{"id":14014,"date":"2025-02-06T12:55:17","date_gmt":"2025-02-06T20:55:17","guid":{"rendered":"http:\/\/www.marketriders.com\/investing\/?p=14014"},"modified":"2025-02-06T13:04:57","modified_gmt":"2025-02-06T21:04:57","slug":"warren-buffett-shares-essential-keys-to-successful-investing","status":"publish","type":"post","link":"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/","title":{"rendered":"Warren Buffett: Shares Essential Keys To Successful Investing"},"content":{"rendered":"\n<p>Warren Buffett, the iconic multi-billionaire, is known for a lot of things. His folksy media appearances, simple taste in food (cherry Cokes are a favorite) and an absolutely mind-boggling ability to pick winning stocks.<\/p>\n\n\n\n<p>For decades, his investments through Berkshire Hathaway handily beat the stock market. He recently turned 90 and reflected on a simple factor that he believes explains most of his financial success \u2014 time.<\/p>\n\n\n\n<p>Talking with&nbsp;<a href=\"https:\/\/jasonzweig.com\/warren-buffett-and-the-300000-haircut\/\">Jason Zweig<\/a>&nbsp;at&nbsp;<em>The Wall Street Journal<\/em>, Buffett extolled the virtues of what he called \u201cthe Methuselah technique.\u201d Simply put, make a reasonably good return over a long period of time.<\/p>\n\n\n\n<p>The reason this technique works is because the value of investments&nbsp;<a href=\"https:\/\/www.marketriders.com\/investing\/automate-investing-to-harness-the-power-of-compounding\/\">compound<\/a>.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img loading=\"lazy\" width=\"800\" height=\"535\" src=\"https:\/\/www.marketriders.com\/investing\/wp-content\/uploads\/2020\/09\/snowball-957759_1920-800x535.jpg\" alt=\"\" class=\"wp-image-13577\" srcset=\"https:\/\/www.marketriders.com\/investing\/wp-content\/uploads\/2020\/09\/snowball-957759_1920-800x535.jpg 800w, https:\/\/www.marketriders.com\/investing\/wp-content\/uploads\/2020\/09\/snowball-957759_1920-300x201.jpg 300w, https:\/\/www.marketriders.com\/investing\/wp-content\/uploads\/2020\/09\/snowball-957759_1920-768x514.jpg 768w, https:\/\/www.marketriders.com\/investing\/wp-content\/uploads\/2020\/09\/snowball-957759_1920.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/><\/figure>\n\n\n\n<p>Buffett likens it to rolling a snowball down a hill, a metaphor that became the title of his bestselling biography by Alice Schroeder,&nbsp;<em><a href=\"https:\/\/www.amazon.com\/Snowball-Warren-Buffett-Business-Life\/dp\/0553384619\">The Snowball: Warren Buffett and the Business of Life<\/a>.<\/em><\/p>\n\n\n\n<p>Applying this idea to your own investments is both easy and maddeningly difficult. Mostly, it requires you to do less, not more, when it comes to investing.<\/p>\n\n\n\n<h2>Ballooning Billions<\/h2>\n\n\n\n<p>That\u2019s really contrary to what the financial media would have you believe. Most of the \u201cmoney shows\u201d are about constant movement and trading, trying to guess the trends in the market over hours and days, rather than being content with the returns over years and decades.<\/p>\n\n\n\n<p>Now, Buffett is a talented stock picker. But his larger point about time is incredibly important. As Zweig notes, Buffett has been investing since he was a teen, yet around 90% of his wealth was made after the age of 65.<\/p>\n\n\n\n<p>It was in the third quarter of his life (he\u2019s 94, so 65 to him is a while back) that Buffett\u2019s wealth ballooned into billions. Did he get better at picking stocks at 65? Did the markets hand him a fluke win?<\/p>\n\n\n\n<p>Of course not. It was the snowball effect in action. The size of the Berkshire Hathaway portfolio inevitably became larger over time as gains,&nbsp;<a href=\"https:\/\/www.marketriders.com\/investing\/investor-facts-reinvested-dividends\/\">dividends<\/a>&nbsp;and interest were reinvested over and over.<\/p>\n\n\n\n<p>In fact, Buffett himself would tell you he\u2019s an outlier. The vast majority of investors, even the professionals, simply cannot beat the index and especially after you subtract fees.<\/p>\n\n\n\n<p>Rather, Buffett counsels, focus on lowering cost, being diversified and getting a good, steady return by using an&nbsp;<a href=\"https:\/\/www.marketriders.com\/investing\/index-funds-long-run-investing\/\">index fund<\/a>. Marry that strategy to time and you cannot help but come out way ahead in finance and, as he would put it, in life itself.<\/p>\n\n\n\n<p><sub><em>Information presented is for educational purposes only for a broad audience.\u00a0 The information does not intend to make an offer or solicitation ofor the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and are not guaranteed.\u00a0MarketRiders (dba Sogotrade Asset Management) has reasonable belief that this marketing does not include any false or material misleading statements or omissions of facts regarding services, investment or client experience.