The Warren Buffet Way Paperback – 1 January 2014

The Warren Buffett Way Investment is a patience game. All investors need to have patience to become successful one. In this book, “The Warren Buffett Way”, written by Robert G Hagstorm has given several key aspects of Warren Buffett ideology in stock market investment. We all know Buffett has accumulated all of his wealth by investing in stock market. According to him there is no significant difference between buying a business outright and buying a piece of business in the form of share of stock. Thi s book has been divided into eight chapters; each chapter has given a significant lesson for the investors to accumulate wealth in stock market. Chapter 1: A Five Sigma Event: The World’s Greatest Investors Chapter2: The Education Of Warren Buffett Chapte r 3: Buying a Business: The Twelve Immutable TenetsChapter 4: Common Stock Purchase: Nine Case Studies Chapter 5: Portfolio management: The Mathematics of Investing Chapter6: The Psychology of InvestingChapter 7: The Value of PatienceChapter 8: The Wor ld’s Greatest InvestorsKey Takeaways:❖ Business Tenets: While investing in stock market Buffett doesn’t think about the market theory, macroeconomic factors, sectors trends etc. He focuses on,• Concept Of Business: Invest in those stocks which is relevant to understand their business models for you . Before investing all the investors need to have a clear generated models idea about the mode of operations, revenue , capital allocation model, cash flow etc. Understanding the business model allows investors to manage their portfolio efficiently.• Consistent Operating History: All businesses need to have consistency in their operation. If a business is able to generate consistent result over a period of time wi th same product and services, then it is reasonable to assume that those result will continue .Favourable long-Term Prospect: Every organisation needs to have long term plan sustainable planning. While investing investors need to have focus on long term prospect of business.❖ Management Tenet: Organisation can’t be succeeded in long term if the management is not honest and consistent. Role of the managers is not only to make organisation profitable but also to efficient allocation of capital for creating shareholders wealth. Managers need to be,• Rational • Candor: Management need report company’s performance with genuinely before shareholders and admits mistakes as well as share success.Strong management can make the company’s head held high. Every individual investors need to analyse behaviour of management before investing.❖ Financial Tenets: One of the most important tenets of investing is to analyse the financial position of an Organisation. Investors need to invest by keeping following things in mind, • Chose those companies whose profit margin is high to avoid loss. • The value of the company should be accurate with the share price. • Past Performance of the company and how management has accomplished its goal of creating shareholders value.❖ Market tenets: Rational investing of a company has two components,• What is the value of the business? • Can the business be purchased at a significant discount to its value?Determining the cash flow with a degree od certainty plays an important role while investing. ❖ Besides all the above points its also important to build a focus portfolio. In this chapter several examples of focus investors are there which will help investors to build efficient portfolio for long term success.❖ Patience is the key factor in stock market investing, slowly and careful analysis of every situation is an important factors all investors need to do.Several ways of Warren Buffett have been mentioned here which will help the investors for creating efficient portfolio and help them to maximise their wealth. All words will fall short to describe how outstanding book it is.Conclusion: In this book the Buffett’s principles of investment have been analysed in a broader way. Author has also captured the ideology of Benjamin Graham, Philip Fisher and Charlie Munger. Individual investors can navigate the rule, ideology and principles of the world greatest investors. Author has n icely combined the psychological phenomenon of investment with probability theories. In one sentence it’s not a Investment book it’s an Investment Bible.

If your a looking to learn investing there is no other book better than this and will also give you an insight into the life of warren buffet

I just completed reading this masterpiece on the investing strategies of Warren Buffet. This book is really really UNDERRATED , trust me you will learn a LOT from this book. Easy to understand, the author has divided Warren Buffet's techniques into 4 tenets namely:1. BUSSINES TENETSQ. Is the bussines simple and understable?Q. Does the bussines have consistent operating history?Q.Does the business have favourable long term prospects?2. MANAGEMENT TENETSQ . Is the management rational?Q. Is the management honest with shareholders?Q. Does the management resist the institutional imperative?3. FINANCIAL TENETSi) Focus on ROE not EPSii) Calculate the owner's earningsiii) Look for companies with high profit marginiv) For every dollar the company reatined, has it created atleat a dollar of market value4. MARKET TENETSQ. What is the value of a business ?Q. Is there a MARGIN OF SAFETY?Other than these tenets the author has also dealt with the psychological aspect of money and maintaining a portfolio. There is a learning on every page of this book, the only reason I am not giving it full stars is due to so many errors and poor paper quality, but if you can bear with it you will learn a lot.

Good read

The book was delivered in nice packaging manner and there is no wore and tore in the book. I am really enjoying and loving to read this book. I would like to recommend others also to read this book.

This is my First Book bought on Warren Buffett and it was an Amazing read. I finished reading it in a Week. It explains complex concepts used by Warren Buffet himself along with Case Studies of the 9 Investments bought by him in a very simple language which is very easy to understand. The Tenets were an eye opener as it shows how any Business can be evaluated. This book is a Must read as per Legendary Investor Mohnish Pabrai as well, and the book does justice in the way it is written. This book will help you create the building blocks to develop your methodology if you are keen on managing your own money as well.

Book is good for one time reading is what I think.Feel of the book is not primium but I am also not expecting it at this price pointThere is nothing much to say about the bookIt's a ok ok kind of purchase.

An excellent book & a must read for an investor..but the print version of the book, being sold here, contains lots of typographical & grammatical errors starting from the first para of the first chapter.Very poor quality print work. Disappointed as I bought this book with lot of interest..Amazon should seriously check the quality of the product being sold.

I got deep into the Warren Buffet rabbit hole in the past year. Got to read all of Berkshire annual letters. I searched for a good complementary book that will allow me to learn more directly about how can I use WB methods in my own portfolio selection. This book is the exact thing that I wished for. Full of knowledge and construct in a very clean and easy to understand way to help someone like me with concrete steps to use.

Excellent! Amazing book for all investors strategies.

Per la scuola

Excelente