Chapter 1: Two great revelations that made Warren the richest person in the world
In the mid-sixties Warren began to reexamine Benjamin Gra-ham’s investment strategies. In doing so he had two stunning revelations about what kinds of companies would make the best investments and the most money over the long run. As a direct result of these revelations he altered the Graham-based value investment strategy he had used up until that time and in the process created the greatest wealth-investment strategy the world has ever seen
It is the purpose of this book to explore Warren’s two revelations —
How do you identify an exceptional company with a durable competitive advantage?
How do you value a company with a durable competitive advantages?
— to explain how his unique strategy works, and how he uses financial statements to put his strategy into practice. A practice that has made him the richest man in the world.
