You’re not as rational as you think

Smart people make dumb decisions all the time

Charlie Munger explained why, and how to fix it

Here's a thread on The Psychology of Human Misjudgement: Charlie Munger spent decades studying why smart people make bad decisions.

He identified 24 standard causes of human misjudgement.

Let’s break down the most important ones:

The best one-liners in investing come from Charlie Munger

His lesser-known insights are just as powerful

Here are the 15 best Munger quotes you’ve never heard: 1. Wisdom

“Acknowledging what you don’t know is the dawning of wisdom.”

Most investors know P/E

But what about the other 49 ratios that matter?

Here are 50 must-know investing ratios, and how to use it 1. Valuation ratios

"Our favorite holding period is forever" - Warren Buffett

Here are 10 stocks to own forever:

1. Zoetis 2. Heico

I read over 5,000 (!) of Buffett wisdom.

It's worth more than an MBA. Let's discuss the top 10 lessons:

1. The longer you invest, the better 2. Do not borrow money to invest

This quote says it all:

“My partner Charlie Munger says there are only three ways a smart person can go broke: liquor, ladies and leverage." - Warren Buffett

🧵 25 Things I wish I knew about investing 20 years ago.

Lesson 1: Invest for the long term.

In the short run, stock returns can be very volatile, but they are very robust in the long run. Over time, stocks always perform better than bonds. Lesson 2: On average, you double your money in the stock market every 10 years.

The real return on equities (after inflation) has averaged 6.8% per year over the past 204 years.

Most investors skip the 10-K

That’s a mistake

It’s where the real story of a business is hiding

And this e-book will teach you how to find it 1. Know Why the 10-K Exists

Investing is an art.

But it’s also a craft and a science at the same time.

In this thread, I’ll teach you how to value a stock. 1. Keep It Simple

Great investors use common sense.

If you need an Excel sheet to decide if a stock is interesting, it probably isn’t.

Simplicity and patience win in investing.

Terry Smith’s Investing for Growth is amazing.

Buy great companies, hold tight, and ignore the noise

Here's a detailed summary: 1. Introduction

Finchat is an amazing tool.

I use it to create investment cases and find interesting stocks to buy.

Today I’ll show you how to screen for getting rich, staying rich, and living rich stocks. 1. Multiple Roads

First of all, it’s important to understand that multiple roads lead to Rome.

You can use different screening criteria to find great stocks.

There is also no golden truth in the criteria used in these screeners.

Chuck Akre’s wisdom can simplify the most complex ideas in investing.

I’ve summarized 11 of his most impactful quotes.

These will teach you more than 11 books 1. Diversification

"We’d rather own a few extraordinary businesses than many mediocre ones."

Do you know Vitaliy Katsenelson (@vitaliyk)?

He’s a great friend and one of the best value investors I know.

I got the chance to interview him a year ago.

Here are the most important lessons from him: @vitaliyk 1️⃣ Vitaliy calls himself an eclectic value investor

His portfolio doesn’t look like a textbook value fund.

He owns high-quality, often global businesses — some even trade at growth multiples.

But every stock must be undervalued with a margin of safety.

Last week, Buffett said:

"In the next 50 years, we probably won’t sell the Japanese trading houses"

Let's discuss the companies he talks about: 1. Itochu Corporation (Ticker: 8001.T)

Itochu is a trading company.

They buy and sell things like food, clothing, and machinery all over the world.

They also invest in other businesses, just like Buffett's Berkshire Hathaway.

"If a business earns 18% on capital over 20 or 30 years, even if you pay an expensive looking price, you’ll end up with one hell of a result." — Charlie Munger

Here are 10 stocks with a return on capital > 20%: 1. Alphabet (GOOGL) ROIC: 32.1%

Alphabet is the parent company of Google, which makes money mainly through ads.

It also owns YouTube, Android, and invests in AI and other tech projects.

10 Quality Stocks everyone should know:

1. Medpace 2. Domino's Pizza

10 Books recommended by 10 Billionaies

• Elon Musk
• Bill Gates
• Warren Buffett
• Jack Dorsey
• Satya Nadella
• Sam Altman
• Jeff Bezos
• Mark Zuckerberg
• Peter Thiel
• Sherlyl Sandberg

Let's dive in: 1. Elon Musk

Zero to One by Peter Thiel

"Peter Thiel has built multiple breakthrough companies and Zero to One shows how."

I’m currently at the Berkshire AGM in Omaha

I will share the key takeaways with you live: 1. First remark: Warren looks fresh. His mental state is great

2. Greg Abel is actually already making a lot of the capital allocation decisions for Berkshire

📍 It’s Berkshire Weekend.

I just read Buffett & Munger Unscripted by Alex W. Morris on the way to Omaha

Here are the most important lessons: 1. Buffett’s first question for every stock:

“If I were buying the whole company, would I be happy owning it forever?”

He doesn’t think like a trader.
He thinks like an owner.

7 Cheat Sheets to Change Your Life

1. Finance Cheat Sheet 2. Excel Cheat Sheet

Warren Buffett isn’t just the best investor in the world—he’s in a league of his own.

Imagine investing $10,000 in Berkshire Hathaway back in 1965…

Today, that would be worth over $2 billion (!)

Here are 100 of his most powerful investing quotes: 1.

The world's best investors:

Warren Buffett, Sir John Templeton, Seth Klarman, Bill Ackman, Howard Marks

Here's what they taught me about market volatility: 1. The Price of Admission

"Volatility is not a risk. It’s the price you pay for superior returns." — Warren Buffett