저자: 미상 · 한국인
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워렌 버핏의 소액 투자 원칙을 소개하며 1000만원이 10억이 된 수익률을 강조. 소형주 기회, 역량 범위(circle of competence), 복리와 장기 보유, 찰리 멍거의 초기 종잣돈 개념을 설명. 경제적 해자, 좋은 경영진, 적정 가격(PER/PBR) 기준을 제시하고 S&P500 인덱스 투자를 언급. 특정 종목의 가격 방향에 대한 예측은 없음.
다듬은 글
Did you guys know the investment method that made 1 billion won with 10 million won back when Warren Buffett was active ? If you calculate the return on 1 billion won from 10 million won, it's 9,900%, and if you consider the multiplier, it's over 100 times—a truly unbelievable profit. But the one who made this unbelievable, massive profit is none other than Wall and Buffett, the greatest investor in history.
But there is a very important point here. Right before retirement. There is a cheat code saved right for investors like us . This isn't just some cliché old-fashioned rant about buying good stocks and holding on . This is the method Buffett promised that if he were to go back to his 20s, 30s, and 40s with exactly 10 million won in his hand, he would definitely achieve an annual return of 50% by doing exactly this .
Today, we are going to dig into the structural secrets of how Wallace Buffett proved in his 40s and how he was able to earn 1 billion won with just 10 million won . Just focus. Today's story begins at the 1999 Berkshire Hathaway general shareholders' meeting . At the time, an investor brought up this question.
Mr. Buffett, how can I make $30 billion ? Honestly, it's a bit of a brazen question. But Buffett's answer was brilliant. He said this. If I graduated from school today and had 10,000 dollars to invest, I think I would probably focus on small businesses. You need to get to the point here. Buffett was asked how to make $30 billion, and he talked about $10,000.
That is because the way to make a lot of money and the way to start with a small amount are completely different . Buffett knew exactly when the time of his highest return in his life was . It was right when the scale of funding was small. In fact, Buffett recorded an average annual return of over 50% when managing small capital in the 1950s.
Let me give you a ratio to show you just how amazing this is . What happens if you invest 10 million won at an annual return of 50% for 10 years using compound interest ? First 15 million won, second 22.5 million won. It grows like this, and after 10 years, it becomes about 570 million won. In 15 years, it exceeds 2 billion, and in 20 years, it approaches 10 billion.
But how much money is Buffett currently managing? Berkshire Hathaway's market capitalization exceeds $1 trillion . At this scale, an annual return of 50% is physically impossible. That is because there simply aren't that many investment opportunities in the market that can generate that level of profit .
Buffett admitted this himself. He said that if I had managed a smaller amount of capital, I would have achieved a much higher rate of return. Here is the first structural truth . You usually think like this, right? Wall Street and institutions manage trillions of won, so of course they must be making more money than me, right?
no. It's the exact opposite. On the contrary, having too much money has a fatal flaw that eats away at the rate of return. Let's assume there is a huge fund managing 1 trillion won . This fund manager discovered a very good small to medium-sized company with a market capitalization of 100 billion won.
Will I be able to buy it? You absolutely can't buy it. Because for a fund managing 1 trillion won to generate a meaningful return, it needs to buy at least tens of billions of won worth . But what would happen if you suddenly placed an order worth tens of billions of won for the stock of a company with a market capitalization of 100 billion won ?
There are many people wanting to buy but no stocks for sale, so the stock price skyrockets ridiculously in an instant . In the end, they end up shooting themselves in the foot, so institutions can't even look at these small companies in the first place and just give up. You have no choice but to reluctantly buy only large-cap stocks like Samsung Electronics or Apple, which are already huge.
Right here, a tremendous opportunity arises for individual investors like us . We manage 10 million won and 100 million won, you know . Stock prices won't skyrocket just because we buy some stocks. In other words, it means we can freely shop for that lucrative small and medium-sized stock market that institutions can't enter because they are too big .
I mean stocks that are cheap because they aren't on the radar of institutions, but the companies themselves are solid. This concept might be a bit confusing, so let me give you an example to make it easier to understand. Just imagine a second-hand transaction once. We are trying to buy a cell phone on the secondhand market platform, Danggeun Market.
I searched and found exactly one listing for 500,000 won. Here, we just need to buy that one thing and that's it. I bought it for a really good price of 500,000 won. This is exactly what an individual investor is. However, the agency's position is that a mission was suddenly dropped. Buy 1,000 mobile phones right now.
