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Warren Buffett-

the Sage of Omaha

Personal Profile:
Born on August 30,1930 (age 83)
Nationality: American
Education: Master of Science in
Economics
From University of NebraskaLincoln Columbia Business School
Occupation: Chairman and CEO of
Berkshire Hathaway
Net Worth: ^US$ 72.7 Billion (2015)

Buffets Education

At the age of nineteen; He Graduated with a


Bachelor of Science in Business Administration
from University of Nebraska-Lincon.

He earned a Master of science in Economics in


1951 from Columbia Business School.

He also attended the New York Institute of


finance

Professional/Business
Career

Warren Buffet was employed from 1951-54 at


buffett-falk & Co., as an investment salesman.

Worked as a Security Analyst at GrahamNewman Corp. From 1954-1956,

from 1956-1969 at Buffet Partnership Ltd, as a


General Partner,

From 1970 Present as Berkshire Hathaway Inc,


as its Chairman, CEO.

Buffet is Called:

Wizard of Omaha

Oracle of Omaha

Sage of Omaha

-Means Knowledgeable or
Wise

World richest person


Rankings(2015)

Source : Forbes

Buffet is an:
American Business magnate
Philanthropist (Bill & Melinda Gates

foundation)

Widely considered the most


successful investor of 20th century
Noted for his adherence to the value
investing philosophy and for his
frugality despite his immense
wealth.

Warren Buffet's Six Investment Principles

Has the company's performance been consistently


good?
Does the company carry too much debt compared to
its peers?
Are profit margins high compared to its peers? Are
they increasing?
How long has the company been public?
Are the company's products vulnerable to
"commodity pricing"?
And finally, is the company cheap on a valuation
level?

Some Very Interesting Aspects Of His Life

1. He bought his first share at age 11 and he now regrets that


he started too late!
Things were very cheap that time
Encourage your children to invest
2. He bought a small farm at age 14 with savings from
delivering newspapers.
One could have bought many things with little savings
Encourage your children to start some kind of business

3. He still lives in the same small 3-bedroom house in midtown Omaha , that he bought after he got married 50 years
ago. He says that he has everything he needs in that house.
His house does not have a wall or a fence.
4. He drives his own car everywhere and does not have a
driver or security people around him.
5. He never travels by private jet, although he owns the
world's largest private jet company.

6. His company, Berkshire Hathaway, owns 63 companies. He


writes only one letter each year to the CEOs of these
companies, giving them goals for the year. He never holds
meetings or calls them on a regular basis.
7. He has given his CEO's only two rules.
Rule number 1: do not lose any of your share holder's money.
Rule number 2: Do not forget rule number 1.

8.He does not socialize with the high society crowd. His
past time after he gets home is to make himself some
pop corn and watch Television.
9.Warren Buffet does not carry a cell phone, nor has a
computer on his desk.
10.Bill Gates, the world's richest man met him for the
first time only 5 years ago. Bill Gates did not think he
had anything in common with Warren Buffet. So he had
scheduled his meeting only for half hour. But when
Gates met him, the meeting lasted for ten hours and Bill
Gates became a devotee of Warren Buffet.

Berkshire Hathaway

Introduction / About of the BH

Berkshire Hathaway Inc. Is an American multinational


conglomerate holding company headquartered in Omaha,
Nebraska, United States, that oversees and manages a
number of subsidiary companies.

Warren Buffett is the company's chairman, president, and


CEO, and Charlie Munger is the company's vice-chairman.

Buffett has used the "float" provided by Berkshire


Hathaway's insurance operations (paid premiums which are
not held in reserves for reported claims and may be
invested) to finance his investments.

Subsidiary companys is retail, railroad, home furnishings,


manufacturers of vacuum cleaners, jewellery sales;
newspaper publishing; manufacture and distribution of
uniforms; as well as several regional electric, gas utilities
and etc.,.

SWOT Analysis :
A tool that identifies the strengths, weaknesses,
opportunities and threats of an organization.
Internal
environment
External
environment

The Strengths & Weaknesses for Internal


Environment and the Opportunities & Threats for
External Environment of an organization.

SWOT Analysis of Berkshire Hathaway Inc. :

Strength:
1.Strong brand name and good financial position.
2.High number of stakeholders and growing market
position.
3.Diversified portfolio
Weakness :
1.Cash flow is declining.
2.Over dependent on Warren Buffets image
Opportunity :
1.Expansion in other countries.
2.Diversifying portfolios for customers
Threats :
1.Changing govt regulations and financial crisis like
recessions.
2.Natural calamities

CONCLUSION

Upon investing it is important that you


better understand what is the investment
is all about.
You should like it
You must know it.
Just like what Buffet says focus on the
IMPORTANT and KNOWABLE

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