Buffettology: The Previously Unexplained Techniques That Have Made Warren Buffett the Worlds

I read this book several years ago and suddenly feel compelled to write a short review after reading the opinions of several reviewers who have slammed the work. More than any other business book (and I've read many), this one gave me the fundamental understanding to clearly see the difference between a business selling commodity-type products and services versus those that sell on something less competitive than price. To me, this is a nearly priceless (no pun) bit of understanding for any aspiring investor (or even entrepreneur)to mentally digest and intellectually internalize. The concepts covered in this book, both the qualitative and quantitative, are clearly explained and easy to understand. I guess this causes some people to scoff at it with the opinion that it's too simplistic. However, if you really study Mr. Buffett's investing history - his philosophy has been pretty simple. So how come most people won't become a billionaire by reading and applying the concepts taught in this book? Well... duuhhh! I guess we'll have to learn how to buy insurance companies and use the floats created by the payed-in premiums as our investment funds. Mr. Buffett has obviously got the intestinal fortitude and know-how for utilizing the ultimate in OPM. However, I've not seen the evidence that he doesn't use the basic formulas that Mary Buffett so clearly and entertainingly lays out in this book. This is a great book that can teach you a lot - unless your ego closes off the receptivity of your mind.

1.It uses simple language that helps understand heavy financial concepts. 2.Chapters are short. So its easy to digest things bit by bit. 3.You thoroughly understand the subject as ideas are repeated throughout the book. 4.Compared to `The Intelligent Investor' and Warren Buffett's letters to shareholders, I find this book giving more info about Warren's style of picking companies. It give qualitative and quantitative steps for going company hunting. 5.Concepts like inflation and taxation are beautifully explained. Good luck and happy reading !

...like me. I know that this is just basically a rewrite of the original "Buffettology" with updated numbers, but I thoroughly enjoyed it. The book is even broken up like the original, with a descriptive first section and a math oriented second section. I would have like to see more company examples in the second section and a smaller descriptive section, though.If you have the original "Buffettology" there's really not a lot new here, so it could be an alternative for someone who has not been exposed to the original.

I have read this book several times over that last year or so. Going through other readers' comments, I can't help but recall Buffett's quote, "I'd rather be approximately right, rather than exactly wrong." Perhaps the book has some typos and mathematical inaccuracies; if that is the only thing you take away, then you've missed the whole point. Also, some readers feel this treatment is too trivial. It is not trivial - it is SIMPLE (two entirely different things). MBA-types (and self-styled "sophisticated" investors) will feel superior when they read this book. However, this is not about valuation - it is about making money by treating investments as businesses. This is not what MBAs learn (thank God, we need some broke MBAs to do some of the menial work at good companies!). You don't need sophistication to make money - that is Warren Buffett's whole point. After reading most of the posts, I'm very happy. There will be no competition from financiers, "sophisticated" investors (i.e., broke guys who know all the intricate math), accountants, and MBAs. Getting a finance degree can be hazardous to your wealth!

Buy the calculator + do the work = financial independence! Do it!