Assets Quote by Warren Buffett
“When Berkshire Hathaway laid out three billion dollars for GE today, we didn't spend it, we invested it. When the Federal government buys the mortgages, they're not spending it, they're investing it. Now, they're investing it in distress type assets but they're buying them at distress prices if they buy them at market. It's the kind of stuff I love to do. I just don't have 700 million. Maybe we could go in it together.”
About This Quote
Source Speech: Berkshire Hathaway Annual Shareholder Letter, 2008
Investing in distressed assets at low prices can yield high returns, unlike mere spending.
In simple terms: Buy low, invest wisely.
Key Takeaway
Seek undervalued opportunities.
Themes
finance
investment
risk management
Mood
analytical
strategic
Type
financial
business
When to use this quote
- corporate acquisitions
- government mortgage purchases
- private equity deals
- portfolio diversification
Key Concepts
value investing
distressed assets
capital allocation
Questions to Reflect On
- How do you assess true distress value?
- What safeguards protect against total loss?
A Different Perspective
Distressed assets may never recover, leading to losses.
![“[The U.S. Treasury] can borrow basically unlimited amounts. They can stay there for years and years. These assets will be worth more money over time. So when Merrill Lynch sells a bunch of mortgage-related assets at 22 cents on the dollar like they did a month or so ago, the buyer goes - is going…” quote by Warren Buffett](https://sms4smile.com/quotes/img-quotes/a2a/warren-buffett-183_amount_the-u-s-treasury-can-borrow-basically-un_2051464.jpg)
![“[When I die], I will decidedly not be regretting missed opportunities for a good time. My regrets will be more along the lines of a sad list of people hurt, people let down, assets wasted and advantages squandered.” quote by Anthony Bourdain](https://sms4smile.com/quotes/img-quotes/ba3/anthony-bourdain-649_advantage_when-i-die-i-will-decidedly-not-be-regre_24502.jpg)
