Warren Buffett Invests Like a Girl LouAnn Lofton When I first read the book title Warren Buffett Invests Like a Girl (HarperCollins, $25.99), I pictured the 80-year-old billionaire wearing a pinafore and pigtails as he studied annual reports. But thankfully, the book explores the more dignified image of a man who profits by tapping his feminine side. It's a how-to manual on playing the market with sugar-and-spice sensibility.

Girls -- women really -- don't trade as much, risk as much, or rush in as much as men, author LouAnn Lofton asserts. Neither does Buffett. Women think long term. So does Buffett. Women don't let their egos get in the way of research. The down-home Buffett is known for doing his homework.

Still, who the heck wants to be called a girl except a girl? Lofton knew she had a provocative title, but she hoped her subject would approve. She mailed him a copy of the book (which is taking preorders ahead of its June 21 release) and appeared in April at the annual Berkshire Hathaway (BRK.A) shareholders' powwow in Omaha, Neb. This is where 30,000 acolytes hang on Buffett's every word. He's regularly listed among the world's wealthiest people (No. 3 in 2011), and his portfolio has doubled the returns of the S&P 500 over the last 50 years, so listening to him is a pretty good idea.

Lofton, a reporter for The Motley Fool, asked the Oracle of Omaha, "Do you think you invest like a girl?" Buffett answered, "I say I'd probably plead guilty."

The two shared a laugh privately, further convincing Lofton that Buffett embodied the behaviors that both men and women need to use if they are to master the market.

"He was very amused by the title and very nice about it," she told DailyFinance. "I felt sure he'd have a sense of humor about the title. I also knew he'd recognize it as a compliment."

Don't Invest With Your Testosterone


Lofton hatched the idea for her book in the summer of 2007. She had been reading study after study about women's investment habits, and began correlating the results with Buffett's asset-building methods. She noticed that many books have analyzed his strategy. What she thought they lacked was an examination of what made Buffett tick. "Nobody had addressed the idea of temperament when it comes to Buffett," she said.

The book suggests that unlike many of us guys, Buffett does not think with his ... testosterone. We of the Y-chromosome set have let the aggression-inducing hormone take over our finances. We succumb to peer pressure and jump on stock tips we hear at the water cooler. We've become a desktop army of wannabe Gordon Gekkos, he of the "greed is good" credo in the Wall Street movies.

The books tells us to invest in what we know (yeah, women do that apparently) and hold on through the rough times unless something freaky happens. Lofton said she hopes the book will inspire women and convert men.

"There's a bigger story here where we can all learn to improve our temperaments," she said. "You and I may not be as smart as Buffett, but we can control the way we react."



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allisonnelms

Sexism. Yikes.

June 24 2011 at 1:40 PM Report abuse rate up rate down Reply
Dereck

You will also find he NYSE and the Nasdaq "merging" with other Stock Markets with no increase in Volumes. That means that both Companies have lost at least half of the Volumes going in!

June 09 2011 at 8:07 PM Report abuse rate up rate down Reply
Dereck

I can't say this enough, "Buffett is a Fraud!", like I have been informing everyone of, the Government in a "Huge Criminal Conspiracy" has been allowing Corporations under the "Controlling Interest of Investment Banks, including Government-owned Corporations to "Go Public" without the World Fortune Owners permission or Contracts to do so. Now after Court Rulings concerning the Bank System Ownership Worldwide under FirstGov all the Stock Shares of all those Corporations are being "dissolved" and "Bought-back". That means that crooks like Buffett, Gates, Allen, and Jobs inkijng themselves Billions of Dollars in Stock Options are going to be left "Pennyless"! And that people is Justice for all the False Profit Reporting and Ponzi Schemes they have going on!

June 09 2011 at 8:04 PM Report abuse -1 rate up rate down Reply
Heather

I worked for a Bershire Hathaway subsidiary for many years, (think insurance..."here, lizard, lizard, lizard!,") and I adore our, "Uncle" Warren. I had the occassion to meet him once in our Florida office, and he is so unpretentious and modest, you'd never guess his wealth. He could just be, "Uncle Warren," at the family picnic. His suit did not cost him into the quadruple digits, and his shoes could have been from J C Penneys. Every year when we received our profit sharing checks, he spoke to us all, via teleconfrence, offering something worth even more than our checks...his advice. He always reminded us to take that money and pay OURSELVES, i.e., invest for the future. Someone mentioned something about his giving little money to his heirs...this is because he wants to instill in them the drive that made HIM successful, not just the joy of spending money they didn't earn themselves. Based on what I know about the man, (and I'm well aware I only know the 0.001% about him that has been presented to me,) I have a lot of respect for the man.

June 09 2011 at 6:14 PM Report abuse +1 rate up rate down Reply
thecaptaineast

I always liked that bumper sticker "yeah I know I run like a girl try to keep up" (and I'm a guy)

June 09 2011 at 5:55 PM Report abuse rate up rate down Reply
braineaterz13

As long as he doesn't spend it like a girl at the mall on the weekend, then he'll remain a billionare !!!!!!!!!!!!!!!!!!

June 09 2011 at 5:03 PM Report abuse +1 rate up rate down Reply
kharismas

Mr. Buffett is a Billionaire so, if he deals on his feminine side and it works ... why not ? We all can do this and it does work... just have a good sense as to when to hold and when to fold ...right.... Warren?

June 09 2011 at 4:02 PM Report abuse +1 rate up rate down Reply
ELIJAHJR

YES WARREN BUFFETT >>GOOD OLD ..WARREN ...NEVER 'ONCE TOLD YOU HOW HE ACTUALLY REALLY ...$$$...MAKES HIS ...MEGA BUCKS ..SEQUX, IS DEAd now ...FIDELITY MAGEELLAN is DEAD ,..JENSX,
JANUS TWENTY IS DEAD ,NBGAX, "GENESIS,...ALL DEAD ,,T.ROWE PRICE SCIENCE & TECHNOLOGY,..ALMOCT SENT ME TOO THE POOR HOUSE,,.ALL DEAD ,DEAD

June 09 2011 at 2:26 PM Report abuse -1 rate up rate down Reply
frankerin

Woman love doing what others won't because they assume they will get special treatment, and Buffet won't make a public mistake about what he might really think.

June 09 2011 at 10:36 AM Report abuse rate up rate down Reply
David

yeah, the man might invest like a girl, but the man is a freaking billionaire

June 09 2011 at 7:28 AM Report abuse +2 rate up rate down Reply