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Completely agree. I honestly believe reading the shareholders letters is one of the best "life lessons" readings I have come across. One of the reasons for this is that it's written consistently across the span of one (intelligent) person's life, spanning decades of changes and challenge. WB is transparent about making predictions, and likewise reflective when they don't turn out. He's extremely gracious to everyone around him (constantly calling out great attributes about business partners, colleagues, and even competitors). He's got this consistently optimistic tone about him which is hard to ignore - what could be brittle-dry business writing, instead is full of cheeky humor, anecdotes, advice, etc. In contrast, when I read [auto]biographies of notable people today, we are ONLY seeing the life from a snapshot in time - n accumulation of their life, from deliberately chosen points of view - and we never get to see that relatable part of "what was this person thinking when they were 35 years old, stuck in a panicked business climate". I also think its fascinating to see people's decision-making processes and attitudes change over time. For example, anyone who has read WB's shareholder letters see his attitude change from "buy cigar butts, and sell those" (basically, find OK assets which are undervalued) to "pay a premium for great things, and hold them forever". WB even reflects on this attitude change at times - some of his earlier purchases (like the actual textile mill) was an attempt to identify decent businesses in a bad spot, buy them on the cheap, and turn them around. Later, he basically said - that was just a bad idea, and it's buying trouble for years. Instead, pay a premium for a company which is solid, run by solid people... and let that naturally appreciate in value, and get out of its way. WB mentions Dale Carnegie frequently - I do think reading both "How to Make Friends & Influence People" and Berkshire's Letters to Shareholders could basically be a business course itself - how to do business honorably, ethically, and respectfully. Lots of lessons to be learned there. |
The letters starting from 1995 can be consulted at http://www.berkshirehathaway.com/reports.html.
They are also available in book form 'Berkshire Hathaway Letters to Shareholders', starting from 1965 (with the early partnership letters).
Charlie Munger's Wesco Letters to Shareholders are also interesting, especially the early ones: http://www.wescofinancial.com/.