@@muffemod Warren has been critical of some of Apple's investments/decisions. Going into the streaming business was one of those, saying there was too much competition there.
@@muffemod right, not always, but if you have 10 stocks and 3 of them go up 15x or 20x or 60x (Apple or Amazon), then the other 7 stocks can go to $0 (although unlikely), and then you still come out beating the S&P 500 big time
@@winterheat Yes, but that's easier* said then done. Why pick 10 stocks when you can just pick the best 1 stock? You would have to identify and invest in those companies that 15x, 20x, 60x, BEFORE they had those returns. Most professionals can't identify them (which leaves even less hope that you or I could either). This is why the case is made to hold all of them. 7 stocks going to $0 is actually very likely, seeing as the most common long term return for any individual stock is -100%. Only 19 of the top 100 companies that existed in 1900 are still around today. The whole point of buying the S&P500 is that you own them all and you don't need to pick 10. You increase the reliability of your outcome as you increase the number of companies you diversify in. When you take a concentrated position you will either underperform or outperform the S&P500. Seeing as greater than 95% of actively managed funds who attempt to do this fail to beat the index you're better off not trying (see SPIVA report). But then you even have to ask, why are you trying to beat the S&P500? Beating the S&P500 is not really a sensible investment goal. Saving up for a house, retirement, kid's college, etc are investment goals. What are you trying to achieve that can't already be done through investing in the S&P500?
I wasn't financial free until my 50’s and I’m still in my 50’s, bought my third house already, earn on a monthly through passive income, and got 4 out of 5 goals, just hope it encourages someone that it doesn’t matter if you don’t have any of them right now, you can start TODAY regardless your age INVEST and change your future! Investing in the financial market is a grand choice I made.
hi, im 16 years old and im wondering if you have any advice financially. I am looking to invest/ trade but im not sure what to do. any response would be greatly appreciated.
@@robbomaxtips from a 37year old: - Make investing AND saving a habit. - know the difference between long/short term capital gains, and portfolio/passive income. Invest accordingly. - read rich dad poor dad - be objective NOT emotional with your investments.
@@robbomax The stock market is a CIRCLE. DO NOT sell when it goes down. When you lose money on solid stocks -- > HOLD the stocks and eventually they will come back up in value. Go to Charles Schwab or Bank of America (ask for Merrill Lynch) and use a couple hundred dollars to buy Apple and VOO. Both pretty solid. Grow from there! But NEVER sell if the price drops... just Hold.
To the point and detailed. I came here my mind telling "OK lets see what tip that i've heard many times in other videos are here" and i certainly learned some cool stuff. Will watch it again and again. New suscriber by the way
Here’s one: since most first time investors lose their shirt, wear your worst shirt the first time you invest (wear a shirt you don’t mind losing-and definitely don’t wear your best or only shirt). When I was talking to my wife about this, she said it reminded her of painting days. The first time our kids painted in school we sent them in in clothes they could get paint on. Something they could live without. The Mistake: 1. Wearing your best shirt (or only shirt) the first time you paint. (Wear something you can part with).
I’m a noob who has been getting very excited getting started in investing right at the time nvidia was at $600 and watching this company shoot up in an unprecedented way. This video has been really insightful in that it shows how much more there is to learn and how easy it is to avoid the mistakes that others have made. Thank you!!
My favorite books to read are as follows. 1. How to make money with stocks by William J O'Neil great book explains the market teaches you to a analyze companies and lots of other stuff. It teaches the CANSLIM technique. I couldn't see it but it helped me out tremendously. 2. The Intelligent Investor by Benjamin Graham this book goes through the history of the market plus its Warren Buffet old mentor. 3. Money Mastering the game 7 step to financial freedom by Tony Robbins. These books are great and highly recommend.
With this trader, you will both learn and earn and, importantly, receive advice. Everything is competent and clear, without a bunch of any unnecessary movements! Keep up the good work!
I really value the quality of your videos over the quantity of how many you produce. 1 video of excellent presentation, education, condensed wisdom, and aesthetic drawings that are easy to follow, beats 100 hours of low quality content. Look forward to your next one, and thanks for the learning. Long time subscriber
I agree. Very nice presentation, clear and poignant language, Excellent work on reference to real world examples. Nice angle using W. Buffet clips to support the narrative. 👍
Thanks man. My primary mistake is in the "due diligence" area, but maybe not the way most people think: I missed some intel on upcoming law suits for companies.If i caught those, i could have gotten a much better price or wouldn't have bought two companies altogether. Luckily, until i'm stupid enough to realize these losses, i'm probably good. So yeah, folks: Watch out for stuff beyond the financial fundamentals. It can save/make you some money...
The trick is if it a good company its a good company if you buy high thats fine just keep buying and the highs and lows will average out and if its a good company the average will ammount to increasing gains over a period. "Dont hold a stock for 10 minutes if your not willing to hold it for ten yrs"-Warren Buffet
Well explained. Thanks for bringing up the video. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject
Most people think, investing in crypto is all about buying coins and leaving it to rise, come on it takes much analysis to be a successful crypto trader.
The trouble is that 1% of the people who think they have the proper knowledge to be picking stocks actually do. Just invest in a nice index fund early and often and enjoy the wealth that follows.
