Last Friday, Warren Buffett stepped down as the Chairman of Berkshire Hathaway, the company he has run since 1965. During that time, his return for investors has been over 6,000,000% (that is NOT a typo). This is 130 times the S&P 500.1
While this quote from his final newsletter has been widely published in the last week, we think it’s worth repeating: Father Time always wins.
In true Buffett fashion, he meant this to be a clever double entendre. At age 96, he is obviously referring to his own age and inevitable mortality. But he also clearly intends this to be investing advice as part of his enduring legacy. Quite simply – find great companies and invest in them for the long run. As he has said, “the stock market is a device for transferring money from the impatient to the patient.”
Berkshire has famously bought significant positions in companies in a wide variety of industries – insurance, railroads, consumer goods, financial services, and even technology. (He was arguably late to the party in buying Apple – but has held for over 10 years and generated a return of 750%2 on this investment alone!).
While we acknowledge that there is only one Warren Buffett, we have appreciated and embraced his investment approach for years (decades actually). At Nepsis, our portfolio has 20-40 great companies with strong prospects for growth. No bonds. No ETFs. We have held most of them for at least 5-7 years. And when there is volatility that creates an opportunity to buy more at a good value, we do so. That’s the Nepsis Way®. And we like to think Mr. Buffett would approve of our approach to investing. After all, Father Time always wins.
To learn more, visit us at Nepsis.com or call us at 952-746-2003.
Advisory services offered through Nepsis, Inc.: An SEC Registered Investment Advisor.