Warren Buffett Net worth USD 70 Bln plus and Charli Munger’s Net worth USD 1.8 Bln. Why?

14^th April 2020

Warren Buffett Net worth USD 70 Bln plus and Charli Munger’s Net worth USD 1.8 Bln. Why?

Dear Fellow Travellers,

Greetings from Hitesh! Reading our post on a 1000% sure shot strategy to avoid losses, I have got a request to give a practical example in the area of investment field. I had written that this is a very advanced strategy and many will find it difficult to understand. I was right. Please go through the living example.

Buffett v/s. Munger: -

Both are associated with each other for more than 40 years. They are together in any business and investment decisions for Berkshire. If we go by Buffett, Munger is smarter than him. Buffett has publicly praised him many times. I have been reading both of them for a long time. But when it comes to money – Buffett is 35 times or bigger than Munger. Why? 

The SECRET: -

It is said that your attitude decides your altitude. Your inner talk / your inner intentions come in the way of your progress. Let me share two of the most inner thoughts of Buffett and Munger.

1.  Buffett says – I am okay if the market closes for 10 years after my purchase.

2.  Munger says – Let me know where my death is – so I don’t go there.

I have found that Buffett is using the best of EASTERN Philosophies while investing. According to me, he is a living example of what KRISHNA was asking to do ARJUN in GITA. He is following all the principles – without talking about GITA/KATHO UPANISHAD, etc.

What is the hidden meaning in the above two sentences?

Buffett is ready to forget his investment amount for 10 years. He is okay if he is not able to sell for 10 years. He is ready for Loss. It means – after his job of investment is done – he has kept everything on the MARKET or NATURE. From his side he is not attached to profit or loss. In fact, he has also said – “I am not right because the market agrees with me and I am not right because the market disagrees with me”. He is okay if his calculations bring him losses. Since he is ready for losses – Nature gives him profit in tons.

Now, if you read the Munger – he is not ready for losses. Being a smart guy – he says – I don’t want losses. In other words – he wants profits only. He has only a profit-making attitude. So, when he scanned the opportunities – he will not go ahead and invest – if he feels that it may bring him the loss. He misses the bus.

What happens in PRACTICE?

We all have opinions/guess/predictions before the events happen. So, before investments – If I feel that this is going to be loss-making – I will not invest. In the end, it may happen that it earns the super-duper profit for the person who invested. It may also happen that the expected profit-making investment turns out to be the most loss bringing decision of life. Am I right?

What is the other LOGIC?

Life is a cycle. The market also follows the cycle. Mandi comes after Teji and Teji comes after Mandi. So, if you start with Profit, the loss will be the end results and if you start with the Loss, profit will be the end results. Have you seen the guys who had a great period in early life have a bad period in later life and vice versa? It’s a Cycle.

What NEXT?

Corona has proved to us that we are nobody in front of NATURE even today. We can’t cheat NATURE, though we may appear to be successful in the short term. The ideal way is to work on our deep-down INTENTIONS before we do anything. Apparent GOOD Karma is not going to give good results if the INTENTIONS are not pure (BHAV as we know it in HINDI or GUJARATI). So, work on your intentions/attitude and inner talk. They will set a limit to your wealth creations without your knowledge.

Have a HAPPY INVESTING.

Follow me on Twitter @hiteshmparikh / WhatsApp – +91-9869425399.

Live With Passion…Invest With Passion.

Hitesh Parikh