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The Value Perspective with 10k Diver REPLAY

The Value Perspective

CHAPTER

Warren Buffett and Charlie Munger on Volatility

I think that when you wrote your piece or made available your piece on the volatility tax, you started the thread making a reference to how investors, and especially value investors that follow were above it. And what a lot of people take away from this is don't care about volatility. Volatility doesn't matter what matters is the return that you get. But there is not a single company on Earth that can deliver the same return on capital every single year. So, even if you believe that stocks are not really instruments that just go up and down, they are based on some concept. They are based on the earnings and cash flows of the underlying company.

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