Press "Enter" to skip to content

Tips For Investing From Warren Buffett

The business investing advice you get from Warren Buffett is applicable across generations. If you didn’t already know, Warren Buffett is a very successful business man, he hasn’t necessarily created a new product or company, like say Steve Jobs, Elon Musk or Bill Gates have, but he has invested his money very smartly and is well known as one of the richest people in the world because of it.

If you are looking to get into the investment game yourself, no matter what type of investment you are looking to make, or how much money you have to play with, it is always a good idea to get some tips and advice from the best of the best, and Warren Buffett is certainly one of those people. Hopefully, if you take his advice and tips onboard, you will have more success with your investments.

So, have a read on below at more information and tips from Warren Buffett in relation to investing:

Stock is for long term

This probably goes against the grain of a lot of stock brokers, but Warren Buffett famously said “if you aren’t thinking about owning a stock for ten years, don’t even think about owning it for ten minutes”. So, if you are looking to invest some of your hard earned money in stock, look for stable and well-established companies that are more likely to bring you great returns over the long run.

Be choosy with your news

There is a lot of financial news, tips and advice, etc. out there on the internet, which a lot of the time actually has conflicting pieces of information. So make sure you get your financial information from well-known and reputable sources, so you know the information is correct. A lot of the news these days is sensationalized in order to get more reads, so make sure you are aware of this.

Investing isn’t that hard

Warren Buffett explains that it actually isn’t that hard to make smart investments, but in saying that, you also need to at least have some knowledge on what you are doing. If you go into investing without proper knowledge, it is like trying to walk across the road with your eyes closed. You may get lucky and not get hit by a car, but the chances are you probably will!

Make investments in businesses you know

Leading on from the previous point, it is important that you invest in companies that you know. If you don’t understand exactly what a certain company does, then Warren Buffett’s advice is to steer clear of them. By all means you should also look to expand your horizons and see what new and different companies are up to. But after you have done your research if you still don’t get the full picture, it is probably best that you look elsewhere for your investment.

Find quality businesses

Some business can be a little bit dodgy and complicated; if this is the case then it is certainly worth steering clear of them. You should also look to avoid companies that are only really thinking about the short term, instead Warren Buffett says to look for high quality businesses with long term aspirations and growth that is expected to last a while.

Investing can be boring

Quite a unique piece of advice from Warren Buffett, while some people have the notion that investing can be a really exciting process, in actual fact it is actually pretty boring. You should be looking at investment as a long-term strategy, and not a get rich quick thing, as they almost always fail and you could end up losing a bit of money.