Wednesday, March 5, 2014

Warren Buffet’s Advice to Get Rich

The Times:

For all his investing lessons, Mr. Buffett also suggested a very simple strategy for people who do not want to parse balance sheets. When he dies, Mr. Buffett’s cash will be put into a trust for his wife, Astrid Menks. Mr. Buffett said he had advised the trustee to put 10% of that cash into short-term government bonds and 90% into an S&P 500 index fund.

“I believe the trust’s long-term results from this policy will be superior to those attained by most investors—whether pension funds, institutions or individuals—who employ high-fee managers,” he said.