The Daily Buffett

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The Power of Yawns

November 27th

Beware the investment activity that produces applause; the great moves are usually greeted by yawns.

Warren Buffett

Investment choices that garner widespread acclaim or instant rewards are not often the best decisions. They are usually impulsive, made with an eye towards quick profit and the approval of the crowd. This pursuit of applause, as Buffett would caution us, can misguide us, causing us to prioritize fleeting success over long-term stability.

However, the slow, steady progress of a well-thought-out investment often goes unnoticed. They may not generate much excitement or attention initially. But, over time, they yield consistent, reliable returns. These unassuming, often overlooked decisions, marked by their research and patience, form the foundation of a resilient investment portfolio.

In our investment journey, we should aim for the yawns - the quiet, measured decisions that indicate long-term thinking. For in the world of investing, as elsewhere in life, it is the consistent effort, not the fleeting excitement, that yields lasting rewards.

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