The magic formula looks at many businesses at a high level, rather than understanding the business very well in buying it at a price that makes sense. The buffet approach flips that on head as he tries to buy great businesses trading at a fair price. Green blats approach also potentially has you selling losers, which seems pretty counter intuitive if you chose a great business. In short, i am much more comfortable holding a company like google for the next ten years over a company like best by.

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