Warren Buffett seeks, not a capital gain, but ownership in quality companies capable of generating solid earnings.
Buying a business, Buffett looks for three qualities in the business’ management: integrity, intelligence, and energy. All three. Why? As he put it, “if they don’t have the first, you want them to be dumb and lazy.” And he backs this philosophy up with teeth.
Uncommonly for an empire builder, Buffett maintains a squeaky-clean and surprisingly public profile. He’s publicly told the managers of his many companies to allow nothing they wouldn’t be fine with seeing on the front page of a national newspaper.