Billionaire Warren Buffett has a way of distilling timeless, vital investing concepts into almost humorous quips. While they might make you chuckle at first, they’re often meant more literally than most people realize. This is true of an important concept outlined in his 1996 letter to Berkshire Hathaway (BRK.B) (BRK.A) shareholders, when he wrote, “we continue to make more money when snoring than when active.”
It wasn’t self-deprecation, and it wasn’t humor for humor’s sake. It was a blunt summary of how Berkshire Hathaway actually created wealth, and an indictment of how most investors think they should.
