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> I just asked ChatGPT

Please don’t do this.

> what Warren Buffett's strategy is, and it said buying undervalued companies and holding for a long time

No. It’s cheap leverage applied to low-volatility assets bought for a fair price [1]. (Munger got him off the ‘cigarette butt’ strategy of buying on the cheap.)

[1] https://www.nber.org/system/files/working_papers/w19681/w196...



According to the paper you posted (interesting analysis), it’s not just low-vol assets, but good quality ones. Also, they would no doubt do a lot more buying of undervalued (good quality) companies if they weren’t by this point “too big to care”, so to speak.




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