Wisdom From Charlie Munger

Charlie Munger is a smart smart man.

Well, you can laugh at that. It is ridiculous but it's no more ridiculous than the way a lot of people cling to failed ideas. Keynes said "It's not bringing in the new ideas that's so hard. It's getting rid of the old ones." And Einstein said it better, attributing his mental success to "curiosity, concentration, perseverance and self-criticism." By self-criticism he meant becoming good at destroying your own best-loved and hardest-won ideas. If you can get really good at destroying your own wrong ideas, that is a great gift.

Destroying your own best-loved ideas is hard, but whether you are an individual or a company, it's the best way to grown and change over time.

via Tilson Funds and reflections on value investing.

  • Dan

    It’s interesting to contrast this article with your previous post. This article says, essentially, “We tend to cling to our own ideas of what’s best, and fail to see better options.”

    The previous article says, “Our quest for self-improvement often leads us to discount the good we currently posses for an unknown benefit in another course of action.”

    Intuitively, I feel that both are correct, but knowing which way I’m (in/appropriately) leaning at any given time is pretty tough!

    Oh, and hello from RSS land!