Buffett signs off with a message about mistakes, legacy, and the Golden Rule

We’re thinking this morning not about IPO pipelines, gigaprojects, economic indicators, or interest rates, but about the stepping-down of an icon who has been a fixture of the global investing scene for more decades than 99.999% of EnterpriseAM readers have been alive.

Warren Buffett, the so-called Oracle of Omaha, has written his last annual report, saying in his customary Thanksgiving note that he won’t hold the pen on Berkshire Hathaway’s next annual report. (Buffett will step down at year’s end, handing the reins to top lieutenant Greg Abel.)

It’s the end of an era: Buffett’s annual letters were required reading in global finance — so closely read by many in the global business community that they’ve long been treated as market-event pillars. Fans praised Buffett’s folksy, down-to-earth wisdom and the insights he offered on everything from value investing to the allocation of capital and long-term business thinking. The release of a Buffett letter was an “event” for the global business press, which would invariably dissect his missives for witty insights on investment, management, and the state of the US (and global) economy.

Buffett’s concluding message is about forgiveness, second chances, and making the most of life. (Sure, he talks about Berkshire’s transition to Abel and his personal philanthropic plans — but the meat for readers in our corner of the world? It’s in the last couple of pages.)

The best quotes:

Forgive yourself — and learn from your damn mistakes: “I’m happy to say I feel better about the second half of my life than the first. My advice: Don’t beat yourself up over past mistakes — learn at least a little from them and move on. It is never too late to improve.”

Don’t be a jerk: “Remember Alfred Nobel, later of Nobel Prize fame, who — reportedly — read his own obituary that was mistakenly printed when his brother died and a newspaper got mixed up. He was horrified at what he read.”

*Actively* decide how you want to live your life: Nobel, Buffett writes, “realized he should change his behavior. Don’t count on a newsroom mix-up: Decide what you would like your obituary to say and live the life to deserve it.”

Cliché as it may sound from one of the world’s wealthiest men: It’s not all about the money. “Greatness does not come about through accumulating great amounts of money, great amounts of publicity or great power in government. When you help someone in any of thousands of ways, you help the world. Kindness is costless but also priceless. Whether you are religious or not, it’s hard to beat The Golden Rule as a guide to behavior. … Keep in mind that the cleaning lady is as much a human being as the Chairman.”

Tap or click here to read Buffett’s full letter (pdf).

MARKETS THIS MORNING-

Asian markets are mixed in early trading this morning as investors react to signs that the end of the US government shutdown is upon us. The Nikkei and Kospi are in the green, looking at gains of 0.4% and 1.4%, respectively, and markets in China and Hong Kong are in the red.

THE CLOSING BELL-

The DFM fell 0.3% yesterday on turnover of AED 673 mn. The index is up 16.4% YTD.

In the green: Ekttitab Holding Company (+14.8%), Chimera S&P UAE Shariah ETF- Share class B – Income (+10.0%) and National Industries Group Holding (+6.3%).

In the red: Al Mal Capital REIT (-9.9%), Agility The Public Warehousing Company (-4.9%) and Shuaa Capital (-2.2%).

Over on the ADX, the index fell 0.5% on turnover of AED 914.3 mn. Meanwhile, Nasdaq Dubai was down 1.2%.