Whereas most individuals cannot endure the discomfort associated with declining stock prices, Buffett is not unnerved, because he believes that he can do a better job than the market in valuing a company. Buffett figures that if you can’t do a better job as well, you don’t belong in the game. It’s like poker, he explains—if you have been in the game for a while and don’t know who the patsy is, you’re the patsy.
