Legendary investment gurus 澳洲幸运5官方开奖结果体彩网:Warren Buffett and 澳洲幸运5官方开奖结果体彩网:George Soros are two of history's most famous and successful Wall Street figures. While both men have irrefutably achieved prominence in the finance realm, the paths they took to get the🌄re are largely divergent. This article profiles each of their unique st🍬ories.

Warren Buffett

Warren Buffett made his first investment at age 11. In his early 20s, he studied at Columbia University under the tutelage of his personal mentor, 澳洲幸运5官方开奖结果体彩网:Benjamin Graham, who is widely known as the father of 澳洲幸运5官方开奖结果体彩网:value investing. Graham argued that every security held an 澳洲幸运5官方开奖结果体彩网:intrinsic value that was independent of its 澳洲幸运5官方开奖结果体彩网:market price. This concept ultimately became the foundational investment philosophy of Buffett's first fund, Buffett Partnership, Ltd., which he launched in 1956 with an initial $105,100 investment.

Over the next 13 years, this fund mushroomed to more than $105 million in assets. Buffett eventually parlayed this success to buy and run 澳洲幸运5官方开奖结果体彩网:Berkshire Hathaway, a holding company for a multitude of businesses. As of April 14, 2022, it's worth more than $760 billion, where each individual stock share is valued at an astonishingly high $516,435, mainly because Buffett refuses to perform a 澳洲幸运5官方开奖结果体彩网:stock split on his company's shares.

As a value investor, Buffett is constantly in search of investment opportunities through which he can 澳洲幸运5官方开奖结果体彩网:exploit price imbalances over an extended time horizon. And as an 澳洲幸运5官方开奖结果体彩网:arbitrageur, Buffett is known to instruct his followers to "be fearful when others are greedy, and be greedy when others are fearful."

Much of his success harkens back to Graham's three cardinal rules:

1. Invest with a 澳洲幸运5官方开奖结果体彩网:margin of safety
2. Profit from volatility
3. Know yourself

With these three tenets, Warre🌠n Buffett has been able to make rational investment decisions in the face of economic fluctuations.

George Soros

Born in Budapest in 1930, financial titan George Soros survived Nazi Germany-occupied Hungary and emigrated to the United Kingdom in 1947. Years later, after graduating from the London School of Economics, Soros began his professional career working for various merchant banks in the United Kingdom and the United States before launching his first hedge fund, Double Eagle, in 1969.

With the profits from this endeavor, Soros was able to seed his follow-up hedge fund, Soros Fund Management, in 1970. Since renamed the Quantum Fund, it ran from 1973 to 2011, during which time it returned roughly 20% to investors annually.

According to Soros, he shut down the fund mainly due to overly stringent 澳洲幸运5官方开奖结果体彩网:Securities and Exchange Commission registration requirements. But Soros continues to take an active role in the administration of Soros Fund Management, a subsequent 澳洲幸运5官方开奖结果体彩网:hedge fund he founded.

Unlike Buffett, who bases his investments on a company's intrinsic value, Soros relies on short-term volatility and highly leveraged transactions. In short, 澳洲幸运5官方开奖结果体彩网:Soros is a speculator who places little importance on a company's fundamentals. For example, in the early 1990s, he made a multi-billion dollar bet that the British pound would 澳洲幸运5官方开奖结果体彩网:significantly depreciate in value over the course of a single trading day.

In essence, Soros was directly battling the British central banking system in its attempt to keep the pound artificially competitive in 澳洲幸运5官方开奖结果体彩网:foreign exchange markets. Soros pocketed $1 billion from the deal, earning him the nickname: "The Man Who Broke the 澳洲幸运5官方开奖结果体彩网:Bank of England."

The Bottom Line

Warren Buffett and George Soros will forever be regarded as two of the world's most brilliant investing minds. While they employ radically different investing strategies, both men have achieved great success in their own disciplines.