{"id":378,"date":"2017-02-28T02:18:43","date_gmt":"2017-02-28T02:18:43","guid":{"rendered":"http:\/\/charliemungersays.com\/?p=378"},"modified":"2017-10-25T00:23:13","modified_gmt":"2017-10-25T00:23:13","slug":"41-djco-annual-meeting-2017-part-2-lessons-7-12-from-the-maestro","status":"publish","type":"post","link":"https:\/\/charliemungersays.com\/index.php\/2017\/02\/28\/41-djco-annual-meeting-2017-part-2-lessons-7-12-from-the-maestro\/","title":{"rendered":"42. DJCO Annual Meeting 2017: Part 2: Lessons 7-12 From The Maestro"},"content":{"rendered":"

\"\"<\/a>Excellent Book: Charlie Munger For All Seasons<\/a><\/a><\/p>\n

Ref: Adam Blum’s Notes<\/p>\n

https:\/\/www.scribd.com\/document\/339530598\/Munger-Daily-Journal-Annual-Meeting-Notes-by-Adam-Blum-2-15-17#from_embed<\/a><\/p>\n

https:\/\/www.facebook.com\/groups\/charliemungersays\/<\/a><\/p>\n

Lesson 7: \u00a0Polymath Is Not For Everyone<\/strong><\/p>\n

On being a polymath: \u201cOperating over many disciplines as I do is not a good idea for most people. It was a wonderful path for me, but the correct path for others is to specialize and get good at something that society rewards, but spend 10-20% of time on \u2018big ideas\u2019 outside the specialty. Otherwise, you become a one legged man in an ass-kicking contest. You have to know the \u2018big ideas\u2019 if you live life outside a cave.\u201d<\/p>\n

Lesson 8:\u00a0 Lollapalooza Effect Is Not Linear.<\/strong><\/p>\n

Lollapalooza effect: \u201cI coined it when I realized I didn\u2019t know psychology. I bought three comprehensive psychology textbooks and read through them, and like usual I thought they were doing it all wrong, and I could do it better. When three or four tendencies were operating at once in same situation, the outcome wasn\u2019t linear, it was straight up. The scholars were ignoring the most important thing in profession, because they couldn\u2019t do experiments with so many variable operating together, and then they didn\u2019t synthesize it with other disciplines, because they didn\u2019t know squat about other disciplines. I am lonely, but I am right.\u201d<\/p>\n

Lesson 9: The Investment Business Is One Where You Can Get Better With Age. (Sic: Unlike Boxing Where You Get Better Until A Certain Age Or Meet Mike Tyson.)<\/strong><\/p>\n

On Buffett becoming a better investor with age: \u201cIf you\u2019re in a game and learning more and honing skills, of course you do better over time. Berkshire would be a very modest company if Warren never learned anything. We went out and bought whole entire businesses \u2013 something we\u2019d not have done early on as stock investors. And Iscar at five times book value, Ben Graham would\u2019ve never bought that. We\u2019ve learned better over time, and we can keep learning and are still doing it.<\/p>\n

Lesson 10: Circumstances Have Changed. We\u2019ve now bought AAR: Airlines, Apple and Railroads.<\/strong><\/p>\n

Lesson 11: You marry the best person who will have you.<\/strong><\/p>\n

He\u2019s [Buffett] changed when he\u2019s buying airlines, and he\u2019s changed when he\u2019s buying Apple. The nice thing about the game we\u2019re in is that we can keep learning. We\u2019re in the press for airline stocks when in 2013 we thought it was a joke, it was such a terrible business. Today, if you put all our holdings together, we own a small airline. It violates the total catechism. It\u2019s the same thing for railroads scaring us away with all this trucking competition \u2013 it was a terrible business for 80 years, and then we become a massive owner when they finally got it down to four main railroads. This morning I was with my daughter-in-law, and she bought round trip tickets to Europe for $400 with taxes \u2013 huh [aghast at how cheap it was]? Maybe we shouldn\u2019t be in the airline stocks. I frequently talk to Warren about old days. We shot fish in barrel. We even waited til they slowed down and used a shotgun. We get little edges now, while before had total cinches. But it isn\u2019t any less interesting. We bought Exxon Mobil as cash substitute \u2013 we thought it\u2019d do a little better than cash at the time \u2013 but early on we never would\u2019ve done that. Think what changed when we bought Apple and a bunch of airlines\u2019 is now a lead story about us in the press. But we\u2019re just adapting to a business that\u2019s gotten a lot more difficult. I don\u2019t think we\u2019ve gone crazy. I think we\u2019re adapting. Now the odds are just a little in our favor. We\u2019ll take that advantage, but it\u2019s harder. You marry the best person who will have you. Be satisfied with the type of advantage we didn\u2019t used to get, caused by getting so enormously rich \u2013 it\u2019s not a bad trade off.\u201d<\/p>\n

Lesson 12: Donald Trump is not wrong in everything, Just roll with it.<\/strong><\/p>\n

On saying Trump wasn\u2019t morally qualified to be President: \u201cI\u2019ve gotten more mellow. Think about the good. Reexamining tax system is constructive. All these crazy republicans and social security \u2013 Trump is right in not touching social security. I am with Donald Trump. He\u2019s not wrong in everything, and just because he isn\u2019t like us, roll with it. If there\u2019s a little danger, what the hell, you\u2019re not going to live forever anyway.<\/p>\n

https:\/\/www.facebook.com\/groups\/charliemungersays\/<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Excellent Book: Charlie Munger For All Seasons Ref: Adam Blum’s Notes https:\/\/www.scribd.com\/document\/339530598\/Munger-Daily-Journal-Annual-Meeting-Notes-by-Adam-Blum-2-15-17#from_embed https:\/\/www.facebook.com\/groups\/charliemungersays\/ Lesson 7: \u00a0Polymath Is Not For Everyone<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"footnotes":""},"categories":[3,5],"tags":[],"class_list":["post-378","post","type-post","status-publish","format-standard","hentry","category-investment","category-philanthropy"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/posts\/378","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/comments?post=378"}],"version-history":[{"count":3,"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/posts\/378\/revisions"}],"predecessor-version":[{"id":893,"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/posts\/378\/revisions\/893"}],"wp:attachment":[{"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/media?parent=378"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/categories?post=378"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/charliemungersays.com\/index.php\/wp-json\/wp\/v2\/tags?post=378"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}