You'll never be able to invest like Buffett / by kevin murray

Everybody wants to make money and most people want to take the money that they have earned and make additional money from that money, which is known, as investing.  Truth be told, a lot of people, are fairly honest, at least to themselves, about how good or how poor that they are at investing, and all those that recognize that they aren't all that good at investing, have a very strong tendency to gravitate towards people that appear to be quite competent and also appear to have a history of high investment returns, which resonates especially well with people, that want to make that "easy" investing money.


Somebody like Warren Buffett, who is a billionaire many times over, and comes across with his folksy wisdom, as somebody's favorite uncle or grandfather, seems to give the illusion, that whatever that Buffett is able to do, that somebody else will be able to do just as well; but as in most things, the proof is in the eating of the pudding, and what Buffett has been able to accomplished, cannot be replicated in any way, form, or manner by the average person.


While Buffett says a lot of sensible things, such as investing in things that you know, investing in the long term, as well as the value of evaluating business prospects fairly, of buying when the stock price fundamentals are in line with the true value and growth prospects of that company, and so on.  A lot of those things do make perfectly good sense, and Buffett's holdings as disclosed through his parent company, Berkshire Hathaway are public knowledge, but to simply mirror those holdings, is to copy something, without understanding the true ramifications of what that signifies, and without knowledge as to the exit sell plans as well as the future buy plans for Berkshire Hathaway, it all becomes rather murky.


In addition, Warren Buffett, unlike the average investor, is incredibly sophisticated, knowledgeable, and works closely with a team of professionals that know exceedingly well the whole breadth and scope of the investing business; as well as being able to draw upon their considerable financial resources, experience, and leverage to make deals with companies that are frequently in some sort of difficulty, thereby providing an expressed advantage for Warren Buffett and his associates.  None of these things are going to be available for the average investor, and how much money Buffett has made, because he is able to utilize all the tools of his trade, so as to basically buy retail companies at wholesale or even fire sale prices, is obviously a huge component of how Buffett has been able to make billions upon his billions.


So too, companies that Buffett has owned for a very long time, such as Coca-Cola or American Express, are companies that have market capitalizations of billions of dollars, of which, when first bought by Buffett, they were far smaller enterprises, that are still owned by Buffett, mainly because they are leaders in their respective industries, as compared to their being able to generate consistent double-digit growth, and therefore, those now getting into these mainstream corporations, aren't so much betting on these companies, per se, but are really betting on the American and worldwide economy continuing to grow at a reasonable pace.


You can't invest like Buffett, because market conditions have changed since Buffett began his historic rise many decades ago, so that while that one door is pretty much close, no doubt, another door has been opened, and those that are able to find that door, will do just fine.