Dec 3rd, 2007 by Martin Lee
CNBC’s Becky Quick recently traveled to Omaha, Nebraska to shoot additional material for her one-hour special focusing on Warren Buffett’s whirlwind tour of Asia.
While Becky was there, Warren Buffett gave her a tour of the Berkshire Hathaway offices. He talked about some of the mementos he’s collected and their personal significance to him, and to his investing style. Here are some points from the conversation:
- In baseball, you have to swing at a bad pitch as long as it is in the strike zone (after two strikes). In investing, you can wait till you get the right pitch.
- Warren Buffett was big on charting when he first started. After reading Ben Graham’s book when he was nineteen, he threw all the charts away.
- If you’ve got a business with a high labor content that’s churning out a basic product, you have to think twice about what’s gonna happen to it.
- If you’re looking for durable competitive advantage, you should always look out for the chinks in the armor. Something that can cause a business to be good today may not be good 10 or 20 years from now.
You can watch the 2 part video and read the transcripts of the entire conversation below: