Warren Buffet is one of the most successful businessmen, investors, and philanthropists in America. He is also acknowledged as a self-made multi-millionaire and controversially the most talked about share market investor of this generation. As of August 2020, his net worth stood at 79 billion dollars which made him the seventh wealthiest man in the world.
Early life and education
Buffet was born in 1930 to Howard and Leila Buffet. Warren showcased his entrepreneurial interest at an early age. He bought his first shares when he was 11 years old and as he was growing up, he kept investing in different businesses. His father, Howard, had a small brokerage house which had a great impact on the young Buffet. He would use most of his free time listening to investors’ frantic work and chatter which gradually drew him to the business.
Warren Buffet attended Rose Hill Elementary School in Nebraska and eventually graduated in 1947 from Woodrow Wilson High School. Some of his high school classmates have mentioned that he had a book where he had written “ I am the future broker”. This clearly indicates that he was drawn to investing at a tender age. During his Sophomore year, he and his friend started a business. They purchased a pinball machine and placed it near a barbershop. After a few months, Warren and his friend owned several machines and they placed them in different local barber shops across Omaha. They later sold their business to a retired soldier for $1200.
Buffet wanted to drop out of school and focus on business but his father insisted on completing his education. He hesitantly agreed to study at the University of Pennsylvania but he later finished his degree in business at the University of Nebraska.
Career
Warren commenced his career as an investor and later joined his mentor, Graham, also known as the dean of wall street to form a business partnership in 1956. In one interview, he said he saw an incredible investment opportunity in a textile company in England known as Berkshire Hathaway,in1962. Buffet managed to transform the business into a major holding company. Currently, he is the chief executive officer and chairman of Berkshire Hathaway company. He became a multi-millionaire when the company commenced investing in class A shares. That was in the year 1990.
Warren is also involved in numerous philanthropic activities and without a doubt much of his income goes to his several charities. It is reported that nearly all of his wealth is directed to his philanthropic works, mostly via Bill & Melinda Gates Charity Foundation. He is also one of the co-founders of the Giving Pledge, where multi-millionaires pledge to give out at least a quarter of their wealth to socio-economical wellbeing activities.
Conclusion
Mr. Warren Buffet did his best in his journey of investing by knowing the value of an investment at an early age. He was able to spot a potential opportunity and turn it into a massive and successful ideal. The best example is how he managed to transform Berkshire, which was once a low-value potential business into a lucrative major business. Currently, it is one of the biggest conglomerate-holding entities with companies interests in different corporates.
There is an important lesson that we can learn from Warren Buffet’s success story. He provides us with the lesson that knowledge is an excellent tool for success. Knowledge, if used properly, can be used to make powerful decisions that one can utilize in creating and maintaining wealth. In general, Warren’s life is an excellent definition of not giving up. It teaches and encourages us to start small and seek the knowledge of making it big in our area of expertise.
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