Warren Edward Buffet is an American philanthropist and investor. He was born on August 30, 1930. He has turned 91 today. He is presently the CEO and chairman of Berkshire Hathaway. He is known as one of the most successful investors on the globe. As of August 2021, he has a net worth of over $104.4 billion. He is the world’s 6th wealthiest person. He developed an interest in investing and business when he was young. He purchased his first stock in 1942 when he was only 11 years old. He bought three shares at $38.25 per share and sold them at $40. During this process he learnt his first business lesson. The share later toped $202 per share. It taught him the lesson of patience in business.
Warren invested $1200 in farmland $1200. He also used to deliver newspapers. By this he was able to save $5,000. His investing philosophy was shaped by reading ‘The Intelligent Investor’ by Benjamin Graham. As a student he chose to read the best available material on business and investing. He worked for 2 years with his mentor Graham. After that he started his own investment company in Omaha named ‘Buffet Associates’. $105,000 were contributed by his friends and family while he invested only $100.
Buffet was running 7 partnerships by the age of 31. One year later he merged them into one and named them ‘Buffet Partnerships’. He had now grown his investor’s assets to $7.2 Million. His own stake in it was $1 Million. In 1962-1965, Warren bought Berkshire Hathway’s stock under $8 per share. He sold Dempster for a three fold gain. Buffet partnerships became the largest shareholder of the company. For around 5% of The Walt Disney company, he invested $4 Million. He also gained complete control of Berkshire Hathaway.
In 1982-83, Berkshire Hathaway’s stock hit $1000 per share. His net worth was now $620 Million. He debuted on the Forbes millionaire list. In 1985, he got his Billionaire status. His net worth was estimated at a huge $1 Billion. In 1988, he bought upto 7% of the Coca-Cola stake for $1.02 Billion. He pledged to use his wealth for greater good. He pledged to give away 85% of his wealth to the Bill & Melinda Gates foundation. This is why he is known as the greatest philanthropist of all times. He has till date donated more than $37 Billion to the charity. He is still the world’s 6th wealthiest person. He has a net worth of approximately $96 Billion.
Despite being a Billionaire, he still lives in a 5 bedroom house which he bought in 1958 for $31,000. He dines at local restaurants. He saved money by renting a land he purchased and selling newspapers when he was young. He has become an example of ‘Simple Living, High thinking’. He gave away a major portion of his wealth to charity. He had a goal in his mind when he was just a kid and worked relentlessly to achieve it. Warren Buffet is the inspiration for the young minds and business enthusiasts.