American tycoon Warren Buffett has said investors should focus on quality stock and ?value? does not necessarily mean ?cheap?.
Writing in his much-anticipated annual letter to Berkshire Hathaway shareholders the ?Oracle of Omaha? he said that bargain-hunting is not always the way to go when investing.
The shareholder letter, in which Buffett explained some basic investment strategies in plain simple language, and advised fellow CEOs to quit the hand-wringing when it comes to timing investments.
He said that it is a terrible mistake to try to dance in and out of investing based upon uncertainty and the predictions of experts, the Telegraph reports.
Buffet said that although the immediate future is uncertain, America has been facing this type of uncertainly since 1776.
He added that ?American business will do fine over time. And stocks will do well just as certainly, since their fate is tied to business performance. Periodic setbacks will occur, yes, but investors and managers are in a game that is heavily stacked in their favour.?
According to the report, Buffett is on the hunt for ?elephants?, as he proved when he invested 48 billion dollars in food group Heinz.
He said that while some of his investments failed and he came up empty handed, he predicted Berkshire Hathaway will own Heinz 100 years from now, it added.
