Warren Edward Buffett American investor, chairman CEO of Berkshire Hath way is a good friend we all need at the time of crisis. The experienced Buffet shares are timeless and philosophical and lessons are not exclusively for investors only:
Cash is always king: This is the most influential of Warren Buffet that emergency can come at any time cash reserve is an important factor for all of us to meet the emergency. Cash is the only thing in the end that can help you safeguard you from the uncertainties in the future. “Having loads of liquidity …let us sleep” well said in his 2009 shareholder’s letter. In the letter, he also emphasizes the art of limiting your analytical misadventures to buy things that you need. Even you are billionaire cash is something that should be handled very cautiously that he would wait for a quality company that suits his portfolio to invest. Of course, unrestricted expenses are good for the gross domestic product of the company, but certain it is a disadvantage for an individual. Even he become billionaire Buffet still lives in the same house bought in 1958 and never spent more than $3.17 on breakfast.
Stick to your long term plans: Always plan for the future rather than concentrating on short term goals your current actions and plans should have a long term impact. Decide a business and invest somehow it will help you in the future.
Invest in yourself: This advice helps buffet to reach success. When he was younger he was afraid of public speaking he found that 50 percent of such fear can be overcome through improving your communication skills both in terms of written or verbal. Buffet credit parts of his success mantra to the investment is that he made in himself. The best investment that you can make is yourself. Credit card debt: The biggest disadvantage of credit cards is that they encourage people to spend money that they don’t. While this may seem like free money at that time, you will have to pay it off the more money you owes credit card companies charge you interest each month on the money you borrowed. The oracle buffet has advised people to avoid using credit cards as a piggy bank. In India interest rates for credit cards increase to 36% still many are dependent on credit cards for their lavish expenses.