12 Timeless Lessons from Charlie Munger

Charlie Munger is an American businessman, investor, and philanthropist. Born on January 1, 1924, Munger is best known for being the Vice Chairman of Berkshire Hathaway, a multinational conglomerate holding company led by Warren Buffett.

Munger is widely respected for his investment acumen and is considered one of the most successful investors of his generation. He has been a key figure in the success of Berkshire Hathaway, where he has worked alongside Warren Buffett for many years. Munger is known for his sharp intellect, wit, and his influence on the investment philosophy of Berkshire Hathaway.

In addition to his business activities, Charlie Munger is also known for his philanthropic efforts. He has made substantial contributions to various educational and medical institutions.

Charlie Munger is known for his witty and insightful quotes on business, investing, and life. Here are some of his notable quotes:

On Investing:

"The first rule of a happy life is low expectations."

"The big money is not in the buying and selling, but in the waiting."

"Invert, always invert: Turn a situation or problem upside down. Look at it backward."

On Decision-Making:

"It is remarkable how much long-term advantage people like us have gotten by trying to be consistently not stupid, instead of trying to be very intelligent."

"I never allow myself to have an opinion on anything that I don't know the other side's argument better than they do."

On Learning and Education:

"Go to bed smarter than when you woke up."

"I constantly see people rise in life who are not the smartest, sometimes not even the most diligent, but they are learning machines. They go to bed every night a little wiser than they were when they got up and boy does that help, particularly when you have a long run ahead of you."

On Mistakes and Learning from Failure:

"All I want to know is where I'm going to die so I'll never go there."

"The iron rule of nature is: you get what you reward for. If you want ants to come, you put sugar on the floor."

On Multidisciplinary Thinking:

 "I think it is in the Berkshire Hathaway annual report somewhere where I say that my idea of a good business is one that does very hard things well."

"Develop into a lifelong self-learner through voracious reading; cultivate curiosity and strive to become a little wiser every day."

On Success:

"Spend each day trying to be a little wiser than you were when you woke up. Day by day, and at the end of the day—if you live long enough—like most people, you will get out of life what you deserve."

These quotes reflect Munger's emphasis on lifelong learning, avoiding mistakes, and adopting a rational and multidisciplinary approach to decision-making. They provide valuable insights into his philosophy on investing and life.

Charlie Munger died on November 28, 2023, at the age of 99.

Rest in Peace Charlie.