Warren Buffett's 11 Nuggets of Investing Wisdom: 2024

Berkshire Hathaway Chairman Warren Buffett paid tribute to his late business partner and mentor, Charlie Munger, as the architect of the iconic investment firm in his annual letter to shareholders Saturday. Buffett recalled that Munger, the Berkshire vice chairman who died in November, advised him in 1965: "Warren, forget about ever buying another company like Berkshire. But now that you control Berkshire, add to it wonderful businesses purchased at fair prices and give up buying fair businesses at wonderful prices." Many years later, Munger, who died a few weeks shy of his 100th birthday, became Buffett's partner in running Berkshire "and, repeatedly, jerked me back to sanity when my old habits surfaced. Until his death, he continued in this role and together we, along with those who early on invested with us, ended up far better off than Charlie and I had ever dreamed possible. "In reality, Charlie was the 'architect' of the present Berkshire, and I acted as the 'general contractor' to carry out the day-by-day construction of his vision. Charlie never sought to take credit for his role as creator but instead let me take the bows and receive the accolades," the 93-year-old wrote. "In a way his relationship with me was part older brother, part loving father. Even when he knew he was right, he gave me the reins, and when I blundered he never — never — reminded me of my mistake," he said. "In the physical world, great buildings are linked to their architect while those who had poured the concrete or installed the windows are soon forgotten. Berkshire has become a great company. Though I have long been in charge of the construction crew; Charlie should forever be credited with being the architect." Berkshire achieved a 19.8% compound annual gain from 1965 through 2023, compared with 10.2% for the S&P 500, Buffett reported in his letter. In the gallery are 11 nuggets that Buffett offered Berkshire investors.