“As you can tell in Berkshire’s operations, we are much more conservative. We borrow less, on more favorable terms. We’re happier with less leverage. You could argue that we’ve been wrong, and that it’s cost us a fortune, but that doesn’t bother us. Missing out on some opportunity never bothers us. What’s wrong with someone getting a little richer than you? It’s crazy to worry about this.” – Charlie has learned that leverage and envy are a lethal combination. Leverage is just another name for debt. The attraction of using leverage (debt) is that it allows one to leverage equity capital to make
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Fatal combination…envy and leverage, all in the name of getting more than the others…betting everything you have and need to get what you don’t have and don’t need.
