💡10 powerful lessons on life from one of the greatest Investors of all time Warren Buffet
10 greatest life lessons that’ll teach you the real wisdom from Warren Buffet not only about money but also about life, careers, and relationships.
Warren Buffet is known to be the wealthiest and the most humble investor of all time. He is indeed the treasure trove of Wisdom and Knowledge that everyone should glean the aspiring life principles and blessings from his life. But contrary to what we’ve been told, his principles will also teach us valuable principles about life, career building and much more.
So, below I have listed down some of his greatest life principles that’ll help us in knowing something more not only about money but also about life, careers and building relationships.
So without any further ado, let’s get started.
Wait for a Juicy Pitch : Life gives us so many rewards - some of them are missed while some get caught but the rewards are not as expected.
So, the lesson here is simple - “You don’t have to swing for every opportunity that life gives you. Just grab and swing only those opportunities that are in your pitch - in your edge.”
Focus on identifying the juiciest pitch and swing or grab it when it's the proper time.
Just stop digging : When things aren’t going right, change the course not the destination.
“The most Important thing to do when you’re in a hole is to stop digging further.”
Same things with life. When you get stuck at some problem, and when something is not working for you - change the course and try to do something new and different.
Exploit disconnects : “Price is what you pay and value is what you get.”
If you’re willing to pay more then you will get more of it in the long run.
Seek out situations where there is a clear disconnect between the price and value and then use it for your advantage.
Be contrarian : Don’t follow the crowd. Be independent and think differently.
“Be fearful when others are greedy and greedy when others are fearful.”
Learn to think independently. Come to your own decisions and stop following the crowd. This even applies to our life as well.
Your uniqueness is your competitive advantage. Use it at no cost.
Optimize value capture : Opportunities can come at any time and you should be ready for it.
“Opportunities come infrequently. When it rains gold then put out the bucket, not the thimble.”
The lessons here are to build some mechanisms and structures which enable you to capture more than you create.
Most successful people follow this structure and framework.
Make time your friend : Time is the most powerful weapon of most of the successful business empires.
“Time is the friend of the wonderful business and the enemy of the mediocre.”
Value time and don’t be in a hurry.
Set long-term career goals and invest accordingly.
The secret to richness is the Compounding and it’s biggest tool is Time.
Compound growth happens gradually and then suddenly.
Protect your circle of competency : Be ruthlessly honest with yourself for what you know and what you don’t.
Protect the circle of your passion and competency and try to rebuild this circle and make it stronger.
“Risk comes not from what you’re doing but from what you’re not doing.”
So focus on playing games within your circle.
Never get caught naked : Never push yourself into the odds and into some positions when the stakes for you to get ruined are higher.
“It’s only when the tide goes out that you discover who’s been swimming naked.”
Find a proper balance and never put yourself into the circumstances that you create for yourself.
Reputation matters : Your character, thinking and reputation is your fate. Protect and try to maintain it at no cost.
“It takes about 20 years to build a strong reputation but it takes not less than 5 minutes to ruin it. So, if you think about it, you’ll think differently.”
In every phase/interaction of your life - remember to maintain the decorum of your thinking and character.
This will separate you from others.
Invest in yourself : The most important investment that you can make is to invest in yourself.
“It is the highest dividend that money can pay.”
Investing in yourself means to -
Read books
Learn something new
Build something for society
Do tasks which give you a proper growth mindset.
That’s it for today’s newsletter. I hope that you have learned something new and found valuable lessons from this newsletter.
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