Random Thoughts..

The path would never be smooth... If someone has invested 53 years ago in Warren Buffett’s company, Berkshire Hathaway, he would have made a return of 2,404,748% returns. Yes, you read it right. We all know about the huge wealth creation by Buffett. Stock markets would always be volatile. At the cost of repetition, 10% correction once a year, 20% fall once in few years and 30% fall once a decade is very normal. Don’t panic. This is how markets work. During the journey of last 53 years, though the company was growing leaps and bounds, Berkshire share price had suffered four major falls. Between March 1973 to January 1975, it fell by 59.1% In a single month, in October 1987, it fell by 37.1% Between June 1998 and March 2000, it fell by 48.9% During the global recession, between September 2008 to March 2009, it fell by 50.7% Though huge wealth was created by anyone who invested in Berkshire, the above four falls would have been gut-wrenching. There would have been many