Okay, I did a search. There is only one 500,000 won one . I bought that. But I still have to buy 999 more. Then what should I do? Next, the 550,000 won one , the 600,000 won one, and the 700,000 won one. Later on, you have to scoop up every single ridiculous listing, even those priced at 1 million or 1.2 million won, just to fill the inventory .
At first it was 500,000 won, but after buying everything and crunching the numbers, it turned out to be a mountain village averaging 900,000 won. Since you bought it for much higher than the market price, you're already entering with a 40% loss from the start . This is exactly the curse of size that the organization suffers from .
This is what Buffett called the absolute structural advantage that small investors possess . This is exactly what Buffett meant when he said that the smaller the amount, the thousands of opportunities are scattered around . Actually, Buffett also bought a very small company called Nebraska Furniture Store in 1983.
It was a rural company that Wall Street people wouldn't even look at back then . The See's candy I bought in 1972 is like that too . At that time, the annual profit was only 4 million dollars. By today's standards, it was such a small company that institutions wouldn't even look at it, but Buffett made hundreds of times his investment here.
why? Because the price was cheap since others ignored it. However, there is one thing to note here. The market situation in 2026 is a bit different from Buffett's era. It's exactly because of ETFs. In the past, buying small-cap stocks required manual selection, so many stocks were overlooked, but now there are a huge number of ETF products where machines automatically buy stocks .
As long as you are included in an index like the Russell 2000, the machine automatically puts money in, regardless of whether the company is good or bad . What this means is that now, even for small stocks, mechanical capital is mixed in, so it has become a bit trickier than before to find stocks that are completely abandoned and ridiculously cheap, like in the Buffett era .
So, you shouldn't just jump in assuming it will be cheap because it's a small company; you need to double-check whether the price is mindlessly inflated or if the machine is genuinely undervalued . The second thing Buffett emphasized is the concept of the range of quantity. In English, it is called the Circle of Computers, and simply put, it means to invest only in the fields you are good at .
Buffett often quoted IBM founder Thompson Sr. I am not a genius. I am smart in a specific field, but I just stay in that field . What this means is that you do n't need to know everything about every field. It means you just need to focus on industries you really understand well and companies you have a deep grasp of.
Let me compare this to real life . Imagine your subscribers opening a chicken restaurant . There is a person in the neighborhood who has been frying chicken for 10 years, and another person who has just started learning to cook. Who has a higher chance of success? Of course, I have 10 years of experience.
The same goes for investing. If we had worked in the semiconductor industry for 10 years, we could judge the true value of a semiconductor company much more accurately than others . But what would happen if I invested in biotech just because biotech stocks are suddenly hot ? Our expertise becomes completely useless, and it turns into an investment that just follows others .
Buffett has stuck to his principles his entire life . So he didn't invest in tech stocks even when the IT bubble was in full swing . People laughed at Buffett, saying he was old and outdated. But what were the results? When the IT bubble burst, people who went all-in on tech stocks lost their entire fortunes, while Buffett survived unscathed.
It is because he did not invest in a field he did not know. There is also an important warning here . Buffett said this at Berkshire Hathaway's 2020 general meeting of shareholders . When buying stocks, you should expect that they could fall by more than 50%, and if there is no problem with holding them, you should feel comfortable about it.
What this means is that even if you invest in a field you know well, the stock price can be cut in half . But if I deeply understand that company, I can be certain that even if the stock price is cut in half, it is a temporary phenomenon and the company's intrinsic value remains unchanged . That's why I'm terrified and can hold out without selling .
Looking at past examples, Buffett invested in Goldman Sachs and JiuShen during the 2008 financial crisis . At the time, everyone was in a panic, thinking the financial system was about to collapse. However, because Buffett deeply understood the structure of the financial industry, he judged that this was a temporary crisis and would eventually recover.
In fact, that investment generated enormous profits, and the difference from the present is that access to information in 2026 is completely different from the past. In the past, to obtain corporate information, you had to visit the company in person or go through industry connections. But now, all information is available on the internet .
You can view everything from SEC disclosures to analyst reports . This is both a good point and a bad point. It is good that information has been made public, but conversely, it also means that it has become much harder to make money by obtaining information before others . So, in this day and age, the ability to interpret information has become more important than the information itself.
The third principle is to start early. Buffett enjoyed the snowball ratio to explain the magic of compound interest. We started with a small snowball at the very top of an under. We started rolling a snowball at a very young age, and of course, the essence of compound interest is that it works like a snowball.
The reason this analogy is brilliant is that it perfectly captures the core of compound interest . If you roll a snowball, it grows very slowly at first . But at some point, the snowball started growing faster and faster. Because the bigger the snowball, the more snow it collects when rolled one full turn.
