Why did Warren Buffet become Warren Buffet and not an average investor ?

Warren Buffett became the legendary investor he is today due to a combination of factors that set him apart from the average person:

1. Early Start & Interest in Business

Buffett showed a deep interest in business and investing from an early age. He started reading books on investing at 7 years old, and by the time he was a teenager, he had already started multiple ventures, like selling Coca-Cola bottles, newspapers, and delivering papers. This early exposure gave him a head start in understanding how money and business worked.

2. Mentorship by Benjamin Graham

Buffett’s education at Columbia Business School under Benjamin Graham, the "father of value investing," was pivotal. Graham’s principles, particularly buying undervalued companies, shaped Buffett’s entire investing philosophy. This allowed him to make sound, data-driven decisions instead of speculative ones.

3. Disciplined Value Investing Approach

Buffett is known for his disciplined approach to value investing. He looks for businesses with strong fundamentals, competitive advantages ("moats"), and excellent management at prices below their intrinsic value. His patience, focus on long-term gains, and refusal to get swept up in market hype have helped him consistently make smart investments.

4. Reinvestment of Profits

Buffett’s strategy of consistently reinvesting profits rather than spending them has allowed him to compound wealth over time. He understood the power of compounding early and avoided the common trap of splurging when making gains.

5. Control Over Emotions

Buffett is famous for staying calm and rational in the face of market volatility. He avoids emotional decision-making, which helps him to make sound, long-term decisions even when the market is panicking. This self-control is something that most average investors struggle with.

6. Frugality and Humility

Despite being one of the richest people in the world, Buffett is known for his simple lifestyle. He still lives in the modest house he bought in 1958 and avoids flashy expenditures. This mindset helped him avoid distractions and focus on growing his wealth through careful investments, rather than spending it on a luxury lifestyle.

7. Berkshire Hathaway Model

Buffett’s business vehicle, Berkshire Hathaway, became a unique conglomerate where Buffett could invest in diverse industries and businesses. Instead of running his own operations, Buffett bought and empowered strong managers to run those businesses. This model allowed him to maximize returns without the need to micromanage every operation.

8. Long-Term Thinking

Buffett’s emphasis on the long term separates him from many average investors who are focused on short-term gains. His philosophy of "buying and holding" businesses for the long haul has allowed his investments to grow in value significantly over time.

9. Strong Ethical Principles

Buffett’s reputation as an ethical and trustworthy investor has opened doors that would be closed to many others. His emphasis on integrity helped him build relationships and gain access to business opportunities that others might not have had.

In summary, Warren Buffett's success can be attributed to his early start, strong mentorship, disciplined investment strategy, long-term focus, emotional control, and ethical approach to business. These traits, combined with a relentless work ethic and keen business acumen, helped him transcend being "an ordinary man.”