From the time Warren Buffett took over Berkshire Hathaway in 1965 through 2023, the company's market value has increased at a compound annual rate of 19.8%. That's an astounding figure that would've turned a $1,000 initial cash outlay into nearly $44 million today.

There's no denying that to build an outstanding track record like that over many decades (which has transformed Berkshire into a gargantuan $900 billion conglomerate), Buffett has proven he's one of the most skilled business analysts ever. However, I think there's another critical factor that has propelled his returns, and using it can supercharge your portfolio, as well.

A smart way to invest is with a long-term mindset. Most readers have decades before they approach retirement. But even if you're 10 years away, that's still a long enough time horizon to make focusing intensely on headlines and the minute details of analyst estimates a distraction.

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Source Fool.com