"Buy low, sell high" is cliché, but still the probably the best investing advice ever. It makes perfect sense to look at a stock's graph (1 - 3 year range) and wait for a dip before investing. This is why brokerage firms offer price alerts. Those who say you shouldn't try to "time the market" are usually people who have a financial interest in people investing in the market right NOW. Wait for a dip!! It's just common sense.
Great video and presentation skills. The content helped me to stay focused on important and knowable topics in investing and to fine-tune and complete my investing strategy. I must admit, as an engineer I go way too much into details and make things complicated. I always have to remind myself the K.I.S.S. principle. Thank you
Cheers B. D. for your support, I appreciate it a ton! It might be that the K.I.S.S. principle is extra important for us engineers, as I feel that this is the hardest one to get right too. Best of luck with your investments!
The hardest thing about evaluating companies is evaluating their management. Peter Lynch used to visit their home office. He would look at their board room and if it had a huge expensive table he would pass on the company.
He can dig deeper since he has a lot of money to offer. The business welcomes him in with a red carpet and calls him Sir Lynch and they give him a sheet of their business Plan. We normal investors barely maek a dent in the company finances, in fact we're benefitting more than the company usually lol. so they cba telling us what colour their shite was this morning never mind any of their deeper business processes like manufacturing, couriers, accountancy,
Props to this video for breaking down Warren Buffett's top investor mistakes. It's a reminder to stay focused on what matters: the individual businesses. Speaking of smart moves, My Digital Money is revolutionizing retirement planning with crypto IRAs.
Financial peace isn't the acquisition of stuff. It's learning to live on less than you make, so you can give money back and have money to invest. You can't win until you do this. --Dave Ramsey
Excellent video. Out of the 12 takeaways, the Missing the Forest for the Trees is the key one for me. thanks for putting this video up @The Swedish Investor (aware you can't tag on TH-cam haha!). Also the comment section is full of bots?!😭😭
Wow! I absolutely loved that video! I wish I could have followed all this advice 20 years ago. I would be much better off because I think I made almost all 12 of those mistakes repeatedly. THANKS 👍😀
Instead of buying individual stocks, I'd just buy a low-cost S&P 500 index ETF. I can't pretend to be Warren or Charlie. In fact, Warren advised just doing that for the trustee of his will.
I came across your channel through this video-case studies are incredibly valuable, and I'm eager to see more in the future! Building wealth involves establishing routines, like consistently setting aside funds at regular intervals for smart investments.
The stockmarket is at near record levels - despite high interest rates and inflation. Buffett is hoarding over $150 Billion in cash (via Berkshire). You're telling me he's not trying to time the market? In the 1970s, Buffett sold everything and closed his investment partnership before the crash. Buffett also held onto a record amount of cash before the GFC and only invested during and after the crash in 2008/2009.
I believe the lesson to be learned is that while you can't time the market with pinpoint accuracy, you can realize when it's becoming too expensive. That's why you should have a significative portion of your investing portifolio allocated to high liquidity bonds. For the sake of simplicity let's say 80% stocks and 20% bonds. When you're doing your 1k montly contribution, if the ratios are 15% 85% you will want to allocate more into the bonds than the stocks, so you will have money to when the market corrects.
It’s bargain season for him in bear markets. He has a good idea of what companies are actually worth. He sees them as being on sale. He likes to have some cash available for when those moments arrive.
These Swedish Investing videos continue to be my absolute favorite investing videos. Very educational, the right level of detail and exceptionally well done. I’ve started watching them with my children as well. Thank you so much!
In the past, I would put TONS of research into each company. Like you said, it's a complete waste of time. What I should be asking is whether the management is good and whether I trust them. If management is good, they will solve problems as they happen. I've found that earnings calls are extremely important because you can hear their voices. You can hear when management is afraid, you can hear when they are excited. You can hear the apprehension. You can hear them struggle to answer questions. A lot of the callers ask great questions like "why are you taking on more debt at this time?" or "would you consider suspending the dividend to pay down debt?" and then you can hear the management practically flailing their arms and stammering about how it's a good idea and how everything will be just fine. You should skim the earnings reports for words like "payout" or "covenant" to make sure it's not a trap, but listen very carefully to the earnings call.
An opinion on Elon Musk & Tesla. I’ve seen Charlie Munger talk about Musk and he said that he wouldn’t buy Tesla but he also wouldn’t short it. He added thoughtfully that he also believed you should, ‘Never underestimate the man who overestimates himself’ and that while (Charlie thinks) Elon Musk overestimates himself from time to time he may not be wrong. I saw a video with Jordan Peterson today saying that, it wasn’t obvious to him (to Peterson), that he was in a position to estimate Elon Musk. Smart people are very, very careful and very circumspect (rather than definitive and conclusive) about Musk and his ventures. It’s like playing a game of poker in which jokers and aces (and maybe kings) are wild. It’s not the kind of game Berkshire Hathaway would play precisely because they recognize that the outcome is unpredictable… but they are totally aware (or at least suspicious) that he may have an ace up his sleeve.
I think that another big mistake is to assume that rules that works for a star (like Warren Buffet) will work for you as well. Everybody has individual set of skills, amount of time willing to spend and goal to achieve. And I would really argue with assumption that price relative to what was some time ago doesn't matter. Probably most of people on stock markets are buying what gets more expensive or trying to predict future price based on graph shape. There is also growing trend for High Frequency Trading (similar, but automatized). So maybe it wasn't like this before, but surely relative price matters in the short term. And honestly, if you are not so knowledgable about buisness but know some maths, maybe it's better to do what you can do? Especially that now we have computers, big data and trading APIs, assumption to divide by 3 instead of pi might be wrong nowadays as well.
