Buffett The Multicapitalist

This excerpt is from one of my favorite books of all time, Warren Buffett Wealth: Principles and Practical Methods used by World's Greatest Investor written by Robert P. Miles.



Most people think of a capitalist as employing capital to produce good and services at a profit. Buffett has redefined "capitalist" into multiple dimensions.

Intellectual Capital: The gift and development of extraordinary intelligence to deploy capital.

Values Capital: The careful selection of ethics and principles to attract and keep capital.

Value Capital: The artful acquisition of resources at a discount to their real capital.

Capital: Access to ever-increasing resources to allocate to their best use.

Human Capital: Selecting and associating with people who cause you to perform better.

Social Capital: Having the right connections for the right reasons to move in the circles that bring more and better deals.

Opportunity Capital: Being the first one called when a business opportunity meeting specific acquisition criteria becomes available.

Business Model Capital: Developing a business environment to attract an untold variety of businesses and managements under one umbrella.

Circle of Capital: Successfully allocating the excess capital of one business into the acquisition or expansion of another.

Influence Capital: Able to influence the U.S. Congress to give Salomon Brothers (a partly and previously owned company) another chance to save the jobs of over eight thousand associates. Also able to influence all branches of government: legislative, judicial, and administrative. Can attract over fifty worldwide media outlets to cover Berkshire's annual meeting, while giving limited access to interviews during the rest of the year.



Warren Buffett Wealth is an excellent book to read regardless of whether you are a new or experienced investor. I highly recommend it.

Thanks,
Mayur

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