Warren Buffett: Index Funds

Now that we know Buffet was an active investor ever since his youth, what was his strategy and investing philosophy?

Buffett’s core philosophy is value investing, or conducting deep research to find hidden gems destined to grow 💎

Buffett has also acknowledged that value investing is time-consuming and unpredictable for everyday people.

So, he’s been a longtime supporter of index funds or ETFs! 🧺

With ETFs, or bundles of stock, a group of professionals is responsible for researching those companies 💼

This allows investors of that ETF to simply buy in & trust the professionals, saving investors time and money with instant diversification 🤯

Buffet once bet that a simple S&P500 index fund would outperform most actively managed hedge funds.

📈 For the past 20 years, he’s been correct!

As for the digital world, Buffet believes in intrinsic value, or always asking if you would own something if there wasn’t an assigned value to it 🤔

Buffet believes a luxury bed is still useful since you can sleep on it

But a $30k crypto coin without any intrinsic use is not 🧐

Test your knowledge

Buffet is a longtime supporter of. . .

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Buffet once placed a bet that. . .

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Which of the following does Buffett NOT believe in?

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