I work a lot with stop losses and trailing stop losses these days, and in some of the examples the dudes and girls should have just taken profit. Here your entry point totally matter. I'm a bit impatient on the buy side but now I just use more alerts. The Walmart example is an opportunity cost, Buffet didn't like Bitcoin which is a much bigger opportunity cost. In conclusion, great general advice to consider, but not the only rules to possibly play by. I pay a bit for a sophisticated Quant service and this helps me make decisions. Simple DCF value calculations for value investing just doesn't work in many industries. Even if I would research a stock an entire day I doubt my outcomes would improve a lot, I rather overdiversify than sink 17% of my entire cash in just one stock.
Technical analysis is woodoo. Pseudoscientific nonsense. In the rare cases where it does seem to work it's actually the psychology of a 1000 other TA-freaks looking at the same graphs that unconsciously synchronize their actions and thus create short term ripples in the market. The market has no memory, you can learn exactly nothing from studying those graphs.
So enjoyable and instructive. Would love to hear your analysis on one of your 10 stocks. I like and try using the punching card analogy: only 10 goes at it and cannot take them back, ever.
Here's a suggestion for No. 13: Throwing good money after bad money. In other words, investing more money into a failing investment to try and prove that you were right.
True, but that's kinda covered by the fact that your buying price is irrelevant. The market has no memory, the only relevant factor is future expectations.
man... just wanted to say, huge thanks for sharing the knowledge, and congrats on an AMAZING channel! Already recommending it to lots of friends! Really cool indeed, i mean it. Keep it up! Salute all the way from Brazil!
I love this video, it's factual and unbiased. I admit that I'm not a very good stock picker, that's why my portfolio is about 70% ETFs and only 30% individual stocks.
I was just starting out in investing when weed stocks were hot in Canada and I wound up listening to a coworker’s advice to buy into it because legal weed was only just getting started and it could only keep going up from here. Luckily I only put $200 in and today that investment is worth one dollar and forty-two cents. In some ways that was the best $200 I ever spent because I learned a very valuable lesson there, one I’ve not had to learn a second time.
Great presentation and editing. The way the information is explained is so clear that even my young daughter understands the points. Her education is of course very important to me. Thank you.
@@TheSwedishInvestor Hey I really enjoy your videos and I have been learning about investing quite a bit in large part thanks to your videos. I am quite good at getting into the right mindset and understanding Bussineses but what I really struggle with I finding Information about Bussineses in order to properely understand them. Do you have some Tipps where you look to find Information? And what Numbers and hints you fokus on to make an Informed decision about a company. Thanks
Looks like Arnold is also underwater with his AMZN investment now.. 😂 Great video by the way! I saved it in my library, this is the kind of video that needs to be watched again and again from time to time. Biggest mistake in investing is when you think nothing can go wrong, there’s always something that can go against you.
@@TheSwedishInvestor it was example #2, Arnold was up 5% on his Amazon investment since June 2022.. thanks for the great contents, look forward for the next ones! :)
Great information. I like how you distil large amounts of data and present it in a storyline. What video editing software are you using to create the animations for your videos?
I rarely comment on youtube videos and don't even like or subscribe to most channels I watch, because youtube keeps recommending me good videos. but decide to do all that for your channel right now, for one single reason. the funny thing you did in your video. 3. aggressive growth projection, when you started drawing the line for tesla at the chart and went out of the chart to block to the page. that was a really fun but valid joke. keep doing jokes like that in these types of information videos. bound to get more people like me to sub for you as well. keep up the good work. bye
That's not contradictory at all. "You can't predict what the broader market will do" and "wait for good opportunities to arise" are not concepts that are at odds with each other. In fact, Buffet and Munger say all the time that they don't concern themselves with the macro state of the market when making investment decisions.
As usual! Great video! One thing that's so distracting though is the sheer amount of snacks that show up when you cut over to warren buffett photos and videos. e.g., going from 1 -> 3 you see the table just slowly filling up with more and more snacks! Totally irrelevant to the video but I found it super amusing! I hope I can really leverage these insights. Particularly #5 of seeing the forest.
Here are some other mistakes: 1. Listen to one sentence quotes of Buffett! (Life is more complicated than grandpa is telling you) 2. Trying to do what Buffett does. (You don't have so much money, network, influence, team, cash flow and so on) 3. Don't try to predict where a company will be in 10 years! (Many value investors have the tendency doing this. Use instead year after year.) 4. NOT timing the market. (Not only business (economical) cycles exist, but also cyclical businesses, for example commodities, energy, semiconductor. I don't say you can - perfectly - time something, but ignoring macro factors totally is like ignoring the weather when you go sailing.) 5. Circle of competence is a dead trap! (Competence is not a fixed value. It is always in comparison to others. It is easy to feel smarter than everybody else around if noone is interested in the topic you are talking about. Knowing more than others does not mean you know enough to make a decision!)
Warren preaches to everyone not to use leverage to invest yet Charlie Munger was well renowned in his early investing days of using massive leverage (aswell as most of his savings on a 'sure fire certainty)'! Warren has also recalled a time he invested with leveraged money to buy a share in his personal portfolio.
