In a time where debt is catching up with companies and individuals alike it is important to look at those who have led the way: what have they done to amass their wealth and importantly what have they avoided doing?
With banks and countries collapsing (Iceland is teetering the brink of bankruptcy), Japan is potentially already in recession and the EU and US are in disarray, it is hard to go past Warren Buffett in looking at the best way to handle difficult times.
Over the past thirty-five years, Warren Buffett has emerged as arguably the greatest investor in American history, and is currently listed by Forbes as the world’s wealthiest individual with a fortunate of approximately $US62 billion.
If you had invested $10,000 in Berkshire Hathaway when he took control in 1965, your holdings would be worth more than $50 million today. Buffett still lives in the same house he bought three decades ago for $31,500 and drives an older Lincoln Towncar.
This all points to avoiding excess and showing restraint, even in the good times. Warren Buffett had humble beginnings and has never lost sight of what it takes to continue succeeding and preparing for the tougher times. It’s certainly never too late to take notice: the sooner the better!