A very good book on forming a proper framework for investing and the reasons behind it. Supposedly builds on «The Warren Buffett Way» by the same author, but stood very well on it’s own. Well written.

In The Warren Buffett Portfolio, Robert Hagstrom lays down the latticework of models used by Buffett and Charlie Munger in their investing work. If you're looking for a hard figure, technical how-to, financial modeling book, this is NOT the book for you. Instead, this is a book about mindset and approach.

Reading through the book, you'll learn about things that Buffett and Munger thinks is important for an investor, their view on modern portfolio theory and risk/return, people who have influenced them, as well as the mindset and attitude to have as an investor. Although all these things cannot guarantee that readers will eventually succeed in their investment venture, all these "soft skills" may be a guiding light on how to think about investment. And for that, I think that the book is immensely priceless.

While the book talks a lot about the soft skills, the author also presents some statistical findings based on his research to validate certain theories. I personally think that this is a nice touch.

Why the four star then after all the rave for the book? While I think it's a great book, I have a sense that the author comes across as very biased for Buffet style of investing. This is not entirely a bad thing, but for investors who already subscribe to this line of thought, the book will be more of a confirmation to their belief and hence, an amplification of confirmation bias. If you're already a believer, skip this one.

[Audiobook] Book can be summarized into 3 points sentence: 1) invest in a concentrated portfolio of high quality stocks, 2) buy at a discount to intrinsic value, 3) have lower portfolio turnover (ie buy/sell less).

Gave it only 3 stars as the author didn’t sufficiently consider the implications of volatility / drawdown. Also, in hindsight, would read The Warren Buffet Way before reading this book. This book serves more as a sequel on how to manage a portfolio using investment techniques taught in The Warren Buffet Way.

It is an excellent primer on almost everything that is important for long term investing (other than the financial and business evaluation of the company itself). It gives you the entire toolkit including, thinking of stocks as business, making large focused bets, holding patiently, benchmarking companies on parameters different from stock price, importance of staying away from forecasts, psychology of misjudgement and probabilities.

The book has excellent breadth. However, one shortcoming is that it lacks the required depth on some of the topics. Still a good place to begin.

The best part I can take away from this book was, when the Buffet mentioned that it was the longest three years of his life, when he was sitting with idle cash and doing nothing and waiting for the market to correct. And when the market corrected itself after three long years of bull run, he was ready to invest in fundamentally strong companies at cheap price, while everything was whining about the pain of huge loss in the market.
That is what differentiates great investors from a common investor.

Also he learnt from the mistakes of Benjamin Graham, his guru and mentor, who lost most of his assets value in 1929 recession. So, a great investor learn not only from his own mistakes, but from other mistakes also. So, while the market was valued high , he sold all his shares and just kept watching the market as a stand-by. He knew anytime market would correct, and then he will pull the trigger.

Gives insight and comparison between value investing and diversified portfolio. One time read

The book talks about mental models before it was written. And as I read the mental model book it talks about how Charlie Munger mentioned it. Learned a lot about focused portfolio and using economic model to pick companies and not merely stock. Will need to re-read this book as I understand more about investment. Highly recommend it to people who are learning investment like me.

I have been reading about and testing a lot of option strategies, and although I believe they can be valid day/swing trading techniques -- The results of Warren Buffett, Charlie Munger, Ben Graham, and other devout value/focus investors sums up my thesis = They are right. Really enlightening book, and I do plan to read Robert Hagstrom's first book on Buffett!

A good book but since i have read quite a lot of materials and watched both Berkshire Hathaway and Daily Journal annual meeting, the book content is not very new.

Concentrated investments are critical to achieving market-beating returns for many years.

This is Robert Hagstrom's main argument throughout The Warren Buffett Portfolio.

Hagstrom illuminates how Warren Buffett throughout his entire career has achieved his legendary performance by managing a very concentrated portfolio with occasional huge bets on great opportunities - an approach he calls focus investing.

The book is really good. I resonated immediately with the mental framework described. I always knew of Buffett's history of making concentrated investments within his circle of competence, but I didn't recognize it's vital importance until I read The Warren Buffett Portfolio.

What I find striking about it is how Hagstrom manages to keep every argument clear and structured throughout the entire book. Like Buffett, Hagstrom has a great ability to explain difficult topics in an easy-to-understand format and he connects each argument very smoothly as you pass through the book.

The Warren Buffett Portfolio is divided into two large parts where the first part introduces the concept of focus investing and its main elements including both academic and statistical rationales. The second part turns attention to other fields of study: mathematics, psychology, and the science of complexity. The book ends with Hagstrom giving clear guidance for how every investor can initiate a focus investment strategy.

Read my entire summary and notes of the book at Junto

I finally read this. Here's how it went.

Started off with cheerful remarks and I was settling in to the rhythm.
Next thing it switched up so fast into one of my CFA preparatory text books, I felt some PTSD reading about Capital Asset Pricing Models again, but the longer I read the better it got, it was like a bitter bitter pill that you had to swallow.
Investing isn't what the movies make it seem, it's actually sweaty hard work

TO SUCCEED IN IVNESTING YOU NEED TO UNDERSTAND;
- ACCOUNTING AND FINANCE
- STATISTICS AND PROBABILITIES
- PSYCHOLOGY OF MISJUDGEMENT

WB believes its important to have a fundamental grasp of maths and probabilities and investors should understand the psychology of the market.

With each investment you make you should have the courage and conviction to place at lease 10% of your net worth in it.

The more knowledge you have about a company the less risk you are likely to be taking.

Selling a stock means a capital gain is realised, so each new pick has the anchor of outperforming the CGT associating with the stock it replaced.

2p-1+ bet size, with p being the probability of success.

All intelligent investing is value investing.