--- title: "7 Assets Quotes By Charlie Munger" description: "7 Assets quotes by Charlie Munger. Plus more from Charlie Munger and more Assets sayings from other authors." image: "https://sms4smile.com/quotes/i/13d/charlie-munger-458_assets_size-will-hurt-returns-look-at-berkshire_205164.jpg" --- > [Size will hurt returns. Look at Berkshire Hathaway - the last five things Warren has done have generated returns that are splendid…](https://sms4smile.com/quotes/charlie-munger/size-will-hurt-returns-look-at-berkshire-hathaway-the-last-five/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/13d/charlie-munger-458_assets_size-will-hurt-returns-look-at-berkshire_205164.jpg) > [Remember that reputation and integrity are your most valuable assets - and can be lost in a heartbeat.](https://sms4smile.com/quotes/charlie-munger/remember-that-reputation-and-integrity-are-your-most-valuable-assets/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/8b6/charlie-munger-458_assets_remember-that-reputation-and-integrity-a_278260.jpg) > [You have a real asset-price bubble in places like parts of California and the suburbs of Washington, D.C.](https://sms4smile.com/quotes/charlie-munger/you-have-a-real-asset-price-bubble-in-places-like-parts-of-california/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/a81/charlie-munger-458_assets_you-have-a-real-asset-price-bubble-in-pl_316263.jpg) > [ Black-Scholes works for short-term options, but if it's a long-term option and you think you know something \[about the underlying asset\], it's… ](https://sms4smile.com/quotes/charlie-munger/black-scholes-works-for-short-term-options-but-if-it-s-a-long-term/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/491/charlie-munger-458_assets_black-scholes-works-for-short-term-optio_947554.jpg) > [Berkshire's whole record has been achieved without paying one ounce of attention to the efficient market theory in its hard form. And…](https://sms4smile.com/quotes/charlie-munger/berkshire-s-whole-record-has-been-achieved-without-paying-one-ounce/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/13c/charlie-munger-458_academic_berkshire-s-whole-record-has-been-achiev_1281627.jpg) > [The liabilities are always 100 percent good. It's the assets you have to worry about.](https://sms4smile.com/quotes/charlie-munger/the-liabilities-are-always-100-percent-good-it-s-the-assets-you-have/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/ef9/charlie-munger-458_assets_the-liabilities-are-always-100-percent-g_2564392.jpg) > [ \[With\] closet indexing…you're paying a manager a fortune and he has 85% of his assets invested parallel to the indexes. If you… ](https://sms4smile.com/quotes/charlie-munger/with-closet-indexing-you-re-paying-a-manager-a-fortune-and-he-has-85/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) [Image](https://sms4smile.com/quotes/i/9d9/charlie-munger-458_assets_with-closet-indexing-you-re-paying-a-man_3084217.jpg) ## Other authors on Assets ## More by Charlie Munger > [Almost all good businesses engage in 'pain today, gain tomorrow' activities.](https://sms4smile.com/quotes/charlie-munger/almost-all-good-businesses-engage-in-pain-today-gain-tomorrow/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [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…](https://sms4smile.com/quotes/charlie-munger/if-you-want-good-behavior-don-t-pay-on-a-commission-basis-our-judges/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [Acquire worldly wisdom and adjust your behavior accordingly. If your new behavior gives you a little temporary unpopularity with your peer group then to…](https://sms4smile.com/quotes/charlie-munger/acquire-worldly-wisdom-and-adjust-your-behavior-accordingly-if-your/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [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…](https://sms4smile.com/quotes/charlie-munger/i-think-time-and-time-again-in-reality-psychological-notions-and/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [I have what I call an iron prescription that helps me keep sane when I naturally drift toward preferring one ideology over another and…](https://sms4smile.com/quotes/charlie-munger/i-have-what-i-call-an-iron-prescription-that-helps-me-keep-sane-when/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [The tax code gives you an enormous advantage if you can find some things you can just sit with.](https://sms4smile.com/quotes/charlie-munger/the-tax-code-gives-you-an-enormous-advantage-if-you-can-find-some/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [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…](https://sms4smile.com/quotes/charlie-munger/the-great-lesson-in-microeconomics-is-to-discriminate-between-when/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [Some years ago one oil company bought a fertilizer company, and every other major oil company practically ran out and bought a fertilizer company.…](https://sms4smile.com/quotes/charlie-munger/some-years-ago-one-oil-company-bought-a-fertilizer-company-and-every/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [ They \[Mc Donalds\] take people and give them a first job, which enables them to get a second job. They do a very good… ](https://sms4smile.com/quotes/charlie-munger/they-mc-donalds-take-people-and-give-them-a-first-job-which-enables/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [What good is envy? It’s the one sin you can’t have any fun at.](https://sms4smile.com/quotes/charlie-munger/what-good-is-envy-it-s-the-one-sin-you-can-t-have-any-fun-at/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [We believe that almost all really good investment records will involve relatively little diversification. The basic idea that it was hard to find good…](https://sms4smile.com/quotes/charlie-munger/we-believe-that-almost-all-really-good-investment-records-will/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [It is way less certain to be a wonderful business in the future. The threat is alternative mediums of information. Every newspaper is scrambling…](https://sms4smile.com/quotes/charlie-munger/it-is-way-less-certain-to-be-a-wonderful-business-in-the-future-the/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [In the corporate world, if you have analysts, due diligence, and no horse sense, you've just described hell.](https://sms4smile.com/quotes/charlie-munger/in-the-corporate-world-if-you-have-analysts-due-diligence-and-no/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [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…](https://sms4smile.com/quotes/charlie-munger/we-have-to-have-a-special-insight-or-we-ll-put-it-in-the-too-tough/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) > [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…](https://sms4smile.com/quotes/charlie-munger/i-ve-heard-that-one-half-of-the-students-at-elite-schools-want-to-go/) [Charlie Munger](https://sms4smile.com/quotes/author/charlie-munger/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "ItemList", "@id": "https://sms4smile.com/quotes/about/assets/charlie-munger/#itemlist", "name": "7 Assets Quotes By Charlie Munger", "numberOfItems": 7, "itemListElement": [ { "@type": "ListItem", "position": 1, "item": { "@type": "Quotation", "text": "Size will hurt returns. Look at Berkshire Hathaway - the last five things Warren has done have generated returns that are splendid by historical standards, but now give him $100 billion in assets and measure outcomes across all of it, it doesn't look so good. We can only buy big positions, and the only time we can get big positions is during a horrible period of decline or stasis. 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And not one ounce of attention to the descendants of that idea, which came out of academic economics and went into corporate finance and morphed into such obscenities as the capital asset pricing model, which we also paid no attention to. 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If you have such a system, you're being played for a sucker.", "creator": { "@type": "Person", "name": "Charlie Munger" }, "url": "https://sms4smile.com/quotes/charlie-munger/with-closet-indexing-you-re-paying-a-manager-a-fortune-and-he-has-85/", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/9d9/charlie-munger-458_assets_with-closet-indexing-you-re-paying-a-man_3084217.jpg", "contentUrl": "https://sms4smile.com/quotes/i/9d9/charlie-munger-458_assets_with-closet-indexing-you-re-paying-a-man_3084217.jpg", "url": "https://sms4smile.com/quotes/i/9d9/charlie-munger-458_assets_with-closet-indexing-you-re-paying-a-man_3084217.jpg", "width": 1080, "height": 1080, "caption": "“[With] closet indexing…you're paying a manager a fortune and he has 85% of his assets invested parallel to…” — Charlie Munger", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } } } ] }, { "@type": "CollectionPage", "@id": "https://sms4smile.com/quotes/about/assets/charlie-munger/#webpage", "url": "https://sms4smile.com/quotes/about/assets/charlie-munger/", "name": "Assets Quotes by Charlie Munger", "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "mainEntity": { "@id": "https://sms4smile.com/quotes/about/assets/charlie-munger/#itemlist" }, "primaryImageOfPage": { "@id": "https://sms4smile.com/quotes/i/13d/charlie-munger-458_assets_size-will-hurt-returns-look-at-berkshire_205164.jpg" }, "description": "7 Assets quotes by Charlie Munger. 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