\u00a0MarketRiders (dba Sogotrade Asset Management) has reasonable belief that the content as a whole will not cause an untrue or misleading implication regarding the adviser\u2019s services, investments or client experiences. Please refer to our\u00a0<\/em><a href=\"https:\/\/www.marketriders.com\/form-adv-2a.pdf\" target=\"_blank\" rel=\"noreferrer noopener\"><em>Firm Brochure (ADV2)<\/em><\/a><em> for material risks disclosures.<\/em><br><strong><em>Past performance<\/em><\/strong><em> of specific investment advice should not be relied upon without knowledge of certain circumstances of market events, nature and timing of the investments and relevant constraints of the investment.\u00a0MarketRiders (dba Sogotrade Asset Management)\u00a0has presented information in a\u00a0fair and balanced manner.<\/em><br><strong><em>The opinions<\/em><\/strong><em> expressed herein are those of the firm and are subject to change without notice. The opinions referenced are as of the date of publication and are subject to change due to changes in the market or economic conditions and may not necessarily come to pass.\u00a0 Any opinions, projections, or forward-looking statements expressed herein are solely those of MarketRiders, may differ from the views or opinions expressed by other areas of the firm, and are only for general informational purposes as of the date indicated.<\/em><\/sub><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Warren Buffett, the iconic multi-billionaire, is known for a lot of things. His folksy media appearances, simple taste in food (cherry Cokes are a favorite) and an absolutely mind-boggling ability &hellip; <a href=\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/\">Read more <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":8,"featured_media":13577,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_wp_rev_ctl_limit":""},"categories":[65],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.6.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Warren Buffett: Shares Essential Keys To Successful Investing | MarketRiders<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Warren Buffett: Shares Essential Keys To Successful Investing | MarketRiders\" \/>\n<meta name=\"twitter:description\" content=\"Warren Buffett, the iconic multi-billionaire, is known for a lot of things. His folksy media appearances, simple taste in food (cherry Cokes are a favorite) and an absolutely mind-boggling ability &hellip; Read more &rarr;\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/www.marketriders.com\/investing\/wp-content\/uploads\/2020\/09\/snowball-957759_1920.jpg\" \/>\n<meta name=\"twitter:creator\" content=\"@marketriders\" \/>\n<meta name=\"twitter:site\" content=\"@marketriders\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"MarketRiders\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/\",\"url\":\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/\",\"name\":\"Warren Buffett: Shares Essential Keys To Successful Investing | MarketRiders\",\"isPartOf\":{\"@id\":\"https:\/\/www.marketriders.com\/investing\/#website\"},\"datePublished\":\"2025-02-06T20:55:17+00:00\",\"dateModified\":\"2025-02-06T21:04:57+00:00\",\"author\":{\"@id\":\"https:\/\/www.marketriders.com\/investing\/#\/schema\/person\/f2be262f5c0f3ed5ad50d6c40640ba8c\"},\"breadcrumb\":{\"@id\":\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.marketriders.com\/investing\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Warren Buffett: Shares Essential Keys To Successful Investing\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.marketriders.com\/investing\/#website\",\"url\":\"https:\/\/www.marketriders.com\/investing\/\",\"name\":\"MarketRiders.com\",\"description\":\"How To Become A Better Investor\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.marketriders.com\/investing\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.marketriders.com\/investing\/#\/schema\/person\/f2be262f5c0f3ed5ad50d6c40640ba8c\",\"name\":\"MarketRiders\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.marketriders.com\/investing\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/8e06113f594828daaf313d283544d566?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/8e06113f594828daaf313d283544d566?s=96&d=mm&r=g\",\"caption\":\"MarketRiders\"},\"sameAs\":[\"https:\/\/www.marketriders.com\"],\"url\":\"https:\/\/www.marketriders.com\/investing\/author\/support\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Warren Buffett: Shares Essential Keys To Successful Investing | MarketRiders","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.marketriders.com\/investing\/warren-buffett-shares-essential-keys-to-successful-investing\/","twitter_card":"summary_large_image","twitter_title":"Warren Buffett: Shares Essential Keys To Successful Investing | MarketRiders","twitter_description":"Warren Buffett, the iconic multi-billionaire, is known for a lot of things. 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