Buffett scorned the academic theory

Buffett scorned the academic theory of capital-market efficiency. The efficient markets hypothesis (EMH) held that publicly known information was rapidly impounded into share prices, and that as a result, stock prices were fair in reflecting what was known about a company. Under EMH, there were no bargains to be had and trying to outperform the market would be futile. “It has been helpful to me to have tens of thousands turned out of business schools taught that it didn’t do any good to think,” Buffett said.
I think it’s fascinating how the ruling orthodoxy can cause a lot of people to think the earth is flat. Investing in a market where people believe in efficiency is like playing bridge with someone who’s been told it doesn’t do any good to look at the cards.
8. Alignment of agents and owners. Explaining his significant ownership interest in Berkshire Hathaway, Buffett said, “I am a better businessman because I am an investor. And I am a better investor because I am a businessman.”
As if to illustrate this sentiment, he said: