Ben Graham and Warren Buffett Discuss Cigar Butt Investing by CSInvesting
We will discuss Sanborn Map (more of an asset investment) and See’s Candies (a franchise) next. As a supplement to Chapter 3 in Deep Value, you have the early Buffett Partnership Letters and the Essays of Warren Buffett. You have a business and investing education right there. Let’s look closer at Warren Buffett’s discussion of “Cigar-butt” investing. Since Warren Buffett wrote this letter in 1989, has he ever gone back to deep value investing? Imagine Ben Graham reading this passage. What would he say to Warren?
Mistakes of the First Twenty-five Years (A Condensed Version) To quote Robert Benchley, “Having a dog teaches a boy fidelity, perseverance, and to turn around three times before lying down.” Such are the shortcomings of experience. Nevertheless, it’s a good idea to review past mistakes before committing new ones. So let’s take a quick look at the last 25 years.