Friday, October 30, 2015

Charlie Munger: The Complete Investor

If you know a company's future growth rate (good luck with that), and can calculate it's Beta (say what?) along with its weighted average cost of capital (to 2 decimal places, because you wouldn't want to be imprecise), you can figure out what a company is worth least that's what gets taught to finance students around the world. One of the most successful investors in the world, however, knows differently. In Tren Griffin's book about Charlie Munger, the reader gets a different point of view of what makes for a successful investor.

The book seems like a pretty good place for new investors to start. It introduces the reader to all sorts of investing concepts that aren't taught much at school, including moats, worldly wisdom, emotions, biases and other factors that are important to understand.

Someone who's already versed in value investing and Munger may not find much new material in this book, however. Still, it provides a number of Munger quotes and anecdotes that are worth being reminded of every now and again.


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