Compound interest is the same. The profit is small at first. But as time goes by and the principal grows, the absolute amount gradually increases even with the same rate of return . You can clearly see this if you look at the coldness of Buffett's fortune. In 1999, Buffett's net worth was about $30 billion.
But as of 2026, his net worth is about $150 billion . My assets increased fivefold after the age of 65 . Buffett bought his first stock when he was 11 years old. I'm 94 now, so I've been investing for over 80 years. But most of the wealth was accumulated after the age of 65 . This is the power of compound interest.
There is something you need to understand structurally here . For compound interest to work properly, two conditions are required. First, you must avoid losing the principal. Second, you have to stay in the market for a long time . The reason it is important to avoid principal loss is that if you lose a large amount even once, compounding stops.
Let me give you an example . Let's assume you started with 10 million won and generated an annual return of 20% for 10 years . It's a little over 600 million won. But imagine taking a 50% loss in your 10th year . It dropped to 300 million won in an instant. The compounding effect of nine years is cut in half by a single big loss.
To prevent this, Buffett thoroughly applied the concept of margin of safety . Simply put, it means to buy it cheaply . If you determine that a company's true value is 100 won, you wait until you buy it for 70 or 60 won. That way, even if my judgment is wrong or an unexpected problem arises, I can avoid significant losses .
Second, to stay in the market for a long time, you must avoid emotional trading . Buffett once criticized an instance at the 1994 annual general meeting where an investor placed a stop-loss order on Berkshire stock . You said you couldn't understand why someone sold stocks for $15,500 instead of $1,000, right ?
From Buffett's perspective, if stock prices go down, it is actually an opportunity to buy at a lower price . But most people get scared and sell when the stock price goes down . Then the compound interest stops . Looking at past examples, the SP 500 index plummeted 57% from its peak during the 2008 financial crisis.
The people who sold out of fear at that time missed out entirely on the subsequent bull market, which rose by over 500% over the next 10 years . On the other hand, those who held out like Buffett enjoyed all that rise . The difference in this round is that the trading frequency of individual investors has increased significantly compared to the past .
You can trade anytime using a smartphone app. But this can actually be a factor that harms compound interest . Frequent trading causes timing risk and tax issues. This is exactly why Buffett has held Coca-Cola and American Express for decades. He reduced unnecessary transactions and let compounding work properly.
Fourth, what we must remember is the philosophy of Buffett's lifelong partner, Charlie Munger. Munger passed away in 2023 at the age of 99, but the most crucial piece of investment advice he left behind is the story of the first $100,000. Here, 100,000 dollars is about 140 million won in terms of the exchange rate, but you can understand it as the concept of the 100 million won seed money we typically aim for .
Munger said this at the 1999 general shareholders' meeting . For most people, the hardest part is saving the first 100 million won . If you start from zero, the process of accumulating this 100 million will be a really long struggle. The key point Meongeo mentioned here is the compound interest interval.
The reason the first 100 million won is difficult is that you don't really feel the effect of compound interest until you get past that point . It's simple if you do the math. If you invest 100 million won and make a 10% profit, that's 10 million won. However, if you invest 1 billion and make the same 10% profit, you make 100 million right on the spot.
Even with the same skill and rate of return, the amount of money lost differs by a factor of ten. So, I emphasized that until you enter that zone, you must save up seed money by any means necessary . Then, how should you raise this difficult initial capital ? I summarized the characteristics of people who quickly reached their first 100 million into four points.
A rational mindset, a very proactive attitude, the ability to seize opportunities, and the habit of spending less than you earn. The important point here is that both Munger and Buffett talk about lifestyle habits before investment techniques in the early stages . It means that seed money is made through labor, frugality, and attitude, rather than through outstanding chart analysis or stock selection skills .
And the point is that investment skills only truly shine after the money has been accumulated . So now you're probably wondering. The investment method Buffett left behind today . How can we apply this ? There are three key criteria that Buffett mentioned here . First, is it a good business? Second, is the management good?
Third, is the price attractive? You need to understand what a good business is first. Buffett liked the expression "economic moat ." It's called an economic moat in English; you know, the waterways dug around medieval castles . It is a defense mechanism that prevents enemies from easily entering from the outside .
In a company, an economic moat is a structural advantage that competitors cannot easily replicate. Let me give you an example . Think of Coca-Cola. What is Coca-Cola's moat? First of all, it's a brand. No matter where you go in the world, people know Coca-Cola. And it's the distribution network. We have a system in place to deliver Coca-Cola to every corner of the world .
