Charlie Munger is a famous American investor, business leader and thinker. He co-founded Berkshire Hathaway with Warren Buffett and is known as the partner and think tank of the ‘Stock God’. His life is full of legend, but he also experienced many major setbacks and difficulties. How does he maintain a positive and tenacious attitude in the face of adversity, and how does he learn and improve from it? This article will introduce you to Munger’s life experience, as well as some of his life mottos and suggestions, hoping to inspire and encourage you.
From bankruptcy to success: Munger’s counterattack
Munger was born in 1924. His father was a business consultant and his mother was a musician. He showed a thirst for knowledge and an interest in business from an early age. He worked in the grocery store run by Buffett’s grandfather and also joined the Air Force during World War II to study meteorology. He later attended Harvard Law School and became a lawyer after graduation, while also dabbling in real estate and mining.
However, Munger’s life was not all smooth sailing. He suffered a triple blow in his life at the age of 31: his wife filed for divorce, his son contracted leukemia and died soon after, and his investments also suffered heavy losses, which led to his Almost bankrupt. These blows are unbearable for anyone, but Munger did not give up. He chose to start again.
He moved to California, married his second wife, and began his investing career. He established an investment company in partnership with some friends, using his legal and business knowledge to find high-quality companies that were undervalued and make long-term value investments. His investment style was admired by Buffett, and the two met in 1959 and became close friends and partners. Together they founded Berkshire Hathaway, which achieved astonishing investment returns by acquiring and holding outstanding companies in various industries, and became one of the most successful investors in the world.
From blindness to learning: Munger’s relentless pursuit
Munger’s life is not only about money and success, he also has his own interests and hobbies. He was a man who loved reading and learning. He once said: ‘There is no smart person I have ever met in my life who does not read every day - not one of them. My children laugh at me. They think I am A book with two legs. ‘He built his own thinking model by reading books on various subjects to analyze and solve various problems. His thinking model covers psychology, mathematics, physics, chemistry, biology, history, economics, finance, accounting and other fields. He believes that important theories in these fields can help him understand the laws of the world. , avoid mistakes and make better decisions.
However, Munger also encountered huge challenges in reading and learning. He suffered from glaucoma at a young age, causing his vision to gradually deteriorate. He had two eye surgeries, but they were unsuccessful. Eventually, he lost the vision in his right eye and could only see some blurry shadows in his left eye. This is undoubtedly a heavy blow to a person who loves reading. But Munger did not give up. He continued to read and study. He used a magnifying glass and a reader to assist his reading. He also often asked his wife and friends to read to him. He said: ‘I will not stop reading just because I lose my eyesight. I will keep reading until I die.’ His enthusiasm and perseverance in reading and learning are admirable and admirable.
From wisdom to sharing: Munger’s life motto
Munger’s life experience has given us a lot of inspiration and lessons, and some of his life mottos are also worthy of our deep thought and study. The following are some of Munger’s life mottos, I hope they can bring you some gains and help:
-Those who keep learning will keep rising in life.
- I think track record is very important. If you start early on trying to be perfect at simple things like being honest, you’re already on the road to success.
- Remember, reputation and integrity are your most valuable assets – they can be lost in an instant.
- Our ideas are so simple that people keep asking us for mysteries and we only have the most basic ideas.
- You’re looking for a mispriced gamble. This is investment. You have to know enough to know if the gamble is mispriced. This is value investing.
- A great deal at a fair price is better than a fair deal at a high price.
- If you want to be successful in investing, start early, work hard and stick with it. In general, this is how all success comes.
- Making big money is not about buying or selling, but about waiting.
- You need to understand the importance of diligence: sit down and get things done.
- You will encounter different problems at different stages of life, very difficult problems. To cope with these difficulties surround yourself with the love of friends and family.
- Partners should ideally be able to work independently. You can be a commanding partner, a submissive partner, or a partner who always collaborates as an equal. There will always be someone who is better than you in some way. You must first become a follower before you can become a leader. People should learn to play various roles.
- If you want something you want, make yourself worthy of it. Trust, success, and admiration are all earned.
Conclusion of life experience: Munger’s philosophy of life
Munger’s life experience not only enabled him to achieve outstanding achievements in the investment field, but also enabled him to reach a high level of thought and character. His philosophy of life can be summarized as follows:
- Diverse thinking: Munger believes that in order to make correct judgments in a complex world, it is necessary to draw on knowledge and theories from various disciplines to form a pluralistic thinking model, rather than relying only on a single way of thinking. He said: ‘You must know the big ideas, and you must know where they come from. You must know their interrelationships, and their limitations. You must learn to use these ideas to solve problems, and avoid being misled by them.’ '
- Self-examination and reflection: Munger believes that if you want to make continuous progress in life, you need to frequently introspect and reflect on your own behavior and thoughts, identify your own mistakes and deficiencies, and then make corrections and improvements. He said: ‘I think human wisdom is to be able to recognize one’s own ignorance and then work hard to eliminate it.’
- Continuous learning: Munger believes that if you want to remain competitive in an ever-changing world, you need to continuously learn new knowledge and skills and expand your horizons and abilities. He said: ‘I keep seeing people stop learning, which is crazy. You should treat learning as a pleasure, not an obligation.’
- Positive and optimistic: Munger believes that if you want to remain strong and brave in adversity, you need to have a positive and optimistic attitude and believe that you can overcome difficulties and achieve your goals. He said: ‘I think you should have an optimistic attitude. Even if you are in trouble, you must believe that you can find a way out. You should have a confidence that even if you encounter failure, you must believe that you can stand up again.’ '
- Simple and effective: Munger believes that in order to find the best solution to a complex problem, it is necessary to use a simple and effective method to remove irrelevant factors and grasp the essential principles. He said: ‘I like simple ideas because they are often the most effective. I don’t like complex ideas because they are often the most error-prone.’
Conclusion
This article ends here. I hope you can get some useful information and inspiration from it. If you want to know more about Charlie Munger’s life experience and investment wisdom, you can read some of his books and speeches, such as ‘Poor Charlie’s Almanac’, ‘The Wisdom of Charlie Munger’, and ‘Charlie Munger’s Investment Principles’ wait. Thank you for reading and wish you a happy life!
Free online psychological test
What is your financial management ability?
Test address: www.psyctest.cn/t/9V5WO15r/
Link to this article: https://m.psyctest.cn/article/EA5pJqdL/
If the original article is reprinted, please indicate the author and the source in the form of this link.
