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Advantage Quote by Charlie Munger

“Over many decades, our usual practice is that if something we like goes down, we buy more and more. Sometimes something happens, you realize you’re wrong, and you get out. But if you develop correct confidence in your judgment, buy more and take advantage of stock prices.” quote by Charlie Munger
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“Over many decades, our usual practice is that if something we like goes down, we buy more and more. Sometimes something happens, you realize you’re wrong, and you get out. But if you develop correct confidence in your judgment, buy more and take advantage of stock prices.”

Charlie Munger

About This Quote

Source Speech: Annual Shareholder Meeting, 2023

Investing with confidence means buying more when you trust your judgment, not just averaging down.

In simple terms: Buy more when confident, not just when prices fall.

Key Takeaway

Trust your analysis, act decisively.

Themes

investment confidence behavioral finance

Mood

cautious analytical

Type

advisory reflective

When to use this quote

  • stock buying
  • portfolio rebalancing
  • market downturns
  • confidence building

Key Concepts

risk management market cycles psychology

Questions to Reflect On

  • How do you assess confidence in a decision?
  • When should you hold vs. add to a position?
A Different Perspective

Overconfidence can lead to large losses if judgment is wrong.

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