No matter how delicious a drink a new beverage company makes, it takes decades to achieve the same level of brand recognition and distribution network as Coca-Cola. This is the moat. There are many types of moats . Brand power, network effects, cost efficiency, and switching costs are typical examples.
The network effect is that the value of a service increases as the number of users increases . Think of Microsoft Office. If we have been creating documents using Excel and Word at the company for years and suddenly switch to a different program, it causes a huge mess having to retrain employees and resolve existing file compatibility issues.
Judging the second-best management team is a bit difficult for individual investors. Buffett has met with the management team in person and observed them for a long time. But individual investors can also see a few signals . These are things like whether management holds a large amount of their own company stock, whether they implement shareholder-friendly policies, and whether their accounting practices are conservative .
You should be especially careful of companies with aggressive accounting practices. There are many cases where profits are inflated and then explode later . It's the third most attractive price. Buffett said that price is what I pay, and value is what I get . No matter how good a company is, it is difficult to make a profit if you buy it at a high price.
Conversely, even an ordinary company can make a profit if you buy it at a sufficiently low price. Of course, Buffett prefers to buy good companies at a reasonable price whenever possible . I've said that buying a great company at a reasonable price is much better than buying a decent company at a great price.
The basic way to determine if a price is attractive is to look at indicators that tell you the stock price value, such as PER or PBR. PER is calculated by dividing the stock price by earnings per share. Simply put, it looks at how much this company is trading for relative to the money it earns . If the PER is 10, it means that if this company earns money at its current level for 10 years, it will earn as much as the current stock price.
The lower the PER, the cheaper it can be considered . But just because the PER is low doesn't mean it's all good. It could be a sign that profits will decrease . So you shouldn't just look at the PER; you need to look at the quality of earnings and sustainability together. Based on these criteria, I will take a structural approach to finding which stocks can be identified in the 2026 market .
If you apply Buffett's principles, you should start in an industry you can understand. Fields that most people encounter in their daily lives, such as consumer goods, finance, and utilities, will be familiar to beginners. Since technology-intensive industries like semiconductors or biotechnology are difficult to understand properly without specialized knowledge, imagine looking for a company with a moat in the consumer goods sector.
Companies like Coca-Cola and Scent Foods have brand power that has been proven over decades. But these large-cap stocks often already have their fair prices established in the market . To find the overlooked opportunities Buffett spoke of, you need to look at small and medium-sized companies with similar characteristics.
For example, things like food companies with strong brand recognition in specific regions , or consumer goods companies with a monopolistic position in specific markets . These companies are out of the interest of major analysts, so there is a possibility that their prices will be lower than their actual value .
Local banks are a good example in the financial sector . Large banks engage in complex derivatives trading, but local banks have a traditional business model of simply accepting deposits and lending them out . If it is easy to understand and has high customer loyalty within the region, it can be considered to have a moat .
From an ETF perspective, the S&P 500E ETF is the only product that Buffett recommends to general investors . Buffett wrote that 90% of the assets he would leave to his wife should be invested in S&P 500 index funds . This acknowledges that it is difficult for most individual investors to beat the market by selecting individual stocks .
So, the point is that it's better to just follow the entire market at a low cost. There are also risks to be aware of when investing. The first risk is underestimation. Just because you have learned Buffett's principles doesn't mean you can invest like him right away. Buffett has been investing for over 80 years .
You can't accumulate that much experience just by reading a few books . You need to start humbly with a small amount and build practical experience . The second risk is changes in market structure. As I mentioned earlier, as of 2026, investment capital in the market has increased tremendously compared to the past.
This is a completely different environment from when Buffett was active . There is no guarantee that strategies that worked in the past will work the same way now. You need to follow Buffett's principles, but adapt them to the current market environment. The third risk is emotion. Buffett said, "Be afraid when others are greedy, and be greedy when others are afraid." It sounds easy, but it's incredibly difficult to actually do .
How many people can actually press the buy button when the market crashes ? Most individual investors sold out of fear during the COVID-19 crash in 2020 and the interest rate hike in 2022. Controlling emotions is the hardest part of investing. I'll organize it. Ultimately, making 1 billion won with 10 million won is not about the size of the money, but the size of the attitude.
Small investors like us have a weapon that huge institutions can never have . You can pick out really small, solid companies and wait patiently for 5 or 10 years without performance pressure . It means we can freely exploit the gaps that the agency can't enter because it is too big . Please remember that even though Buffett has retired, the essence of his philosophy—buying good companies cheaply and partnering with them—remains unchanged even in 2026.
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