2. Young Warren Buffett was a special situation investor, buying extremely cheap, overlooked and often illiquid securities

This is the exact approach he can’t do with large amounts of capital. Which is why he mentioned needing much less money to achieve the 50% CAGR.

It’s likely Buffett would even take advantage of some type of public/private arbitrage situations, restructurings, bankruptcies, mergers & event driven stuff.

He may even become much more of an activist again, just like during the Partnership.

Overall, it’s all speculation of what Buffett would actually do to achieve 50% returns, or if that’s even realistic to start with.

But just by him saying ‘$1m’, we can infer he thinks the opportunities are in illiquid securities. That’s where the biggest inefficiencies are.