Charlie Munger: The Complete Investor (Columbia Business School Publishing)

Product Information

social proof. В большинстве случаев полезная штука: веди себя так, как ведёт большинство людей вокруг и скорее всего у тебя всё будет хорошо. Эта тенденция сложилась эволюционно (когда твои соплеменники бегут от разъяренного мамонта, скорее всего тебе тоже надо бежать), но работает и сегодня (если в незнакомом месте на пляже много парней прыгает с причала в воду, скорее всего там достаточно глубоко, чтобы не убиться). При этом, иногда social proof работает отрицательно для человека, заставляя его принимать иррациональные решения: эйфория на финансовом рынке, покупка биткоинов, открытые аукционы. Damn Right: Behind the Scenes with Berkshire Hathaway Billionaire Charlie Munger by Januaret Lowe (2003) The Daily Journal is a publisher specializing in legal text. The Daily Journal provides news of interest to members of the legal profession, specializes in public notice advertising, publishing state-mandated notices of death, fictitious business names, and sells software used to administer court cases. Charlie Munger started his working life as a lawyer, so the Daily Journal is a natural fit for him. Pride in Performance: Keep It Going! by Les Schwab (1986). Although it appears on nearly every Charlie Munger reading list, we have been unable to definitively confirm that he has ever talked about the book. And then all that is required is a willingness to bet heavily when the odds are extremely favorable, using resources available as a result of prudence and patience in the past.” p.52

Barbarians at the Gate: The Fall of RJR Nabisco (1989). Munger allegedly recommended this book at Berkshire’s 1992 annual meeting. However, we were not able to independently verify that Munger actually recommended many of the titles attributed to him by other articles. The list below highlights those books, as well as a few that we were able to verify, but which do not fit into the categories above. Catch the cat’s tail, The man who lifted the cat upside down, Will learn lessons he can’t learn elsewhere. — — mark·Twain. 2.7 The efficient market hypothesis Here is a list of those books, organized by their date of first publication. The Autobiography of Benjamin Franklin The book lays out the five principles of this negotiation strategy, and offers a step-by-step process for putting them into action. Influence

Books recommended by Charlie Munger:

The title of The Blind Watchmaker references an analogy used to argue for intelligent design, a theory stating that certain parts of the universe are best explained by the presence of a god figure. Richard Dawkins argues against this theory, in favor of pure natural selection. Hard Drive What is the meaning of life? This book takes a look at the work and beliefs of three leading American scientists: Edward Fredkin, Edward O. Wilson and Kenneth Boulding. Munger made a special mention in chapter four of this book, Human misjudgment psychology, I especially like this part, Because I saw a lot of people, including professionals who have inevitable results due to misjudgment or cognitive bias. Even if I understand the underlying reason, It’s hard to overcome, Because of human nature.

Munger wanted to own a business that did not require continual investment, and spat out more cash than it consumed…Munger was always asking people, “What’s the best business you’ve ever heard of?” The iron rule of communication from Carl (C.F.) Braun, who built over 250 petrochemical plants: If you're issuing a directive, you must specify Who is going to do What, When, Where and most importantly Why. Apparently not including the Why was a fireable offence. I think we can all agree that when the "W The Daily Journal was a strong business up until the financial crisis. Return on equity averaged 25% to 30% per annum; cash conversion was 70% per annum on average, and book value doubled between 2005 and 2008. However, since 2010 revenue growth has slowed to around 2.6% per annum and net income has fallen by 75%. EBITDA has more than halved.Another case in point of his generosity is his donations of three million dollars to the University of Michigan Law School in the year 2007, for upgrading lighting in Hutchins Hall and the William W. Cook Legal Research. Munger had invested in a Caterpillar tractor dealership and saw how it gobbled up money, which sat in the yard in the form of slow-selling tractors… Munger has a unique worldview, a self-developed ‘ Multiple Mental Models’ approach that borrows big ideas from a variety of disciplines and serves as his framework for gathering, processing and acting on information. He’s self-taught and considers that the patient, organized and focused approach to life helped him become a successful investor. Want to learn ways to be persuasive? Noah Goldstein, Robert Cialdini and Steve J. Martin offer you 50 ways to do so — many of which are counterintuitive — in this book. Each one is accompanied by stories and examples so you understand them better. The Greatest Trade Ever On changing your mind. "Be willing, even eager, to change your mind. Identify your mistakes and learn from them. Any year you don’t destroy one of your best loved ideas is a wasted year. When a better tool (idea or approach) comes along, swap it for your old, less useful tool"

Charlie is also a philanthropist and frequently donates millions of dollars to educational and research institutions.

If you switch from engineering to business, you will find that probabilistic thinking conflicts with mechanical determinism thinking, If professors who study these two disciplines meet, Probably pinch. But the moment when I feel the conflict, You will find that your thinking system begins to change from point thinking to line thinking.

Ultimately, patience and preparation are the dual keys to his success. "Our game is to recognize a big idea when it comes along, when it doesn't come along very often. Opportunity comes to the prepared mind." A lot of really important stuff like: the first modern nation, the first literate society, the ideas for (modern) democracy and free markets, all originated with the Scots. While growing up Omaha, Charlie Munger had his first run-in with the Buffett family, although he didn’t meet Warren until several years later. During his teen years Charlie worked at Buffett & Son, a grocery store owned by Warren Buffett’s grandfather. But when you analyze what happened, the big money’s been made in the high quality businesses. And most of the other people who’ve made a lot of money have done so in high quality businesses.Academic Economics: Strengths and Faults After Considering Interdisciplinary Needs – 3rd October, 2003 See’s has thus been able to distribute huge sums that have helped Berkshire buy other businesses that, in turn, have themselves produced large distributable profits. (Envision rabbits breeding.) Being humble and admitting where you are deficient the first step towards perception. Committing mistakes is human, and admitting your mistakes is part of being humble. Charlie is simply brilliant, and this book is a fantastic summary of his views. What he preaches is to understand the big ideas in all the big disciplines, instead of becoming yet another "man with a hammer". The book is filled with references to the most important mental models in a dozen disciplines, and I've spent hours and hours deep in Wikipedia rabbit holes from interesting sources and references. This is why it took me months to go through. Den of Thieves by James B. Stewart (1992). Munger allegedly recommended this book at Berkshire’s 1992 annual meeting.