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How to invest like Buffett

Buffett has built his legacy on seizing opportunities in the stock market. Under his leadership, Berkshire Hathaway has delivered enormous returns to shareholders over the decades.

And while the Oracle of Omaha plans to step down as CEO later this year, everyday investors can still follow one timeless strategy he champions — no stock-picking skills required.

“In my view, for most people, the best thing to do is own the S&P 500 index fund,” Buffett famously said.

This approach gives investors exposure to 500 of America’s largest companies across a wide range of industries, providing instant diversification without the need for constant monitoring or active management.

Buffett’s belief in this strategy runs so deep, he’s built it into his own estate plan — directing that 90% of his wife’s inheritance be invested in “a very low-cost S&P 500 index fund” after his passing.

The beauty of this approach is its accessibility — anyone, regardless of wealth, can take advantage of it. Even small amounts can grow over time, and some apps like Acorns automatically invest your spare change.

Signing up for Acorns takes just minutes: link your cards, and Acorns will round up each purchase to the nearest dollar, investing the difference — your spare change — into a diversified portfolio. With Acorns, you can invest in an S&P 500 ETF with as little as $5 — and if you sign up today, Acorns will add a $20 bonus to help you begin your investment journey.

Partner logo

Acorns

Auto-invest your spare change

at acorns.com

Invest in real estate without the headache of being a landlord

Imagine owning a portfolio of thousands of well-managed single family rentals or a collection of cutting-edge industrial warehouses. You can now gain access to a $1B portfolio of income-producing real estate assets designed to deliver long-term growth from the comforts of your couch.

The best part? You don’t have to be a millionaire and can start investing in minutes.

Learn More

How to invest in real estate without the headaches

While Buffett doesn’t mince words about the complexities of real estate, he still points to it as a prime example of a productive, income-generating asset.

In 2022, Buffett stated that if you offered him “1% of all the apartment houses in the country” for $25 billion, he would “write you a check.”

Why? Regardless of what’s happening in the broader economy, people still need a place to live. And with an estimated shortage of 4.5 million homes in the U.S., the demand for rental housing remains strong, helping keep occupancy rates high and rental income flowing.

But Buffett’s caution about how real estate transactions still holds true — even at the individual level. In the U.S., it typically takes 30 to 60 days to close on a home after an offer is accepted. Conditions, clauses and financing delays can drag the process out even further.

The good news? These days, you don’t need to buy an entire property — or hunt for deals yourself — to start investing in real estate.

For accredited investors, Homeshares gives access to the $36 trillion U.S. home equity market, which has historically been the exclusive playground of institutional investors.

With a minimum investment of $25,000, investors can gain direct exposure to hundreds of owner-occupied homes in top U.S. cities through their U.S. Home Equity Fund — without the headaches of buying, owning or managing property.

With risk-adjusted target returns ranging from 14% to 17%, this approach provides an effective, hands-off way to invest in owner-occupied residential properties across regional markets.

Partner logo

Homeshares

Tap into owner-occupied residential real estate through HEAs

at homeshares.co

If you’re not an accredited investor, crowdfunding platforms like Arrived allow you to enter the real estate market for as little as $100.

Arrived offers you access to shares of SEC-qualified investments in rental homes and vacation rentals, curated and vetted for their appreciation and income potential.

100% Funded

The Vanzant

Single Family Residential

$415K

Invested

1,294

Investors

100% Funded

The Smokey

Vacation Rental

$983K

Invested

1,748

Investors

100% Funded

The SuiteSpot

Vacation Rental

$1.2M

Invested

1,672

Investors

These are a few examples of properties from Arrived. Check out the full listof single family residential homes and vacation rentals currently available.

Backed by world-class investors like Jeff Bezos, Arrived makes it easy to fit these properties into your investment portfolio regardless of your income level. Their flexible investment amounts and simplified process allow accredited and non-accredited investors to take advantage of this inflation-hedging asset class without any extra work on your part.

Partner logo

Arrived

Hassle-free real estate ownership for as little as $100

at arrived.com

The richest 1% use an advisor. Do you?

Wealthy people know that having money is not the same as being good with money. Advisor.com can help you shape your financial future and connect with expert guidance . A trusted advisor helps you make smart choices about investments, retirement savings, and tax planning.

Try it now
Jing Pan Investment Reporter

Jing is an investment reporter for MoneyWise. He is an avid advocate of investing for passive income. Despite the ups and downs he’s been through with the markets, Jing believes that you can generate a steadily increasing income stream by investing in high quality companies.

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