Success honours the steady

A lot has been said and written about the investing genius of veterans like Warren Buffett and Rakesh Jhunjhunwala. But in this edition of Wordsworth Wisdom, we sought to highlight their astonishing ability of identifying and, more importantly, sticking with winning investments, as described by veteran investor Mohnish Pabrai, the founder of Pabrai Wagons Fund. In an interview, Pabrai talks about how discipline and conviction have been the recipe of success for legends like Buffett and Jhunjhunwala. He also talks about why valuations are just as important as discipline for successful investing. We lay out some key takeaways from his chat. You can check the entire interview here. Learning Buffett-like discipline 101 Did you know that in nearly 60 years of running Berkshire Hathaway, Warren Buffett, or the Oracle of Omaha, as he is known, found only about 12 investment ideas that turned out to be his biggest wealth creators? Pabrai recalls this tidbit to underscore how rare truly extraordinary investment opportunities are. And how Buffett's approach wasn't about chasing every potential winner but rather zeroing in on those few monumental opportunities that could generate outsized returns. "If I go back to just the period

This article was originally published on October 01, 2024.