I did buy stocks with leverage the whole october 2022, and so far I managed to get an almost 200 percent return on my 60 dollar investment in a bear market. It is possible to leverage with a smaller risk. I recommend only using 10-30 percent of total capital. In my case I started with 60 usd and now its grown to 177 usd.
Great video! Watched it a second time to take notes. “Spend at least as much time thinking about what could go wrong with your investments.” This is the job of Charlie Munger at Berkshire :) Saying “no” to almost everything Warren discusses with him.
Very beautiful cartoons, it remains complicated the art of investing, he started at 11 years old, didn't know you could open an brokerage account ar that age...lol...
I made 11k from a random $400 I put on SONM a few days ago , I have 5 top projects companies I DCA into but I expose a few hundred bucks each to about 35 others
@The Swedish Investor hope you are doing well mate. Continue to make value content and hope to see more of your videos during winter season, as ppl spend more time home. Cheers.
The hidden secret is you don't actually enjoy what you invest in. Don't time the market means , it's very very long term. Only patient investors enjoy the rewards.
It means if you are already rich and you dont care, you buy shares for 1 million, it will go up to 1,5 million eventually, at least thats how it used to be. Warren Buffet was born in the right time into a rich family.
Any of us could retire rich with a little sacrifice. Nobody wants to sacrifice tho. Don’t eat out that’s $70 a week. No car payment that’s $450 a week.
There's a lot of potential in the market. My friend introduced me to a financial advisor in 2021, and even though I was skeptical, I went on. I finally was making enough monthly dividend to quit my soulless job and pursue my dream to start a restaurant in New Jersey and still earn five figures in monthly dividends
For my private stock portfolio & revealing insights into my investment strategy, head over to: www.patreon.com/TheSwedishInvestor
D: 42
I understand the reference and love you for it.
But Tesla is not only cars.
"If a company is good, sooner or later the share price will follow.” -Warren Buffett.
"Good Companies Don’t Always Make Good Investments." - History
@@muffemod E.g iPhone was a Nokia killer
@@muffemod Warren has been critical of some of Apple's investments/decisions. Going into the streaming business was one of those, saying there was too much competition there.
@@muffemod right, not always, but if you have 10 stocks and 3 of them go up 15x or 20x or 60x (Apple or Amazon), then the other 7 stocks can go to $0 (although unlikely), and then you still come out beating the S&P 500 big time
@@winterheat Yes, but that's easier* said then done. Why pick 10 stocks when you can just pick the best 1 stock? You would have to identify and invest in those companies that 15x, 20x, 60x, BEFORE they had those returns. Most professionals can't identify them (which leaves even less hope that you or I could either). This is why the case is made to hold all of them.
7 stocks going to $0 is actually very likely, seeing as the most common long term return for any individual stock is -100%. Only 19 of the top 100 companies that existed in 1900 are still around today.
The whole point of buying the S&P500 is that you own them all and you don't need to pick 10. You increase the reliability of your outcome as you increase the number of companies you diversify in. When you take a concentrated position you will either underperform or outperform the S&P500. Seeing as greater than 95% of actively managed funds who attempt to do this fail to beat the index you're better off not trying (see SPIVA report).
But then you even have to ask, why are you trying to beat the S&P500? Beating the S&P500 is not really a sensible investment goal. Saving up for a house, retirement, kid's college, etc are investment goals. What are you trying to achieve that can't already be done through investing in the S&P500?
I wasn't financial free until my 50’s and I’m still in my 50’s, bought my third house already, earn on a monthly through passive income, and got 4 out of 5 goals, just hope it encourages someone that it doesn’t matter if you don’t have any of them right now, you can start TODAY regardless your age INVEST and change your future! Investing in the financial market is a grand choice I made.
hi, im 16 years old and im wondering if you have any advice financially. I am looking to invest/ trade but im not sure what to do. any response would be greatly appreciated.
@@robbomaxtips from a 37year old:
- Make investing AND saving a habit.
- know the difference between long/short term capital gains, and portfolio/passive income. Invest accordingly.
- read rich dad poor dad
- be objective NOT emotional with your investments.
@@robbomax The stock market is a CIRCLE. DO NOT sell when it goes down. When you lose money on solid stocks -- > HOLD the stocks and eventually they will come back up in value. Go to Charles Schwab or Bank of America (ask for Merrill Lynch) and use a couple hundred dollars to buy Apple and VOO. Both pretty solid. Grow from there! But NEVER sell if the price drops... just Hold.
@@robbomax gamestop to the moon!
To the point and detailed. I came here my mind telling "OK lets see what tip that i've heard many times in other videos are here" and i certainly learned some cool stuff. Will watch it again and again. New suscriber by the way
You saved me from 2800% my money on nvda thank you!
#13 - FOMO - This was where I personally have made my biggest losses!
Here’s one: since most first time investors lose their shirt, wear your worst shirt the first time you invest (wear a shirt you don’t mind losing-and definitely don’t wear your best or only shirt). When I was talking to my wife about this, she said it reminded her of painting days. The first time our kids painted in school we sent them in in clothes they could get paint on. Something they could live without. The Mistake:
1. Wearing your best shirt (or only shirt) the first time you paint. (Wear something you can part with).
This went over my head
I’m a noob who has been getting very excited getting started in investing right at the time nvidia was at $600 and watching this company shoot up in an unprecedented way. This video has been really insightful in that it shows how much more there is to learn and how easy it is to avoid the mistakes that others have made. Thank you!!
