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I don't want to argue about Buffet. I would just note that his style of "investing" is unique. He is into buying businesses and not in the sense that you may think as in looking at the purchase of stock as buying a piece of a business. No, he's literally into buying businesses either outright or in significant chunks which guarantees him that nothing would happen at the company without his approval. That's a totally different proposition for which market timing is not crucial.

“As our history indicates, we are comfortable both with total ownership of businesses and with marketable securities representing small portions of businesses. We continually look for ways to employ large sums in each area. (But we try to avoid small commitments - “If something's not worth doing at all, it's not worth doing well”.) Indeed, the liquidity requirements of our insurance and trading stamp businesses mandate major investments in marketable securities.”
- 1981 Letter to Berkshire Hathaway shareholders
http://www.berkshirehathaway.com/letters/1981.html

“We really don't see many fundamental differences between the purchase of a controlled business and the purchase of marketable holdings such as these. In each case we try to buy into businesses with favorable long-term economics. Our goal is to find an outstanding business at a sensible price, not a mediocre business at a bargain price.”
- 1987 Letter to Berkshire Hathaway shareholders
http://www.berkshirehathaway.com/letters/1987.html

“Our equity-investing strategy remains little changed from what it was fifteen years ago, when we said in the 1977 annual report: "We select our marketable equity securities in much the way we would evaluate a business for acquisition in its entirety. We want the business to be one (a) that we can understand; (b) with favorable long-term prospects; (c) operated by honest and competent people; and (d) available at a very attractive price." We have seen cause to make only one change in this creed: Because of both market conditions and our size, we now substitute "an attractive price" for "a very attractive price."”
- 1992 Letter to Berkshire Hathaway shareholders
http://www.berkshirehathaway.com/letters/1992.html

“The art of investing in public companies successfully is little different from the art of successfully acquiring subsidiaries. In each case you simply want to acquire, at a sensible price, a business with excellent economics and able, honest management. Thereafter, you need only monitor whether these qualities are being preserved.”
- 1996 Letter to Berkshire Hathaway shareholders
http://www.berkshirehathaway.com/letters/1996.html

I mentioned research that shows that fundamentals of the company influence only 20% of the changes in price with the rest (80%!) influenced by overall market and the sector the company is in.

So, again, how timing is completely unnecessary?


“We try to price, rather than time, purchases. In our view, it is folly to forego buying shares in an outstanding business whose long-term future is predictable, because of short-term worries about an economy or a stock market that we know to be unpredictable. Why scrap an informed decision because of an uninformed guess?

We purchased National Indemnity in 1967, See's in 1972, Buffalo News in 1977, Nebraska Furniture Mart in 1983, and Scott Fetzer in 1986 because those are the years they became available and because we thought the prices they carried were acceptable. In each case, we pondered what the business was likely to do, not what the Dow, the Fed, or the economy might do. If we see this approach as making sense in the purchase of businesses in their entirety, why should we change tack when we are purchasing small pieces of wonderful businesses in the stock market?”
- 1994 Letter to Berkshire Hathaway shareholders
http://www.berkshirehathaway.com/letters/1994.html
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