In fact, there is a very clear and obvious thing, that is, the less funds, the more investment operations with higher yields can occur, and the larger the amount of funds, the more difficult it is to operate.
It is very rare for a fund of Buffett's magnitude to be able to make an annual return of tens of percent.
Everyone calls him a stock god, because he is really good, and other investors can't compare with him.
Li Changsheng found Buffett this time because he wanted to cooperate with him in buying Coca-Cola!
Because Li Changsheng vaguely remembers that Buffett made a lot of money by buying 03 Coca-Cola stock.
And now Buffett does not hold Coca-Cola's stock, but will hold it soon.
So Li Changsheng wanted to make some money with the stock god, and see if he could invest in the stock god's company by the way.
After all, the annual rate of return of the stock god's company is much stronger than that of ordinary companies.
At the end of 1979, he advised Buffett to invest in Coca-Cola: "Coca-Cola has a sustainable and stable traditional industry, and soft drinks are one of the largest industries in the world. This industry is characterized by large-scale production, high profit margins, high cash flow, Low capital requirements and high rates of return.
Solid industry leadership, from Australia to Zimbabwe, from Omaha to Osaka, from the Great Wall to the Great Kahuna, millions of people drink 1 billion cans of Coca-Cola a day
Half of the world's carbonated drinks are sold by Coca-Cola, three times as much as its arch-rival PepsiCo. In the United States, the sales of carbonated beverages can reach 50 billion US dollars a year, and Coca-Cola and Pepsi account for 3/4. Today, Coca-Cola sells more than 1 billion cans of Coca-Cola to 5 billion people in the world every day.
Berkshire, managed by Buffett, owns 8% of Coca-Cola, which allows him to get 100 million cans of sales profits every day.
Simple and easy-to-understand business, the business process of Coca-Cola Company is that the company buys raw materials, makes a concentrate, and then sells it to the bottler; the bottler mixes the concentrate with other ingredients, and then makes the final Coca-Cola beverage Sell to retailers, including supermarkets, convenience stores, vending machines, bars, etc., so the business is very simple.
With a high degree of franchise rights, the most important asset of the company lies in its brand. Coca-Cola has become the most widely recognized and respected brand in the world, and it is also a symbol of American culture.
Strong sales system, The Coca-Cola Company has an unparalleled global production and sales system. The company has invested heavily in establishing bottling plants around the world. The Coca-Cola Company provides its syrups and concentrates to about 1,000 franchised bottlers in nearly 200 countries around the world, forming a large scale advantage and consolidating the company's position as a low-cost soft drink producer. .
Coca-Cola is the beverage supplier of choice for many large fast food chains, including McDonald's, Wendy's, Burger King's, Pizzerias, and more. Where there is McDonald's, there is Coca-Cola; where there are supermarkets and convenience stores, there is Coca-Cola. Coca-Cola vending machines are located throughout the United States and Europe. "
The dollars he bought in the United States will continue to roll in the US stock market!
In 1985, before the US stock market crash, he sold Coca-Cola's stock, and then Coca-Cola's stock price plummeted to $3.
Li Changsheng bought again and held firmly.
In fact, he was right. From the end of 1987 to the end of 2009, Coca-Cola rose from $ to $, a cumulative increase of times, and the S&P 500 rose from 247 points to 1020 points, a cumulative increase of times. Over the past 22 years, it has far outperformed the market. .
