– P.J. O’Rourke.
On May 29th 1969, Warren Buffett wrote to his partners at the Buffett Partnership, informing them of his intention to retire, and wind up the business. The letter expressed his concerns with admirable candour:
“Quite frankly, in spite of any factors set forth on the earlier pages, I would continue to operate the Partnership in 1970, or even 1971, if I had some really first class ideas. Not because I want to, but simply because I would so much rather end with a good year than a poor one. However, I just don’t see anything available that gives any reasonable hope of delivering such a good year and I have no desire to grope around, hoping to “get lucky” with other people’s money. I am not attuned to this market environment, and I don’t want to spoil a decent record by trying to play a game I don’t understand just so I can go out a hero.”
Money managers are not necessarily known for their integrity, and as the fund management profession has become more and more institutionalized, it is unlikely that many practitioners today would have the moral courage to pen similar words to their investors, even if they shared Buffett’s sentiments.
Times may change, but human nature doesn’t. Here is an excerpt from a Financial Times piece published on December 29th 2015:
“Investment guru Warren Buffett is headed for his worst year relative to the rest of the US stock market since 2009, with shares in his conglomerate Berkshire Hathaway down 11 per cent with two more trading days to go.
…click on the above link to read the rest of the article…
