Peter Buffett, the son of legendary investor Warren Buffett, made a life-altering decision 47 years ago when he traded his inheritance “to buy time.” Although he missed out on what could have been hundreds of millions of dollars in profit, he stands by his choice, confident that his father would agree.
Finding His Path: At 19, Buffett received a portion of the proceeds from the sale of his grandfather’s farm, which his father invested in Berkshire Hathaway Inc. (NYSE: BRK-A) (NYSE: BRK-B), amounting to $90,000, according to CNBC. His father made it clear that this was all the financial support he would receive for personal use. Despite knowing it was his entire inheritance, Peter sold his Berkshire stock to fund his passion for music.
Buffett dropped out of Stanford University, purchased a modest studio apartment in San Francisco, and invested in upgrading his recording equipment. He dedicated his time to honing his piano and music production skills.
His big break came unexpectedly when a neighbor asked him about his profession, setting him on the path to a successful career in music.
He told the neighbor that he was a “struggling composer” and the neighbor offered to introduce him to his son-in-law who was an animator looking for ad tunes for a new cable station — it turned out to be MTV.
Buffett is now 66 years of age and has released around 15 studio albums over his successful career.
The Path Not Taken: If the son of the legendary investor would have stayed in college and held onto his $90,000 investment in Berkshire Hathaway, it would be worth over $400 million today.
“But I didn't make that choice and I don't regret it for a second. I used my nest egg to buy something infinitely more valuable than money: I used it to buy time,” Buffett said.
That’s a decision that his father would be proud of, he noted. The billionaire taught his son that work isn’t about making as much money as possible, instead it’s about doing something that you love to do.
Buffett acknowledged that the money was a privilege, calling it a gift that he had not earned.
"Without those hundreds of unpaid hours spent fiddling with my recording gear, I would not have found my sound or approach,” Buffett said.
The musician used the money to buy time to pursue something that he enjoys waking up and doing each day, which is exactly what his father tells young people to do. The billionaire has previously recommended that people pursue careers they would want even if money was not part of the decision-making process.
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This story is part of a new series of features on the subject of success, Benzinga Inspire. Some elements of this story were previously reported by Benzinga and it has been updated.
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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