Warren Buffett: How to Invest During High Interest Rates

Warren Buffett (CEO of Berkshire Hathaway) has seen many periods of high inflation and even higher interest rates. So what does the world's best value investor suggest when it comes to investing in macroeconomic conditions like what we face today?

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★ ★ CONTENTS ★ ★
0:00 Investing During High Interest Rates
1:18 The 'Yardstick'
3:33 What's Happening Now?
4:46 Buffett Explains Investing During High Rates
6:50 Look for a Competitive Advantage
8:15 Watching the Debt
10:20 The Best Time to Buy Stocks

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[LivaHolst]

Man, with interest rates on the rise, we're definitely feeling the squeeze. Dropping those rates a bit could help lighten the load.

[benitabussell]

I've heard that some experts are pointing to factors like rising inflation and this possibility of interest rate getting higher as potential triggers for Treasury market instability. It's making me rethink my investment strategy, especially with my stocks portfolio of $400k

[MikeDeeson]

If inflation continues to re-accelerate, don't you think they will be forced to increase interest rates? It's not like they have the option to just stand back and watch it increase and hope it comes back down. They indicated they will act not just if it does not re-accelerate but if it does not demonstrate, it is actively on the way down to 2%, so the likelihood of an interest rate hike seems very significant. There's nothing to naturally bring inflation down at this point unless the labor I've been engaged in active trading, which is generally safer, allowing investors to weather market volatility and also managed to grow a nest egg of around 2.3Bitcoin to a decent 24Bitcoin....I'm especially grateful to Francine Duguay, whose deep expertise and traditional trading acumen have been invaluable in this challenging, ever-evolving financial landscape.

[jonnelson]

Historically interest rates aren’t that high right now. I see this just from looking at your graph. The problem is interest rates were really low for a long time.

[Riggsnic_co]

I see the rising interest rate as a very big problem, as more investors will definitely pull out more money from the Stock market. This might have worked when I was still invest-ing with a couple thousand dollars, but it is more difficult now to decide whether to pull out more than $365k from my port-folio. I know some inves-tors still make that despite the strong bear market. In wish I could pull that feat

[ErinWarner-zcjy]

Interest rate cut and geopolitical uncertainty intensified a seII off in Big Tech Mkt darling Nvidia(NVDA)lost 10%, while Amazon(AMZN)saw a drop of more than 2%. Apple(AAPL)decreased 1%. I'm curious, which st0cks could potentially become the next META in terms of growth. I've allocated $350k for lnvestment, looking for companies to make additions to boost performance

[GeorgeFuchs]

*Appreciate your videos! I’m 54 and younger generations should know there’s no shortcut to acquiring wealth, but there are ways to go about it. Fellow millionaires don’t tell the poor/middle class they need the knowledge of finance coaches to help build their wealth. If anyone here needs a good coach, here’s it..*

[TriscoG]

Im sick of people calling these rates high, we just never should have had rates below this level at any point

[realitykicksin]

High interest means you need to cut debt. Something the USA seems not able to learn: its a mentality failure

[mirchimome]

I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Charlotte Miller.

[BridgetMiller-]

Warren Buffett once said to treat investing in securities like real estate—you don't constantly check for gains. So, the recent bitcoin price drop doesn't bother me. I keep dollar-cost averaging and adding to my position, and I'm up 200% year-to-date because of this strategy.

[DT-vchd]

Low interest rates are generally good for the average person but the zero interest rate decade was cancer that is now starting to metastasize. It inflated assets such as home prices and devalued the dollar.

[Hunty]

5% interest rates should be normal for a well performing economy. These are normal interest rates.
10%+ is high and shows the economy has too much money in it and needs to be cooled down, normally with high inflation.
Below 5% interest rates means the economy is cold and needs to be heated up by giving cheap loans, printing money into the economy.

[Dantursi]

My advice to new investors: Buy good companies stocks and hold them as long as they are good companies. Just do this and ignore the forecasts and market views which are at best entertaining but completely useless.

[Anonymous-mdqp]

No one ever talks about how our species went from 1 billion to 8 billion. That is the biggest driver of growth.

[ycan-euji]

I would be catious of this advice, reason being that we haven't had a crash in a long time, companies aren't at a low valuation, they're sky high while rates are somewhat up compared to before... that's a bad sign

[krgazgenix]

Thanks, haven’t watched it yet but your videos are always amazing

Update: the video was amazing keep up the good work

[peteypeterson]

Great video, lots of work have gone in to this. Love the animations too.

[lightweightbaby]

Thanks for the very informative video! Also really enjoy the in depth macro-analysis and the associated impacts. You’re really contributing to “open-sourcing” high value knowledge :)