Confidence in markets and in institutions, it's a lot like oxygen. When you have it, you don't even think about it. It's indispensable. You can go years without thinking about it. When it's gone for five minutes, it's the only thing to think about.

Intrinsic value can be defined simply: It is the discounted value of the cash that can be taken out of a business during its remaining life. The calculation of intrinsic value, though, is not so simple. As our definition suggests, intrinsic value is an estimate rather than a precise figure, and it is additionally an estimate that must be changed if interest rates move or forecasts of future cash flows are revised.

In our view, derivatives are financial weapons of mass destruction carrying dangers that, while latent, are potentially lethal.

The difference between successful people and really successful people is that really successful people say no to almost everything.

If you've been playing poker for half an hour and you still don't know who the patsy is, you're the patsy.

Fund consultants like to require style boxes such as "long-short," "macro," "international equities." At Berkshire our only style box is "smart."

The less prudence with which others conduct their affairs, the greater the prudence with which we should conduct our own affairs.