Money and Finance
Via 2005-2013 collection of Munger notes:
- React Intelligently; Take The Results As They Fall
A lesson from Charlie Munger, via notesfrom the 2013 Daily Journal Annual Meeting:Therein lies a lesson in life. I think most lives work best when you simply react intelligently to the opportunities and difficulties you encounter, and just take the results...
- Morningstar Interview With Jason Zweig
Found via Simoleon Sense. The biggest and most surprising lesson to me came in an experiment that I did at Emory University. It was an example of what Gregory Berns, the neuroscientist who did the experiment, calls "learning without awareness." It turns...
- Charlie Munger's Lollapalooza Effect And This Credit Fiasco
Charlie Munger, Warren Buffett's brilliant sidekick, has expounded many times on innate human biases and incentive effects. For anyone interested in this topic, I highly recommend you read the transcript of an amazing speech he delivered in 1995,...
- Charlie Munger - Usc Law School Commencement - May 13, 2007
Here are my notes from Charlie Munger's keynote address. I didn't originally intend for it to be a semi-transcript but I had to take Charlie's advice: "Deliver to the world what you would buy if you were on the other end." And so that's...
- High Yield Reads - 9/1/14
Summary of recent stories of interest, sometimes enduring, to investors: A Wealth of Common Sense - Charlie Munger's Investing Principles. My two favorites - “If you can get good at destroying your own wrong ideas, that is a great gift.” and "I...
Money and Finance
Charlie Munger's favorite human misjudgment
Via 2005-2013 collection of Munger notes:
What is your favorite human misjudgment?My favorite human misjudgment is self-serving bias: how the brain subconsciously will decide that what’s good for the holder of the brain is good for everyone else. If the little me wants it, why shouldn’t the little me have it? People go through life like this. I’ve underestimated this phenomenon all my life. People go bonkers taking care of their own self-interest. It’s a sea of miscognition. People who write the laws, people who treat patients, who experiment with rats, all suffer horribly from this bias.Hardly anything could be more important to the study of law than the study of psychology, but there’s a taboo against it. You see many people who’ve gotten straight A’s at law school, but they screw up in dealing with self-serving bias.I would say that the current head of the World Bank [Paul Wolfowitz] had an elementary question: as head of the Bank, a lot of people hate you, so how bright do you have to be to distance yourself from a question of a large raise from your live-in girlfriend? He sent it to the lawyers, they hemmed and hawed, and he lost his moorings. Even a child shouldn’t make his obvious mistake. Similarly, I’d guess President Clinton would have had a better record if he’d had better insight on certain subjects. Note that I carefully picked one from each party. [Laughter]
- React Intelligently; Take The Results As They Fall
A lesson from Charlie Munger, via notesfrom the 2013 Daily Journal Annual Meeting:Therein lies a lesson in life. I think most lives work best when you simply react intelligently to the opportunities and difficulties you encounter, and just take the results...
- Morningstar Interview With Jason Zweig
Found via Simoleon Sense. The biggest and most surprising lesson to me came in an experiment that I did at Emory University. It was an example of what Gregory Berns, the neuroscientist who did the experiment, calls "learning without awareness." It turns...
- Charlie Munger's Lollapalooza Effect And This Credit Fiasco
Charlie Munger, Warren Buffett's brilliant sidekick, has expounded many times on innate human biases and incentive effects. For anyone interested in this topic, I highly recommend you read the transcript of an amazing speech he delivered in 1995,...
- Charlie Munger - Usc Law School Commencement - May 13, 2007
Here are my notes from Charlie Munger's keynote address. I didn't originally intend for it to be a semi-transcript but I had to take Charlie's advice: "Deliver to the world what you would buy if you were on the other end." And so that's...
- High Yield Reads - 9/1/14
Summary of recent stories of interest, sometimes enduring, to investors: A Wealth of Common Sense - Charlie Munger's Investing Principles. My two favorites - “If you can get good at destroying your own wrong ideas, that is a great gift.” and "I...