I used to call kids noob in AQW
good times
Sell
My favorite books to read are as follows. 1. How to make money with stocks by William J O'Neil great book explains the market teaches you to a analyze companies and lots of other stuff. It teaches the CANSLIM technique. I couldn't see it but it helped me out tremendously. 2. The Intelligent Investor by Benjamin Graham this book goes through the history of the market plus its Warren Buffet old mentor. 3. Money Mastering the game 7 step to financial freedom by Tony Robbins. These books are great and highly recommend.
How you been feeling lately?
With this trader, you will both learn and earn and, importantly, receive advice. Everything is competent and clear, without a bunch of any unnecessary movements! Keep up the good work!
Thanks for putting efforts summarising Buffet's greatest advise
I really value the quality of your videos over the quantity of how many you produce. 1 video of excellent presentation, education, condensed wisdom, and aesthetic drawings that are easy to follow, beats 100 hours of low quality content.
Look forward to your next one, and thanks for the learning.
Long time subscriber
Wow, thank you Jai Geyer! I really appreciate your support!
true
This is a great video, so much thought and effort has definitely been put to good use. 🎉
Thanks!!!!!🙏
This is the best investing video i have found so far in the investing world
This is the best investing video I've ever seen...and I've watched a boat load of them! Very helpful. Thank you.
Agreed
I agree. Very nice presentation, clear and poignant language, Excellent work on reference to real world examples. Nice angle using W. Buffet clips to support the narrative. 👍
Agree
Your videos are fantastic. One might know these rules, but forget them when it's important.
So true. Emotion takes over
Thanks man. My primary mistake is in the "due diligence" area, but maybe not the way most people think: I missed some intel on upcoming law suits for companies.If i caught those, i could have gotten a much better price or wouldn't have bought two companies altogether. Luckily, until i'm stupid enough to realize these losses, i'm probably good. So yeah, folks: Watch out for stuff beyond the financial fundamentals. It can save/make you some money...
The trick is if it a good company its a good company if you buy high thats fine just keep buying and the highs and lows will average out and if its a good company the average will ammount to increasing gains over a period. "Dont hold a stock for 10 minutes if your not willing to hold it for ten yrs"-Warren Buffet
yes but law suits can completely spank a company out of the market@@lets-have-a-conversation
I've kept up with Warren Buffett since I was a kid so about 30 years
Are you rich now?🎉
Newbie here in stock market. Thanks for sharing your thoughts and experiences.
Well explained. Thanks for bringing up the video. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject
Trading in bitcoin now is the widest thing to do now especially beginners
Most people think, investing in crypto is all about buying coins and leaving it to rise, come on it takes much analysis to be a successful crypto trader.
Thank you for your videos and helping me stay focused and grounded! Thank you
The trouble is that 1% of the people who think they have the proper knowledge to be picking stocks actually do. Just invest in a nice index fund early and often and enjoy the wealth that follows.
This. It's really that simple.
@@Brian-ro7st you’re just as crooked as the rest promoting your investment lol
@@jaycezeniuk2506 I don’t follow whatever you’re trying to say here
@@jaycezeniuk2506 what do you mean?
What about owning actual stock?!
"Buy low, sell high" is cliché, but still the probably the best investing advice ever. It makes perfect sense to look at a stock's graph (1 - 3 year range) and wait for a dip before investing. This is why brokerage firms offer price alerts. Those who say you shouldn't try to "time the market" are usually people who have a financial interest in people investing in the market right NOW. Wait for a dip!! It's just common sense.
Depends on whether you're trading, or actually investing (long-term). Buffett is always speaking to investors.
Great video and presentation skills. The content helped me to stay focused on important and knowable topics in investing and to fine-tune and complete my investing strategy. I must admit, as an engineer I go way too much into details and make things complicated. I always have to remind myself the K.I.S.S. principle. Thank you
Cheers B. D. for your support, I appreciate it a ton! It might be that the K.I.S.S. principle is extra important for us engineers, as I feel that this is the hardest one to get right too. Best of luck with your investments!
Nice content that you translate what Warren Buffet said, because I personally sometimes don't really understand what Warren Buffet mean is.
"Real estate is the most tangible and time-tested asset class. It's not about timing the market; it's about time in the market." - Warren Buffett
Investing with Chinese characteristics 🙂
The hardest thing about evaluating companies is evaluating their management. Peter Lynch used to visit their home office. He would look at their board room and if it had a huge expensive table he would pass on the company.
He can dig deeper since he has a lot of money to offer. The business welcomes him in with a red carpet and calls him Sir Lynch and they give him a sheet of their business Plan.
We normal investors barely maek a dent in the company finances, in fact we're benefitting more than the company usually lol. so they cba telling us what colour their shite was this morning never mind any of their deeper business processes like manufacturing, couriers, accountancy,
high quality content plus its very easy to follow thank you.🙂
Props to this video for breaking down Warren Buffett's top investor mistakes. It's a reminder to stay focused on what matters: the individual businesses. Speaking of smart moves, My Digital Money is revolutionizing retirement planning with crypto IRAs.
Great format and a very useful information. Thank you! :)
My favourite channel on whole TH-cam
The highest quality investing videos out there. Sluta aldrig med det här
Thank you.... For help/guidance on creation/investment/financial portfolio.
