#1 Warren Buffett: Focus
This is the word Warren Buffett uses to describe himself when asked about the key to his success. He focused moe on making money than most people. A lot more than Ben Graham or Charlie Munger. Focus is also a good word to describe Buffett’s investment style. He only makes big investments on big ideas. And at some times he concentrated his investment on an industry like media & advertising in the 70s or consumer products in the 80s.
#2 Charlie Munger: Smart
I thought he’s the smartest person I knew after reading Poor Charlie’s Almanack. I like his ideas about a multi-disciplinary approach. And I like the way he waits and bets big when opportunities appear. I agree with him that diversification is to protect against ignorance. People may think he’s arrogant. I think he has earned the right to be arrogant.
#3 Ben Graham: Lazy
Actually Ben Graham did a lot of things. He wrote a Broadway play. He read French novels. He recited Spanish poets. Investing was just one of his interests. By lazy, I mean he didn’t focus on investing as much as Warren Buffett. He wanted to find a safe system for investing. But that doesn’t mean he’s not good. He’s great. He knows where to apply his system.
#4 Phil Fisher: Conviction
For all his life, Phil Fisher followed what he believed. He wanted to find companies with the capabilities to constantly find new products/services for growth. And when he believed he found the right company, he never sold.
#5 Tom Russo: Long-Term
I like his investment style. He learned to buy and hold the stocks that he understood best after listening to Warren Buffett’s talk to his Stanford business school class in 1980. He mainly focuses on food and beverage companies. And he holds for very long time. He bought one of his favorites, Nestle, in 1987. And he still owns it today. (more…)