Munger: Concentrated Investing-Seize the Few Big Opportunities in Life and You Can Become Very Rich
95% of people haven’t understood a very simple investment principle: Why concentrate your investments? Simple. Investing is doing business. So you should do it like a business owner: within your circle of competence, truly understand one or two good businesses, then patiently wait for a buying opportunity, concentrate your investment, hold long term, and you can become very rich. In Charlie Munger’s view, a person has only a few big opportunities in life. Investing is no exception. Good opportunities are extremely rare. Once one appears, you must dare to bet heavily and concentrate your investment. ...