Warren Buffett said he ‘killed the Dow’ in the 1950s, he believed he could return 50% a year. Follow his road map

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Although Warren Buffett has stepped down as CEO of Berkshire Hathaway at the end of 2025, he is far from retired in the traditional sense. The 95-year-old man still works in the office five days a week as the chairman of the company — following a man who once said, “I will continue to work until five years have passed since I die (1).”

Buffett also retained ownership of Berkshire, although all of his shares will go into liquidation within a decade or so after his passing. And since the Oracle of Omaha is famous for generating big returns, those shares are worth a pretty penny.

From 1965 to 2025, his company delivered compound annual returns of 19.7%, significantly outperforming the S&P 500’s 10.5% annual return over that 60-year period. Today, Berkshire Hathaway and US Treasury Holdings’ assets exceed $370 billion (2).

And Buffett believes he can build great wealth again by starting small.

In 1999, he told Bloomberg Businessweek, “The highest profits I ever had were in the 1950s. I killed the Dow. You should see the numbers,” he said (3).

And he was confident he could do it again, saying, “I think I can do it for you at 50% a year for $1 million. No, I know I can. I guarantee it.”

Twenty-six years later, that confidence has not been shaken. Here’s how Buffett would do it.

Moody’s Manuals were a series of publications by financial services company Moody’s on publicly traded stocks. These documents provide detailed information on various industries, companies and securities.

“I found all kinds of interesting things when I was 20 or 21,” Buffett said at Berkshire’s annual shareholder meeting in 2024 (4).

He was able to gain extensive knowledge about how different industries and companies work, even the lesser-known ones, thanks to his dedicated research. He believes that this type of behavior can provide an edge.

“I don’t know if it’s up to Moody’s Manuals or what it’s going to be like now, but I’m going to try to know everything about every little thing, and I’m going to find something,” he said.

Modern platforms like Moby are equivalent. Their team of hedge fund analysts and experts spend hours poring over financial news and data to provide top-notch stock picks and crypto reports to keep you up-to-date on what’s moving the markets.

Moby’s superior research can help you take the guesswork out of choosing stocks and ETFs. Over four years, across about 400 stock options, their recommendations beat the S&P 500 by about 12%, on average.

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Read More: I’m in my late 50s and have no retirement savings. Is it too late to catch up?

Read More: Non-millionaires can now invest in this $1B private equity fund starting at just $10.

Remember that Buffett’s comments are about what he would do, not what the average person should do. He is thinking of investing in his favorite money, and he has pointed out that stock picking is not a good strategy for ordinary investors.

In fact, at Berkshire Hathaway’s 2021 shareholder meeting, Buffett said, “I don’t think the average person would pick (5) stocks.”

Instead, he repeatedly says that most people should invest their money in a low-cost S&P 500 index fund.

If you’re looking for an easy way to invest, consider Robinhood.

Platforms like Robinhood are designed to make investing easy and affordable.

If you prefer a more hands-on approach, you can also buy and sell individual stocks, fractional shares and options (from professional traders) — supported by 24/7 support. Stocks, ETFs and their trading options are commission-free.

With access to popular ETFs like the Vanguard S&P 500, you can build diversified exposure without needing to pick individual stocks.

The platform also offers both a traditional IRA and a Roth IRA, so you can choose a tax strategy that fits your retirement plan.

With its recurring investment feature, you can set up automatic investments of your preferred fractional shares, stocks and ETFs in your personal plan.

Over time, this helps make investing a habit and gradually grows your portfolio.

Earn up to 3% on eligible account transfers to a taxable Robinhood account until March 25th. Risks and conditions apply. Robinhood Gold ($5/mo) subscription may apply.

As Buffett says, if he had to start with just $1 million today, he would arm himself with knowledge by reading today’s equivalent of Moody’s Manuals to find opportunities – including those that might not be worth big bucks.

You can still find these documents today – they are called Collected Books. Mergent, Inc. acquired Moody’s Financial Information Services division in 1998 (6).

Investors today can also take advantage of tools and services that did not exist when Buffett started investing, such as online databases.

For example, the EDGAR database from the US Securities and Exchange Commission allows investors to access detailed filings and reports submitted by publicly traded companies.

While the investment legend believes a 50% annual return is achievable, he admits it takes more than just ambition.

“For $1 million, you can earn 50% a year, but you have to love the title. You can’t just love the money,” he explained at the 2024 shareholder meeting. “People find other things in other fields because they like to look for them.”

If you’re not passionate about this topic, a financial advisor can help fill the gap — they already do the daily deep dives and can give you expert guidance on your portfolio.

But finding the right mentor isn’t always easy.

This is where Advisor.com can come in. The platform connects you quickly with professional advisors you can trust.

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Reserve Money for Yourself (1); Berkshire Hathaway (2); Bloomberg (3); CNBC Television (4); CNBC (5); Meeting (6)

This article provides information only and should not be construed as advice. Offered without warranty of any kind.