Between the Covers

The Essential Wisdom of Charlie Munger


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This excerpt from "Poor Charlie's Almanack" explores the life and investment philosophy of Charlie Munger, focusing on his concept of "multiple mental models." It highlights how Munger, partner to Warren Buffett, advocates for a broad, interdisciplinary approach to understanding the world and making decisions, rather than relying on a single field of knowledge. The text also introduces Munger's "inverse thinking" method, emphasizing the importance of identifying what to avoid before determining what actions to take. Finally, it outlines Munger's four key investment criteria, stressing the significance of "value investing" and understanding a company's "moat" or competitive advantage.

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Between the CoversBy Erick W