A Lesson on Elementary, Worldly Wisdom As It Relates To Investment Management & Business
Charlie MungerOver many decades, our usual practice is that if something we like goes down, we buy more and more. Sometimes something happens, you realize youโre wrong, and you get out. But if you develop correct confidence in your judgment, buy more and take advantage of stock prices.
Charlie MungerEvery business tries to turn this year's success into next year's greater success. It's hard for me to see why Microsoft is sinful to do this. If it's a sin, then I hope all of Berkshire Hathaway's subsidiaries are sinners. Someone whose salary is paid by U.S.taxpayers is happy to dramatically weaken the one place where we're winning big?!
Charlie MungerWell the open-outcry auction is just made to turn the brain into mush: you've got social proof, the other guy is bidding, you get reciprocation tendency, you get deprival super-reaction syndrome, the thing is going away... I mean it just absolutely is designed to manipulate people into idiotic behavior.
Charlie Munger