My biggest mistake was not vetting who I was listening to. Warren has been the gold standard of advice.
Financial peace isn't the acquisition of stuff. It's learning to live on less than you make, so you can give money back and have money to invest. You can't win until you do this. --Dave Ramsey
True.
You really got some excellent clips of Buffett and Munger! Really nice work putting that together. A++ work! 👏
Excellent video. Out of the 12 takeaways, the Missing the Forest for the Trees is the key one for me. thanks for putting this video up @The Swedish Investor (aware you can't tag on TH-cam haha!).
Also the comment section is full of bots?!😭😭
Wow! I absolutely loved that video! I wish I could have followed all this advice 20 years ago. I would be much better off because I think I made almost all 12 of those mistakes repeatedly. THANKS 👍😀
Instead of buying individual stocks, I'd just buy a low-cost S&P 500 index ETF. I can't pretend to be Warren or Charlie. In fact, Warren advised just doing that for the trustee of his will.
Spot on. That's the way to go for individual investors.
I came across your channel through this video-case studies are incredibly valuable, and I'm eager to see more in the future! Building wealth involves establishing routines, like consistently setting aside funds at regular intervals for smart investments.
The stockmarket is at near record levels - despite high interest rates and inflation. Buffett is hoarding over $150 Billion in cash (via Berkshire). You're telling me he's not trying to time the market? In the 1970s, Buffett sold everything and closed his investment partnership before the crash. Buffett also held onto a record amount of cash before the GFC and only invested during and after the crash in 2008/2009.
Best comment of the day.Warren Buffet is full of crap many times.
Watch what he does, not what he says
I believe the lesson to be learned is that while you can't time the market with pinpoint accuracy, you can realize when it's becoming too expensive.
That's why you should have a significative portion of your investing portifolio allocated to high liquidity bonds. For the sake of simplicity let's say 80% stocks and 20% bonds. When you're doing your 1k montly contribution, if the ratios are 15% 85% you will want to allocate more into the bonds than the stocks, so you will have money to when the market corrects.
It’s bargain season for him in bear markets.
He has a good idea of what companies are actually worth. He sees them as being on sale. He likes to have some cash available for when those moments arrive.
What's the amount of cash he holds like relevant to the value of his holding now when compared to in the past?
Absolutely lovely round up of critical things.
These Swedish Investing videos continue to be my absolute favorite investing videos. Very educational, the right level of detail and exceptionally well done. I’ve started watching them with my children as well. Thank you so much!
I appreciate it a ton Michael Taylor! I hope they'll become exceptional investors 🙌
Thank you.... For help/guidance on creation/investment/financial portfolio.
In the past, I would put TONS of research into each company. Like you said, it's a complete waste of time. What I should be asking is whether the management is good and whether I trust them. If management is good, they will solve problems as they happen. I've found that earnings calls are extremely important because you can hear their voices. You can hear when management is afraid, you can hear when they are excited. You can hear the apprehension. You can hear them struggle to answer questions. A lot of the callers ask great questions like "why are you taking on more debt at this time?" or "would you consider suspending the dividend to pay down debt?" and then you can hear the management practically flailing their arms and stammering about how it's a good idea and how everything will be just fine.
You should skim the earnings reports for words like "payout" or "covenant" to make sure it's not a trap, but listen very carefully to the earnings call.
An opinion on Elon Musk & Tesla. I’ve seen Charlie Munger talk about Musk and he said that he wouldn’t buy Tesla but he also wouldn’t short it. He added thoughtfully that he also believed you should, ‘Never underestimate the man who overestimates himself’ and that while (Charlie thinks) Elon Musk overestimates himself from time to time he may not be wrong. I saw a video with Jordan Peterson today saying that, it wasn’t obvious to him (to Peterson), that he was in a position to estimate Elon Musk. Smart people are very, very careful and very circumspect (rather than definitive and conclusive) about Musk and his ventures. It’s like playing a game of poker in which jokers and aces (and maybe kings) are wild. It’s not the kind of game Berkshire Hathaway would play precisely because they recognize that the outcome is unpredictable… but they are totally aware (or at least suspicious) that he may have an ace up his sleeve.
When it comes to Musk, the big problem is that he's a libertarian sociopath. That alone disqualifies him in my book.
Fa-an vad schysst att få en sån här video levererad en lördagmorgon kl 8!! 😍😍
Hehe, hoppas du gillar den Gabriel!
I think that another big mistake is to assume that rules that works for a star (like Warren Buffet) will work for you as well. Everybody has individual set of skills, amount of time willing to spend and goal to achieve. And I would really argue with assumption that price relative to what was some time ago doesn't matter. Probably most of people on stock markets are buying what gets more expensive or trying to predict future price based on graph shape. There is also growing trend for High Frequency Trading (similar, but automatized). So maybe it wasn't like this before, but surely relative price matters in the short term. And honestly, if you are not so knowledgable about buisness but know some maths, maybe it's better to do what you can do? Especially that now we have computers, big data and trading APIs, assumption to divide by 3 instead of pi might be wrong nowadays as well.
They should choose strategy that they understand and mostly importantly "fit" with them.
I work a lot with stop losses and trailing stop losses these days, and in some of the examples the dudes and girls should have just taken profit. Here your entry point totally matter. I'm a bit impatient on the buy side but now I just use more alerts. The Walmart example is an opportunity cost, Buffet didn't like Bitcoin which is a much bigger opportunity cost.
