12 Mar Warren Buffett’s childhood | How was he raised?
Warren Edward Buffett, the man known as the “Oracle of Omaha,” was born in Omaha, Nebraska on August 30th, 1930. Buffett is regarded as one of the most successful businessmen of all time and his investment strategies at his firm Berkshire Hathaway have been lauded for decades. He became a millionaire by the age of 30 and a billionaire aged 56. In 2008, Forbes listed Buffett as the richest man in the world.
Warren Buffett’s parents
Warren Buffett is the son of Howard and Leila Buffett. He was the second of their three children. Buffett’s parents provided him with a secure and nurturing childhood; one that set him up for success. But who were they?
Warren Buffett’s father, Howard Buffett, was a stockbroker and successful politician. He was a four-term Congressman from Nebraska, and a passionate supporter of fiscal responsibility and the gold standard. He believed that government should not interfere in the workings of the free market and campaigned for smaller government and lower taxes. Howard Buffett also had a keen eye for investments and was an early investor in Coca-Cola.
Warren Buffett’s mother, Leila Stahl Buffett, was a homemaker who also managed the family’s investments. She was a frugal manager and was known to shop at discount stores and clip coupons to save money. She was also an active philanthropist, donating her time and money to numerous charities.
How was Warren Buffet raised?
Warren Buffett’s parents raised him with a strong sense of responsibility and self-reliance. From a young age, his father taught him the importance of financial literacy and sound investment principles. He encouraged Warren to be an independent thinker and to make his own decisions.
Howard Buffett encouraged Warren to be an independent thinker by teaching him the importance of financial literacy and sound investment principles. He provided Warren with the tools he needed to think for himself and make his own decisions. Howard Buffett also encouraged Warren to read widely, explore different ideas, and ask questions. He used to tell Warren that if he couldn’t explain something to him, he should go learn more about it.
Buffett’s mother also encouraged him to pursue his interests and develop his skills. She was an active philanthropist and instilled in her son a sense of giving back to the community. She encouraged her son to be generous and compassionate.
Early signs of wealth creation
At an early age, Buffett displayed an interest in business and investing. He bought his first stock at the age of eleven, and by the age of thirteen, he had already accumulated a portfolio of six stocks. He also began reading the Wall Street Journal and other financial publications. Buffett’s interest in investing and business was further nurtured when his father took him to the New York Stock Exchange when he was fifteen.
Buffett’s teenage years were marked by academic excellence. He was a straight-A student in high school and skipped two grades, graduating from high school at the age of sixteen. After high school, he attended the Wharton School of Finance at the University of Pennsylvania. Although he had planned to pursue a graduate degree in economics, he left the university after two years and enrolled at the University of Nebraska-Lincoln where he studied business and investment principles. He graduated with a Bachelor of Science in Business Administration in 1954.
Warren Buffett’s first jobs
During his undergraduate years, Buffett worked a number of jobs. He sold newspapers, delivered papers, and worked as an usher at a local movie theater. He also became a bookkeeper for the Nebraska Furniture Mart, which was owned by his father’s friend, Rose Blumkin. It was during his time as a bookkeeper that Buffett first realised the power of compounding interest.
Upon graduation, Buffett took a job as an investment analyst at Buffett-Falk & Company, a securities firm in Omaha. This is where he developed his early investment strategies. Buffett moved to New York City to work for his mentor, Benjamin Graham, at the investment firm Graham-Newman. He returned to Omaha in 1956 to start his own investment firm, Buffett Partnership Ltd., which eventually became Berkshire Hathaway Inc.
Rise to success
In 1956, Buffett founded the Buffett Partnership Ltd. in Omaha. The partnership was a limited liability company that pooled investors’ money and invested in stocks. During this time, Buffett also established himself as an astute investor and made several investments in companies such as Coca-Cola, American Express, and Gillette.
Buffett’s investments paid off, and his net worth grew substantially. By the time he was in his early thirties, he was a millionaire. In 1965, Buffett closed the Buffett Partnership and began investing in Berkshire Hathaway, a textile manufacturing firm. He later transformed the company into a holding company and invested in a wide range of companies.
Find out more about Warren Buffett’s life and investment strategies
There are dozens of books about Warren Buffett but two of the most popular are “The Snowball: Warren Buffett and the Business of Life” by Alice Schroeder; and “The Warren Buffett Way” by Robert Hagstrom.
Throughout his life, Buffett has continued to use the same principles he learned and developed during his childhood. He has also been a generous philanthropist and has donated billions of dollars to charitable causes. His story serves as a testament to the power of hard work, dedication, and investing.