Archive · 29 Nov 2025
Warren Buffett on Temperament in Investing
Warren Buffett, a famous investor, gave an interview in 1985 that is still relevant today.
He says that the most important thing in investing is not how smart you are, but your temperament, or how you handle things.
He believes in buying things for less than they are worth and being patient.
He also says it's important to ignore what everyone else is doing and focus on the real value of a business.
Buffett prefers to stay in Omaha, away from the busy world of Wall Street, because it helps him stay focused and patient.
He only invests in things he understands and waits for the right opportunity.
Warren Buffett's 1985 interview highlights the importance of temperament over IQ in investing.
His key principle is 'The first rule in investment is don't lose. The second rule is don't forget the first rule.'
Buffett emphasizes the importance of intrinsic value and ignoring market noise.
He prefers to stay in Omaha to avoid the distractions of Wall Street and maintain a long-term focus.
Buffett's approach involves waiting patiently for the right investment opportunity and staying within his circle of competence.
- Who
- Warren Buffett
- What
- Discusses the importance of temperament in investing
- When
- 1985 interview, resurfaced recently
- Where
- Omaha, away from Wall Street
- Why
- To emphasize the enduring principles of value investing
- Interview Year
- 1985
- Key Principle
- Don't lose money
- Buffett's Edge
- Temperament over IQ
- Investment Focus
- Intrinsic value and business fundamentals
- Location Preference
- Omaha, away from Wall Street
- Patience
- Waiting for the right opportunity