The range of derivatives contracts is limited only by the imagination of man (or sometimes, so it seems, madmen). Say you want to write a contract speculating on the number of twins to be born in Nebraska in 2020. No problem-at a price, you will easily find an obliging counterparty.

The fundamental basis of above-average performance in the long run is sustainable competitive advantage.

Investment philosophy is the clear understanding that by owning shares of stocks he owns businesses, not pieces of paper.

For some reason, people take their cues from price action rather than from values. What doesn't work is when you start doing things that you don't understand or because they worked last week for somebody else. The dumbest reason in the world to buy a stock is because it's going up.

If at first you do succeed, quit trying on investing.

All day you wait for the pitch you like; then when the fielders are asleep, you step up and hit it.

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