The Warrant Buffet Way, 30th Anniversary Edition Forward to the First Edition Forward to the Second Edition Forward to the Third Edition Preface Chapter 1: World''s Greatest Investor 1 Tracking Success 3 Understanding Patterns 4 The Making of an Entrepreneur 5 Chasing His Dreams: Early Influences 7 Getting an Education 11 Investing Becomes the Focus 13 Buffett Limited Partnership 15 Growing the Partnership 16 Beating the Dow 17 Berkshire Hathaway: Compounding Conglomerate 19 Chapter 2: The Education of Warren Buffett 1 Howard Homan Buffett: Earliest Influence 3 Political Roots 4 Philisophical Roots 6 Benjamin Graham: Developing an Investment Methodology 8 Early Years as an Investor 9 Defining Investment 10 Value Investing 13 Philip Fisher: Discerning a Good Business 15 The Significance of Profit 18 The Signifcance of Management 19 The Circle of Competence 21 Charlie Munger: An Intellectual Perspective 22 The Workings of a Polymath 25 Foundations of Worldly Wisdom 27 Rational Thinking 30 Rational Investing 32 Chapter 3: Business-Driven Investing 1 Business Tenets 4 Simple and Understandable 4 Consistent Operating History 5 Favorable Long-Term Prospects 6 Management Tenets 7 Rational Management 7 Candid Management 9 The Institutional Imperative 10 The Measure of Management 12 Financial Tenets 14 Return on Equity 14 Owner Earnings 16 Profit Margins 17 The One-Dollar Premise 18 Value Tenets 18 Determine the Value 19 Buy at Attractive Prices 23 An Intelligent Investor 23 Chapter 4: Common Stock Purchases: 2 Five Case Studies 2 The Washington Post Company 5 Tenet: Simple and Understandable 7 Tenet: Consistent Operating History 8 Tenet: Favorable Long-Term Prospects 8 Tenet: Determine the Value 9 Tenet: Buy at Attractive Prices 10 Tenet: Return on Equity 10 Tenet: Profit Margins 11 Tenet: Rational Management 11 Tenet: The One-Dollar Premise 12 GEICO Corporation 14 Tenet: Simple and Understandable 16 Tenet: Consistent Operating History 17 Tenet: Favorable Long-Term Prospects 19 Tenet: Candid Management 19 Tenet: Rational Management 20 Tenet: The Institutional Imperative 21 Tenet: Return on Equity 23 Tenet: Profit Margins 23 Tenet: Determine the Value 23 Capital Cities/ABC 25 Tenet: Simple and Understandable 26 Tenet: Consistent Operating History 26 Tenet: Favorable Long-Term Prospects 27 Tenet: Determine the Value 27 Tenet: The One-Dollar Premise 30 Tenet: Rational Management 30 Tenet: The Institutional Imperative 31 The Coca-Cola Company 33 Tenet: Simple and Understandable 34 Tenet: Favorable Long-Term Prospects 34 Tenet: Profit Margins 36 Tenet: Return on Equity 36 Tenet: Candid Management 37 Tenet: Rational Management 38 Tenet: Owner Earnings 38 Tenet: Determine the Value 38 Tenet: Buy at Attractive Prices 40 Apple, Inc. 41 Tenet: Simple and Understandable 43 Tenet: Return on Equity 45 Tenet: Determine the Value 46 Tenet: Rational Management 51 Tenet: Favorable Long-Term Prospects 52 The Value of Retained Earnings 56 Chapter 5: Managing a Portfolio of Businesses 1 Portfolio Management Today: A Choice of Two 2 A Third Choice: Focus Investing 4 John Maynard Keynes as Investor 8 Buffett Partnership, LTD. 10 Charles Munger Partnership 10 Sequoia Fund 11 Lou Simpson: GEICO 13 Three Thousand Focus Investors 14 A Better Way to Measure Performance 17 The Tortoise and the Hare 18 Alternative Performance Benchmarks 22 Look-Through Earnings 23 Berkshire''s Measuring Stick 24 Two Good Reasons to Move Like a Sloth 25 Reduce Transaction Costs 26 After-Tax Returns 27 High Active-Share Investing 29 Chapter 6: It''s Not That Active Management Doesn''t Work 1 High Priests of Modern Finance 2 Markowitz: Measuring Risk 3 Variance: Quantifying Risk and Return 5 Sharpe: Defining Volatility 6 Buffet: Business Driven Investing 8 Rethinking Modern Portfolio Theory 11 Efficient Market Hypothesis 13 Market Efficiency: In Theory 15 Market Efficiency: In Practice 16 Investment and Speculation: Understanding the Difference 19 Investing in a Parallel Universe 23 Chapter 7: Money Mind 1 Sportsman, Teacher, Artist 3 Buffet the Sportsman 4 Buffett the Teacher.