The friendship between America’s two richest, men Bill Gates and Warren Buffett, is not anything to marvel at. What is surprising is that despite decades of successful business strategies and billions of dollars earned, the Microsoft founder has not closed his mind to the new things that he continuously learns from the Omaha billionaire.
Bill Gates summarized the most essential things he came to know through the friendship with his fellow philanthropist in the article titled “Three Things I’ve Learnt From Warren Buffett” published in June 2013, shortly after the annual shareholders meeting of Berkshire Hathaway. Buffett is not nicknamed “Sage of Omaha” for nothing – the man does not only regularly top the lists of the world’s wealthiest and most influential persons, he also has a unique outlook on life that helps him to really make a difference.
“Here are three things I’ve learned from Warren over the years”, says Gates in his LinkedIn post:
Learn From Market’s Mistakes
The most striking thing about Warren Buffett’s framework is not at all the way he carefully considers his investments; it is something that could be called intuition if it weren’t so straightforward. The concept of intuition is intangible, while Buffett’s idea of valuable assets is purely analytical and genuinely logical. It is as simple as it is original; it lies with seeing the big picture and assessing the strong points of companies. Looking into companies’ potential is essential. Investing in companies with growth potential is way more hands-on than being a shareholder for a market favorite whose potential is shrinking or stagnating. “You want to take advantage of the market’s mistakes – the companies that have been underpriced”, highlights one of the most successful American investors.
Transparency Wins Hearts… And Fortunes
Perhaps the most prominent thing about Warren Buffett is that he never shies away from taking a stand for the things that he believes in. He is both outgoing and particular about his personal time, which is a great combination for a businessman of his standing.
Bill Gates’ way of describing his friend and business role model is as follows: “He’s not afraid to take positions, like his stand on raising taxes on the rich, that run counter to his self-interest”.
Gates also points out the way that the Berkshire Hathaway founder always feels involved when communicating with his shareholders; he is a generous advisor and a grateful learner at the same time.
Another big thing about Warren Buffett’s business communication style is his annual letter to shareholders, which is always frank and contains valuable criticism. A lead that Bill Gates himself thought wise to follow.
Money Can’t Buy Me Time
The last but not the least lesson to be learnt from Warren Buffett is remembering how irreplaceable a resource time is. The man worth $65.5 billion firmly believes that his calendar should be filled with nothing but the most giving meetings.
Buffett is consistently benevolent to the people whom he trusts and the ideas that he is passionate about; one such idea is his vision of philanthropy changing the world to the better, and this is what Gates relates to as having in common with Buffett above anything else.