The Average Salary in South Africa rests at R27,453 annually. Just how does the average South African square up to investing powerhouse Warren Buffet?
Warren Buffet, known as the “Oracle of Omaha,” is widely considered the most successful investor of the 20th century. As the chairman and CEO of Berkshire Hathaway, Buffet has amassed a net worth of $63 billion, making him the 4th richest person in the world.
- He made his first stock purchase when he was 11
- 99% of his $63 billion was made after his 50th
- He was the lone insurance policy for Pepsi’s billion dollar sweepstakes.
- People stand in line to get a photo with his wallet.
- Warren Buffet earned the average American annual income in 2 minutes.
- Last year Warren Buffet earned a staggering R158Billion
- This works out at R433 Million a day in 2013.
- It would take the average South African 5,754,475 years to earn the same amount.
6 Things Warren Buffet Says You Should Do With Your Money in 2015
Put Your Estate in Index Funds
“My advice to the trustee could not be simpler: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund.”
Stay Away From Bitcoin
“Stay away from it. It’s a mirage; basically… it’s a method of transmitting money. It’s a very effective way of transmitting money and you can do it anonymously and all that.”
Learn How to Read Financial Statements
“Take all the accounting course that you can find. Accounting it the language of business… it’ll make it so much easier for years and years to come for reading financial statements.”
Focus on Saving, Not On Getting Rich Quick
“Well, I think the biggest mistake is not learning habits of saving properly early. Because saving is a habit. And then, trying to get rich quick. It’s pretty easy to get well-to-do slowly. But it’s not easy to get rich quick.”
When Stock Prices Drop, Buy – Don’t Sell
“I don’t know how to tell what the market’s going to do. I know how to pick out reasonable businesses to own over a long period of time.”
Stop Pretending To Be An Expert
“Keep things simple and don’t swing for the fences. When promised quick profits, respond with a quick ‘no.’”
Source: Infographic Designed by Richard Madison, Brighton School of Business & Management.