Long-term asset growth

Warren Buffet’s recipe for success is patience

Someone’s sitting in the shade today because someone planted a tree a long time ago.” This is Warren Buffett’s simple explanation of investing in the future. And he’s right.

Investing is an art. And investing is not an art. Both these statements are correct. In most cases, somebody’s success at financial investment is simply a question of time. Some investors have managed to perform better than others over a long period of time. These investors are said to have “cracked the market”.

One of these top performers is Warren Buffet, who has been trading on the stock market since 1964 with his company Berkshire Hathaway. On average, his company’s shares gained more than 20% in value each year. In the same period, the American stock index achieved annual growth of just 9.7%. Buffet’s recipe for success? Patience.

Warren Buffett also advises private investors to buy solid shares and to hold them for as long as possible. This means ignoring short-term fluctuations or even crises, and keeping the long-term goal in sight no matter what. Patience is a virtue. “Buy good shares cheaply and never sell them.”

Another recipe for long-term asset growth is a PostFinance funds saving plan.

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