In Pick­ing War­ren Buffett’s Brain: Notes from a Novice, Tim Fer­riss shares the notes he took at a recent con­ven­tion for Berk­shire Hath­away share­hold­ers. It’s an inter­est­ing read and here’s the crux of it all:

How would you invest your first mil­lion dollars?

“I’d put it all in a low-cost index fund that tracks the S&P 500 [UK equiv: FTSE All-Share] and get back to work…”

Why do peo­ple strug­gle with this sim­ple invest­ing con­cept? Because peo­ple believe the experts, and when you pay the experts for advice… well, I’ll let War­ren continue:

“No one will give you this advice [index funds] because no one gets paid for it.”

How about the best books to read “for invest­ing and life”?

  • Buf­fett: Chap­ters 8 and 20 in The Intel­li­gent Investor.
  • Munger (Vice-Chairman, Berk­shire Hath­away): Any­thing by Ben Franklin.