This popular quote from Warren Buffett relates to his “fat pitch” investment philosophy, which in turn references Ted Williams’ Science of Hitting. The idea is a deceptively simple one – to bide your time until conditions are right, and then (only then) swing with all you’ve got. (Howard G. Buffett and Howard W. Buffett have extended this approach to addressing food security by designating a 40-year life for their foundation, as explained in the book Forty Chances.)
What are you swinging at that’s out of the strike zone?
What is really worthy of one of those precious 20 punches?
When markets are frantic, motion feels good, and sometimes it’s warranted. But sometimes despite all the frenzy, the fat pitch has not yet arrived.
As always, please feel free to forward these posts to friends and colleagues, and encourage them to sign up directly for updates on our site.