CCCs
Joined: 07 Jul 2003
Posts: 762
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Posted: Sun Mar 05, 2006 3:51 am Post subject: Warren weighs in....
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It's that time again....time for Warren Buffett's annual letter to shareholders. His letters often provide some wonderful insights into the world of investing, while providing some business and economic overview as well. If Eddie Lampert wants to be the next Warren Buffett, he certainly has a long way to go.
The most interesting fact from the letter:
The Dow on Dec 31st 1899 was at 64.
The Dow on Dec 31st 1999 was at about 11,500.
So over one hundred years, the average rate of increase compounded annually was 5.3%. Seems like a pretty modest increase. However, if the same rate were to continue for this century, the Dow would be at 2,011,011 on Dec 31st 2099. Wow. Can you imagine a Dow 2 million party?
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