In conclusion, great general advice to consider, but not the only rules to possibly play by. I pay a bit for a sophisticated Quant service and this helps me make decisions. Simple DCF value calculations for value investing just doesn't work in many industries.
Even if I would research a stock an entire day I doubt my outcomes would improve a lot, I rather overdiversify than sink 17% of my entire cash in just one stock.
Technical analysis is woodoo. Pseudoscientific nonsense. In the rare cases where it does seem to work it's actually the psychology of a 1000 other TA-freaks looking at the same graphs that unconsciously synchronize their actions and thus create short term ripples in the market. The market has no memory, you can learn exactly nothing from studying those graphs.
“Amazon doesn’t give a damn about your purchasing price” made me lol! Just discovered your channel, awesome videos!
6:04 that Nvidia beware comment did not age well 😅
For now
Larry, great content as always....thanks really appreciated. Followed the DWAC play been great. Watching from the UK.
So enjoyable and instructive. Would love to hear your analysis on one of your 10 stocks. I like and try using the punching card analogy: only 10 goes at it and cannot take them back, ever.
Agree, time in the market is more important. those who waited to get in, will never get it
Here's a suggestion for No. 13: Throwing good money after bad money. In other words, investing more money into a failing investment to try and prove that you were right.
True, but that's kinda covered by the fact that your buying price is irrelevant. The market has no memory, the only relevant factor is future expectations.
wholly been follwing this channel from the start! did not notice how many people watch it now! gee
Very informative and entertains too keeping it interesting and lively. Thanks
man... just wanted to say, huge thanks for sharing the knowledge, and congrats on an AMAZING channel! Already recommending it to lots of friends! Really cool indeed, i mean it. Keep it up! Salute all the way from Brazil!
You know it's quite a shame that an advanced man such as you doesn't have a substantial share in gold, it's a huge stab to your financial stability
I found this video absolutely informative , it answered ALL my questions 😀 thank you .
Simple dollar cost averaging is the best method ,this is best done with benchmarks .
So buying individual stocks is risky Buffet recommends the average investor to use low cost index funds .
I love this video, it's factual and unbiased. I admit that I'm not a very good stock picker, that's why my portfolio is about 70% ETFs and only 30% individual stocks.
Enlightening as always. The Wise White Bear is back! 🥳
I was just starting out in investing when weed stocks were hot in Canada and I wound up listening to a coworker’s advice to buy into it because legal weed was only just getting started and it could only keep going up from here. Luckily I only put $200 in and today that investment is worth one dollar and forty-two cents. In some ways that was the best $200 I ever spent because I learned a very valuable lesson there, one I’ve not had to learn a second time.
TeXtMe DiReCtLy🤙🤙🥶🥶..
A course worth $5000, absolutely free... Thanks
Great presentation and editing. The way the information is explained is so clear that even my young daughter understands the points. Her education is of course very important to me. Thank you.
N P I'm flattered to hear this! Best of luck to both of you!
@@TheSwedishInvestor
Hey I really enjoy your videos
and I have been learning about investing quite a bit in large part thanks to your videos.
I am quite good at getting into the right mindset and understanding Bussineses but what I really struggle with I finding Information about Bussineses in order to properely understand them. Do you have some Tipps where you look to find Information? And what Numbers and hints you fokus on to make an Informed decision about a company.
Thanks
@@TheSwedishInvestor Thank you. Keep up the good work friend.
Thanks Mr Swedish, I'm a new guy , it's informative for beginners , good to analyse ❤🎉🎉🎉😊
Looks like Arnold is also underwater with his AMZN investment now.. 😂
Great video by the way! I saved it in my library, this is the kind of video that needs to be watched again and again from time to time. Biggest mistake in investing is when you think nothing can go wrong, there’s always something that can go against you.
Cheers Wealthy Detective, I'm happy to hear that you enjoyed it! What's all this about AMZN and Arnold? Something I've missed?
@@TheSwedishInvestor it was example #2, Arnold was up 5% on his Amazon investment since June 2022.. thanks for the great contents, look forward for the next ones! :)
Oh, haha, he really ate it yesterday 😂 Well, they all did!
Thank you.... For help/guidance on creation/investment/financial portfolio.
This is best investing. Video l ve ever seen load of them very helpful thanks. You
Great information. I like how you distil large amounts of data and present it in a storyline. What video editing software are you using to create the animations for your videos?
Videoscribe
Spot on. Strong story telling is powerful to deliver a message
I have watched this one 3 times already. Therefore I declare it the best video you have ever released _that I've seen..._ this week.
I rarely comment on youtube videos and don't even like or subscribe to most channels I watch, because youtube keeps recommending me good videos. but decide to do all that for your channel right now, for one single reason. the funny thing you did in your video.
3. aggressive growth projection, when you started drawing the line for tesla at the chart and went out of the chart to block to the page. that was a really fun but valid joke.
keep doing jokes like that in these types of information videos. bound to get more people like me to sub for you as well.
keep up the good work. bye
What is the name of the game displayed in time 14:43?
I am sure going to save this video in my playlist and rewatch it for several times. Thanks swedish investor.
Awesome, thank you yuhihe! I'm happy to hear you enjoyed it!
