Many call investment guru Warren Buffett a “seer.” Buffett himself says that predicting market behavior is pointless, and that only patience, thrift, and fidelity to principles will make long-term success possible. He has adhered to this pragmatic approach since setting up his first partnership, Buffett Partnership Limited (BPL), in 1956. Back then, young Buffett started sending his partners letters every six months, reporting on results and explaining in detail his investment methods. Buffett doesn’t write books, but his letters to partners collected in this edition make it possible to understand the way of thinking and the investing philosophy of a great entrepreneur.
The book’s author-compilator is investment analyst Jeremy Miller. He organizes the letters by themes and analyzes the success story of BPL from 1956 to 1970—the period, as Buffett himself admits, with the highest returns he ever achieved. Despite the evolution of investment methods, the approaches presented here remain relevant to this day.