Buffett believes in the power of compounding from "summary" of The Warren Buffett Portfolio by Robert G. Hagstrom
Warren Buffett's investment philosophy is based on a simple yet powerful concept - the power of compounding. He understands that compounding is the key to wealth creation over the long term. By reinvesting the earnings from his investments, Buffett allows his money to grow exponentially, generating even greater returns in the future. Buffett's approach to investing focuses on finding high-quality companies with strong competitive advantages and holding onto them for the long haul. He is not concerned with short-term fluctuations in the market, but rather with the long-term growth potential of the companies he invests in. This patient approach allows him to benefit from the power of compounding, as his investments continue to grow steadily over time. By reinvesting the dividends and c...
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