Warren Buffett
The Oracle of Omaha
Berkshire Hathaway
Value InvestingLong-term, Quality-focused
Buy wonderful companies at fair prices and hold them forever. Focus on businesses with durable competitive advantages (moats) and excellent management.
Key Principles
- Circle of Competence - Only invest in what you understand
- Margin of Safety - Buy below intrinsic value
- Economic Moats - Seek durable competitive advantages
- Owner Mentality - Think like a business owner, not a trader
- Mr. Market - Use market volatility, don't be ruled by it
Famous Quotes
"Be fearful when others are greedy, and greedy when others are fearful."
"Price is what you pay. Value is what you get."
"It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price."
Charlie Munger
The Abominable No-Man
Berkshire Hathaway
Multi-disciplinary ValueMental Models, Quality Focus
Use a latticework of mental models from multiple disciplines to make better decisions. Invert problems, avoid stupidity, and focus on quality over quantity.
Key Principles
- Mental Models - Build a latticework of knowledge
- Inversion - Think backwards to avoid mistakes
- Circle of Competence - Know what you don't know
- Avoid Stupidity - Not being stupid is more important than being smart
- Patience - Sit on your ass investing
Famous Quotes
"Invert, always invert."
"The big money is not in the buying and selling, but in the waiting."
"A great business at a fair price is superior to a fair business at a great price."
Quick Comparison
| Metric | Warren Buffett | Charlie Munger |
|---|---|---|
| Investment Style | Value Investing | Multi-disciplinary Value |
| Approach | Long-term, Quality-focused | Mental Models, Quality Focus |
| Annual Return | 20%+ | 19%+ |
| Time Horizon | Forever | Decades |
| Concentration | Focused | Very Focused |
| Portfolio Turnover | Very Low | Minimal |