From the beginning，Buffett made his fortune from investing. He started with all the money he had made from selling pop，delivering papers，and operating pinball machines. Between 1950 and 1956，he grew his $9，800 kitty to $14，000. From there，he organized investment partnerships with his family and friends，and then gradually drew in other investors through word of mouth and very attractive terms.
Buffett’s goal was to top the Dow Jones Industrial Average by an average of 10% a year. Over the length of the Buffett partnership between 1957 and 1969，Buffett’s investments grew at a compound annual rate of 29.5%，crushing the Dow’s return of 7.4% over the same period.
Buffett’s investment strategy mirrors his lifestyle and overall philosophy. He doesn’t collect houses or cars or works of art，and he disdains companies that waste money on such extravagances as limousines，private dining rooms，and high-priced real estate. He is a creature of habit—same house，same office，same city，same soda—and dislikes change. In his investments，that means holding on to“core holdings”such as American Express，Coca-Cola，and The Washington Post Co.“forever. ”
Buffett’s view of inherited money also departs from the norm. Critical of the self-indulgence of the super-rich，Buffett thinks of inheritances as“privately funded food stamps”that keep children of the rich from leading normal，independent lives. With his own three kids，he gave them each $10，000 a year—the tax-deductible limit—at Christmas. When he gave them a loan，they had to sign a written agreement. When his daughter，also named Susie like her mother，needed $20 to park at the airport，he made her write him a check for it.
As for charity，Buffett's strict standards have made it difficult for him to give much away. He evaluates charities the same way he looks for stocks：value for money，return on invested capital. He has established the Buffett Foundation，designed to accumulate money and give it away after his and his