From the Dogelumens community we support you. stellar family
>
Timing doesn't work but nice to be close to it❤❤🎉🎉
Thanks a lot! There are always some nuggets of wisdom in your videos!
Cheers for that!
Cool. I think I should have not bought too soon and llistened to Munger try not buying for 18 months.
God bless.
investors of nvidia in the world be aware.. oh well that aged bad
I really liked this video! Really clear and fun!
My favorite is "you can't time the market" but wait for the "fat pitch." Lol. 😂😂😂😂😂😂
That's not contradictory at all. "You can't predict what the broader market will do" and "wait for good opportunities to arise" are not concepts that are at odds with each other. In fact, Buffet and Munger say all the time that they don't concern themselves with the macro state of the market when making investment decisions.
As usual! Great video!
One thing that's so distracting though is the sheer amount of snacks that show up when you cut over to warren buffett photos and videos. e.g., going from 1 -> 3 you see the table just slowly filling up with more and more snacks! Totally irrelevant to the video but I found it super amusing!
I hope I can really leverage these insights. Particularly #5 of seeing the forest.
Here are some other mistakes:
1. Listen to one sentence quotes of Buffett!
(Life is more complicated than grandpa is telling you)
2. Trying to do what Buffett does.
(You don't have so much money, network, influence, team, cash flow and so on)
3. Don't try to predict where a company will be in 10 years!
(Many value investors have the tendency doing this. Use instead year after year.)
4. NOT timing the market.
(Not only business (economical) cycles exist, but also cyclical businesses, for example commodities, energy, semiconductor. I don't say you can - perfectly - time something, but ignoring macro factors totally is like ignoring the weather when you go sailing.)
5. Circle of competence is a dead trap!
(Competence is not a fixed value. It is always in comparison to others. It is easy to feel smarter than everybody else around if noone is interested in the topic you are talking about. Knowing more than others does not mean you know enough to make a decision!)
⬆️📩⬆️. DM me right immediately for profitable ideas.
My thoughts as well. You are a shrewd and wise investor.
Warren preaches to everyone not to use leverage to invest yet Charlie Munger was well renowned in his early investing days of using massive leverage (aswell as most of his savings on a 'sure fire certainty)'! Warren has also recalled a time he invested with leveraged money to buy a share in his personal portfolio.
And then time passed and he wizened up.
It's cool to see a European channel about dividend growth investing.
A few lessons can be learnt from this presentation. Later on, one would be wise and begin to rise economically and otherwise too!
I did buy stocks with leverage the whole october 2022, and so far I managed to get an almost 200 percent return on my 60 dollar investment in a bear market. It is possible to leverage with a smaller risk. I recommend only using 10-30 percent of total capital. In my case I started with 60 usd and now its grown to 177 usd.
Amazing
Great video! Watched it a second time to take notes.
“Spend at least as much time thinking about what could go wrong with your investments.” This is the job of Charlie Munger at Berkshire :) Saying “no” to almost everything Warren discusses with him.
my biggest mistake was not taking profits at the peak of the bullrun
On the next bull market, when you'll try to time the market, that will become your biggest mistake. Mistake number 1 on this precise video.
@@JaPoSkipper Nah. It's better to take profit, you don't have to hit ATH.
Very beautiful cartoons, it remains complicated the art of investing, he started at 11 years old, didn't know you could open an brokerage account ar that age...lol...
Cool. Really helpful tips
Very informative and educative video ❤
I made 11k from a random $400 I put on SONM a few days ago , I have 5 top projects companies I DCA into but I expose a few hundred bucks each to about 35 others
Not true 😂😢
@davidbrooks8809 completely true, in fact this bullrun I've turned 19 k into 120k haha. Eat those apples
Wonderful video! Extremely easy for a new comer to this area as well
He still is not as great as Nancy Pelosi. 😁
Fantastic presentation I mean video. Seriously this has got some excellent material, made super simple for the viewer. Great job!
You know it's quite a shame that an advanced man such as you doesn't have a substantial share in gold, it's a huge stab to your financial stability
Buffet: Stay within your circle of competence.
Also Buffet: Don’t shrink your universe of opportunities.
These statements are not mutually exclusive
They are both right.
Well put together. Appreciated!
@The Swedish Investor hope you are doing well mate. Continue to make value content and hope to see more of your videos during winter season, as ppl spend more time home. Cheers.
Cheers Dimitar Ivanov! I hope to be able to keep up a stream of videos for you during this season! 👍
I've got to disagree with the 7 foot analogy and sometimes the aggressive growth projection. Sometimes you make big on these 2 stats .
The hidden secret is you don't actually enjoy what you invest in. Don't time the market means , it's very very long term. Only patient investors enjoy the rewards.
It means if you are already rich and you dont care, you buy shares for 1 million, it will go up to 1,5 million eventually, at least thats how it used to be. Warren Buffet was born in the right time into a rich family.
Any of us could retire rich with a little sacrifice. Nobody wants to sacrifice tho.
Don’t eat out that’s $70 a week.
No car payment that’s $450 a week.
There's a lot of potential in the market. My friend introduced me to a financial advisor in 2021, and even though I was skeptical, I went on. I finally was making enough monthly dividend to quit my soulless job and pursue my dream to start a restaurant in New Jersey and still earn five figures in monthly dividends
3:45, I would have gone for D
Nice !!! Love your videos !!! Much love from Pakistan 🇵🇰