Amidst this wave of complexity, have we forgotten the fact that the most productive investing is the simplest investing, the most peaceable investing, the lowest-cost investing, the most tax-efficient investing—investing with the most consistent strategies and over the longest time horizon? Apparently so. And I’m afraid that the new jazzed-up

Schumpeter. In his Theory of Economic Development, written nearly a century ago, Schumpeter dismissed material and monetary gain as the prime mover of the entrepreneur, finding motivations like these to be far more powerful: (1) The joy of creating, of getting things done, of simply exercising one’s energy and ingenuity, and (2) The will to

Look at the modish popularity of so-called Monte Carlo simulations. The problem with these simulations—essentially calculating the monthly returns on stocks, tossing them into a blender, and casting the seemingly infinite series of permutations and combinations in the form of probabilities—is that by relying simply on historic total returns for

If there were a single phrase that best articulates the attitude of business leaders and managers who both deserve and reward a great workforce, it would be “press on, regardless.” It is a rule of life that has been a motto of my family for as long as I can remember, and has sustained me through times thick and times thin alike.19 The motto’s

Rule 8: A Reminder—Loyalty Is a Two-Way Street

“Once you decide whether you expect to be in business for a short time or a long time, most of the right decisions are easy.”

In the very long run, all of the returns earned by stocks are created not by speculation but by investment—the productive power of the capital invested in our business enterprises. History tells us, for example, that from 1900 through 2007 the calculated annual total return on stocks averaged 9.5 percent, composed entirely of investment return,

Building a Great Organization

While I won’t dwell now on the Judeo-Christian values that I deeply cherish, I would note that virtually all religions preach the existence of a supreme being, the virtues of a Golden Rule, and standards of conduct that parallel the Ten Commandments. We thrive as human beings and as families not by what faith we happen to hold, but by having faith,