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The Importance of Stoic Discipline
Teddy Munger was blind in one eye after a horrific operation. Charlie Buffett started investing at 30 and is now worth $81 billion. Most of Buffett's wealth is a factor of him having invested for over 80 years. If you were coming into the investment field today, he would do exactly what he did 40 years ago. He refers to positive attitude as the compounding of positive thoughts in action.
On today’s episode, Clay wraps up his review of Gautam Baid’s book, The Joys of Compounding. Today’s episode is part 5 and the final episode of our review of this incredible book. This episode is jam packed with investing wisdom that you won’t want to miss.
Gautam Baid is the Managing Partner and Fund Manager of Stellar Wealth Partners India Fund, a Delaware-based investment partnership which is available to accredited investors in the US. The fund is modeled after the Buffett Partnership fee structure and invests in listed Indian equities with a long-term, fundamental, and value-oriented approach.
IN THIS EPISODE YOU’LL LEARN:
00:00 - Intro.
03:02 - Why we should read more history and study fewer forecasts.
12:05 - Why “Don’t Fight the Fed” is a misguided investment strategy.
22:15 - Why the ability to change our mind as investors is more critical now than ever before.
28:37 - What base rates are and why Buffett loves companies with high base rates.
32:32 - Gautam’s wisdom related to opportunity costs.
39:11 - How Nick Sleep, Charlie Munger, Warren Buffett have become masters of pattern recognition and better investors because of it.
56:34 - Why value investors should generally avoid stop loss orders on long-term secular winners.
62:48 - What the real secret is to utilizing the power of compounding.
Disclaimer: Slight discrepancies in the timestamps may occur due to podcast platform differences.
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