Warren Buffett's investment and life tips: "Practice" buying multiple companies before buying Apple, a good life starts with writing obituaries

At this Saturday's Berkshire Hathaway shareholders meeting, in addition to discussing specific stocks, industries, and succession plans, Buffett also shared his basic investment philosophy and even played the role of a life mentor, reminding the audience of something they shouldn't miss.

One shareholder asked a very basic investment question about when to buy or sell an investment. Buffett described the thinking process he and his long-time partner Munger go through. He said, "Charlie and I make decisions very quickly, but in reality, we have spent years thinking about the parameters so that we can make decisions quickly when the problem arises."

He said that it wasn't until he felt he fully understood consumer behavior that he made a large investment in Apple. This realization came after holding shares in multiple consumer companies, some of which were successful and some were not.

Buffett described this process of deliberate decision-making as follows: after collecting information on a specific theme for many years, when a target appears that aligns with a lot of observations and knowledge you have, you then put your thoughts into action. The investment in Apple is an example of this.

In other words, Buffett does not make investments impulsively. He praised the iPhone as "one of the greatest products, and perhaps the greatest product ever," but he only bought Apple after confirming that the iPhone was such a product.

At the same time, if an investment involves a product or company that he has not thoroughly researched, he is never worried about missing out on that investment.

"Charlie and I have missed a lot of things... We never worry about missing something we don't understand," Buffett said.

A shareholder asked Buffett what advice he thinks everyone needs to hear today and share with everyone. Buffett's answer echoed advice previously given by Munger: write your own obituary, think about how you want others to read your obituary, and then start creating a life that can help you achieve that goal.

Buffett pointed out that people today have the opportunity to achieve this goal just like other humans throughout world history. "You are entering the best world ever. You want to find people who fit you to share it and engage in activities that fit you," he said. "If you are as lucky as Charlie (Munger) and I, you will find things you were interested in when you were young. But if you don't find them right away, keep looking."

Buffett acknowledged that this may require some trial and error. "I always tell students, if you don't need to work, find a job you want to do. Sometimes you can discover this early, sometimes you will have various experiences," he said. "But don't forget what you really want to do."

Buffett said that no matter what hardships you face, remember how you ultimately want others to remember you, as this is the best way to help you achieve your goals. "Expect to encounter some difficulties along the way, but if you think this way, you are more likely to achieve your goals."