Quote:
Originally Posted by bdub
That's a common misconception on Warren Buffet and Berkshire's strategy. His message to investors is they are better off to by a broad market index fund and stick it out if they don't/can't do the hard work of making investment decisions. Buffet is always adjusting his portfolio, adding and selling and even eliminating entire positions. Right now Berkshire is sitting on about 130 billion in cash, 25% ish.
https://www.dataroma.com/m/holdings.php?m=BRK |
Of course he also says that almost no professional fund manager will beat the indexes in the long run, and that it's not a matter of not doing the 'hard work' of making investment decisions. It's the fact that to actually beat the markets you'll be a statistical anomaly. It's rare professional fund managers do it, and even more rare the average joe will do it. Of course someone's gotta be exception.