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Investing Quotes by Charlie Munger

120 Investing quotes by Charlie Munger

All Investing quotes Charlie Munger’s page

Charlie Munger advises you to gather worldly wisdom and change how you act, even if it makes you unpopular. He says we should pick one clear strength and stick to it, because many forecasts are colored by bias. He also stresses learning the best ideas others have already discovered.

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The investment game is getting more and more competitive.

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All sensible investing is value investing

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Your life must focus on the maximization of objectivity.

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You must value the business in order to value the stock.

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Warren spends 70 hours a week thinking about investing .

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People calculate too much and think too little.

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Great investing requires a lot of delayed gratification.

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It's dangerous to short stocks.

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The game of life is the game of everlasting learning. At least it is if you want to win.

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I don't invest in what I don't understand. And I don't want to understand Facebook.

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The best thing a human being can do is to help another human being know more.

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Most people are too fretful, they worry to much. Success means being very patient, but aggressive when it's time.

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Investing is where you find a few great companies and then sit on your ass.

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I think that, every time you saw the word EBITDA, you should substitute the word "bullshit" earnings.

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You don't have to be brilliant, only a little bit wiser than the other guys, on average, for a long, long, time.

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There's more honor in investment management than in investment banking.

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Move only when you have an advantage. It's very basic. You have to understand the odds and have the discipline to bet…

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We're emphasizing the knowable by predicting how certain people and companies will swim against the current. We're not predicting the fluctuation in…

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For many of our shareholders, our stock is all they own, and we're acutely aware of that. Our culture [of conservatism] runs…

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You're looking for a mispriced gamble. That's what investing is. And you have to know enough to know whether the gamble is…

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

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If you took our top fifteen decisions out, we'd have a pretty average record. It wasn't hyperactivity, but a hell of a…

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The total amount paid out in dividends is roughly equal to the amount lost in trading and investment advice, so net dividends…

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To me, it's obvious that the winner has to bet very selectively. It's been obvious to me since very early in life.…

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The possibility that stock value in aggregate can become irrationally high is contrary to the hard-form "efficient market" theory that many of…

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It's in the nature of stock markets to go way down from time to time. There's no system to avoid bad markets.…

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We believe that almost all really good investment records will involve relatively little diversification. The basic idea that it was hard to…

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I have a name for people who went to the extreme efficient market theory-which is "bonkers". It was an intellectually consistent theory…

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The general culture of investment banking has deteriorated over the years. We did a $6 million deal years ago for Diversified Retailing…

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Our approach has worked for us. Look at the fun we, our managers, and our shareholders are having. More people should copy…

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I think the reason why we got into such idiocy in investment management is best illustrated by a story that I tell…

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Berkshire was built on the eternal verities: basic mathematics, basic horse sense, basic fear, and basic diagnosis of human nature to make…

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Berkshire's whole record has been achieved without paying one ounce of attention to the efficient market theory in its hard form. And…

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Over the long term, it's hard for a stock to earn a much better return that the business which underlies it earns.…

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Understanding how to be a good investor makes you a better business manager and vice versa.

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The normal expectancy of the average investor - for example, the pension funds of AT&T or IBM - is 6% for a…

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Stock-picking is like gambling: those who win well, seldom bet, but when they do, they bet heavily.

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Hard work, honesty, if you keep at it, will get you almost anything.

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Our job is to find a few intelligent things to do, not to keep up with every damn thing in the world.

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I think that one should recognize reality even when one doesn't like it; indeed, especially when one doesn't like it.

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More by Charlie Munger

Almost all good businesses engage in 'pain today, gain tomorrow' activities.

If you want good behavior, don't pay on a commission basis. Our judges aren't paid so much a case. We keep them pretty well…

Acquire worldly wisdom and adjust your behavior accordingly. If your new behavior gives you a little temporary unpopularity with your peer group then to…

I think time and time again, in reality, psychological notions and economic notions interplay, and the man who doesn't understand both is a damned…

I have what I call an iron prescription that helps me keep sane when I naturally drift toward preferring one ideology over another and…

The tax code gives you an enormous advantage if you can find some things you can just sit with.

The great lesson in microeconomics is to discriminate between when technology is going to help you and when it's going to kill you. And…

Some years ago one oil company bought a fertilizer company, and every other major oil company practically ran out and bought a fertilizer company.…

They [Mc Donalds] take people and give them a first job, which enables them to get a second job. They do a very good…

What good is envy? It’s the one sin you can’t have any fun at.

We believe that almost all really good investment records will involve relatively little diversification. The basic idea that it was hard to find good…

It is way less certain to be a wonderful business in the future. The threat is alternative mediums of information. Every newspaper is scrambling…

In the corporate world, if you have analysts, due diligence, and no horse sense, you've just described hell.

We have to have a special insight, or we'll put it in the 'too tough' basket. All of you have to look for a…

I've heard that one-half of the students at elite schools want to go into private equity or hedge funds. They want to keep up…