How Warren Buffett Does It: Temperament

If it’s really this simple, why don’t more people try to invest like Buffett? One reason, I think, is that sound investing — buying when others are selling, holding for the long term, avoiding the hot stocks — requires a stronger stomach than most people have. When a stock is plummeting, it takes a certain strength to buy even more instead of selling in a panic. Most of us lack the temperament required for smart investing. The fundamental equanimity required to be a great investor is a rare thing.