Berkshire Letter1997-03-0012 min read

The Circle of Competence - 1996

Buffett formalized the "Circle of Competence" concept and discussed Berkshire's investment in a variety of businesses. He also explained the challenges of capital allocation as Berkshire grew larger and the search for "elephant-sized" acquisitions.

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Key Quotes

The circle of competence is not about what you know - it is about what you know you don't know.
We continue to search for "elephants" - acquisitions of $1 billion or more.
[[PLACEHOLDER]]
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