10 years after Buffett’s death. Therefore, the huge wealth that Buffett has devoted his life to creating is essentially a value. Munger described it like this: “Wealth is a forum. The larger the value of wealth, the higher the forum, and the more people will come to listen.” In other words, the value of wealth to Buffett satisfies Buffett’s mission to more people. desire.
  With the growth of wealth, the number of participants at Berkshire’s general meeting of shareholders has gone from 8 people in 1970 to more than 50,000 today. More and more people gathered at the forum to listen to the lecture. This level of personal sacrifice was exchanged for Stand on the forum to teach and ask yourself, is it what you want?

error: Content is protected !!