Wide Moat Investing

A good business is like a strong castle.

As Warren Buffett once told his shareholders, “I don’t want an easy business for competitors. I want a business with a moat around it. I want a very valuable castle in the middle and then I want a duke who is in charge of that castle to be very honest and hardworking and able. Then I want a moat around that castle. The moat can be various things: The moat around our auto insurance business, GEICO, is low cost.”

Every business has a moat, but how wide is it?  Is there water in it?  Is the moat shrinking or expanding?

Moats may be evaluated quantitatively or qualitatively, so we will need to employ a variety of methods.  Along the way, we will learn all we can from Fisher, Buffett, and Graham, and hopefully, make some wise investments too.


One response to “Wide Moat Investing

  1. Hi thanks for a great post. I’ll be back :)

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s