Inspiration from Buffett's Shareholders' Meeting
The annual Buffett shareholder meeting was held recently. This time, Buffett and his long-term partner Charlie Munger held an online meeting.
I will carefully read Buffett's speeches at every conference, and this time is no exception, but I feel that there are not many highlights that attract me.
In this speech, the two old gentlemen criticized Bitcoin as usual, which is not surprising at all; but Buffett, who surprised me, regretted selling Apple stocks last year.
In Buffett's investment philosophy, investment in technology companies has always been very cautious, because such companies do not have a sustained and strong moat, and almost in the rising period of these companies, it is difficult to find when their prices are lower than "value" .
Apple is one of Buffett's rare tech stocks. I've always wondered, did Buffett buy Apple because of the huge amount of cash it held in Apple's hands, making its potential value look higher than its price?
It is often said on the Internet that Buffett’s style cannot invest in companies like Google and Tesla, because it is almost impossible for such companies to make profits in the early stage, and once they are profitable, it often means that their success may overturn the entire industry and quickly occupy the entire industry. the entire industry.
In fact, Buffett's style is not only difficult to invest in companies such as Tesla, but also even less likely to invest in assets such as Bitcoin and Ethereum. Because so far, digital currencies including Bitcoin and Ethereum have not provided human beings with any services and products that contribute to the real economy.
Every investor has his own ability boundaries, and Buffett is no exception. Buffett himself admits this --- he always said not to buy things that he can't understand. This is the reason. Therefore, his inability to invest in Tesla and Bitcoin is not a mistake in my opinion, but something that must happen according to his investment style.
For us digital currency investors, even in the field of digital currency, I dare not say that I can understand and understand every subdivided field so well, so it is impossible for me to grasp every A dark horse, every potential project.
Recently, there is a popular saying in the circle: Bitcoin’s rise has convinced the outsiders, and Dogecoin’s rise has convinced the insiders. This sentence vividly describes the FOMO sentiment caused by these two coins in different circles in this round of bull market, especially Dogecoin surprised many insiders. In our recent articles, readers often leave messages asking how the follow-up rally of Dogecoin will be.
In an earlier article, I shared my views on Dogecoin. I think this luck may not belong to me. I still think so now. I once bought Dogecoin in 2017 when the bull market had not yet risen, the price was very low at that time, but I couldn't see its value and sold it quickly after a while. Since then, I have never studied Dogecoin again, so I really can't give good suggestions and judgments about its subsequent development.
In fact, there are not only Dogecoin, but also some other currencies. I didn’t buy them in the early stage because I didn’t see their value, but it turned out that their growth rate was indeed amazing.
But I don't have too many regrets about it, because I invested in other varieties that I understand, and I have also reaped satisfactory returns from it, which is enough.
I think the most important thing in Buffett's investment experience is not to give a panacea that can seize all opportunities, but to give emotional control and thinking methods that are applicable to all investment fields. Emotional control is "be greedy when the public is fearful, and fearful when the public is greedy." The way of thinking is the "buy varieties that you can understand" that I mentioned earlier.
In terms of emotional control and thinking, I think it is more difficult for ordinary investors to control emotions. For example, for us digital currency investors, as long as we have basic thinking, we know that we should invest in Bitcoin and Ethereum, but when the bear market really comes and Bitcoin and Ethereum fall to a terrible level, many of us start to be afraid Fear of feet, this is a typical inability to control emotions.
Buffett's rational attitude towards investment and investment thinking have been brought to the extreme level.
In addition, almost all newly-launched projects have ridiculously high prices almost as soon as they go on the market, which is obviously affected by market sentiment. Although there are many projects that I think are valuable, I haven't bought any of them. I am very much looking forward to seeing how far they will fall in the next bear market. By then, it will be time to pick up treasures everywhere.
