Warren Buffett Is a Mediocre Investor -- Just Ask Him
The first name that usually comes to mind when most people are asked to name great investors is Warren Buffett. He took over Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) in 1965 and transformed the struggling textile manufacturer into one of the largest conglomerates in the world, with an equities portfolio worth hundreds of billions of dollars.
The company's stock has pummeled the market over the five-plus decades since. Between 1965 and 2022, Berkshire's shares generated compound annual gains of 19.8%, while the broader benchmark S&P 500 has only returned 9.9% (including dividends).
Despite the company's massive success, Buffett essentially described himself as a mediocre investor in his recently released annual letter to shareholders. While the Oracle of Omaha is being modest here, there is an important lesson investors can take away from this. Let me explain.
Source Fool.com
