He is known as the contemporary Benjamin Franklin;

After he joined a company, its market value increased by 13500 times, from1000 to1350 million.

He is Warren Buffett's golden partner-Charles Munger.

Speaking of Buffett, we all know that in the investment market, Buffett is called the stock god because of his stable and amazing rate of return for many years. However, Charles Munger, a partner of Buffett, has always kept a low profile in the outside world because of his low-key and silent personality, and his behind-the-scenes value and contribution are little known.

Buffett took over Berkshire Hathaway on 1964, and a few years later, Charles Munger joined the management of Berkshire Hathaway. Since then, Berkshire's market value has continued to grow, and the two have jointly created the best investment record in history. Berkshire's stock has also created the myth of the investment market with a compound rate of return of 20% per year.

The book "Poor Charlie Collection" records in detail Charles Munger's talks and speeches abroad in recent years, covering Charles Munger's thinking on life, study, decision-making and investment methods, which is also the universal wisdom advocated by Charles Munger all his life.

For Charles Munger, the only way to gain universal wisdom is to keep learning.

Charles Munger himself is a lifelong learner. Charles Munger's enthusiasm for reading is far beyond our imagination. No matter where he is, he always holds an open book in his hand, so that many younger generations comment on Charles Munger that he is a book with legs.

Even in his later years, Charles Munger did not give up his thirst for knowledge. It is said that the 90-year-old man is still strict with himself and keeps the habit of getting up early and reading newspapers every day.

1. Multiple thinking mode

In the eyes of others, Charles Munger's greatest achievement is his great success in the investment market. However, for Charles Munger himself, successful investment is only a by-product of his carefully planned and dedicated lifestyle.

Many of Charles Munger's unique views on life originated from his own "multiple thinking mode".

This is a method of thinking about problems with ecosystem, combining with various thinking modes, so as to carry out multi-faceted and multi-dimensional analysis and solve problems from this.

You know, the vast majority of decisions in the world are only to improve the probability of success, and making success a high probability event is our ultimate goal of solving problems.

However, a person's vision is often limited by his own thinking, which is like holding a hammer in his hand. They often think that the world is a nail. If we look at and solve the problem in this way, it will become too one-sided and the probability of making mistakes will be greatly improved.

Therefore, the establishment of multi-dimensional thinking model is to avoid the probability that this single-dimensional thinking will lead to wrong decisions.

In life, many people often have such a misunderstanding that the application of all disciplines only corresponds to the corresponding subject problems. For example, studying economics is only to solve some economic problems; Studying psychology is only to solve some problems in interpersonal communication.

However, this is not the case. A discipline seems to exist independently, but its most essential knowledge can be applied to most problems, which is what we often call bottom logic. John Muir once said: If we try to understand something that seems to exist independently, we will find that it is related to everything else in the universe.

In the past personal knowledge competition, it was largely about the amount of information that individuals could access.

Nowadays, with the continuous development of the Internet, the spread of information has penetrated into every corner of the world, and everyone can easily obtain information. Therefore, personal access to information is no longer an advantage. In the future, it is more about competing for information retrieval ability and changing the traditional path of transforming information into knowledge.

The best way to turn information into knowledge is to learn to dig the underlying logic of information things, build a personal thinking model, and finally apply this diversified thinking model to digest more information and solve more problems.

In the book "Poor Charlie's Collection", Charles Munger repeatedly emphasized the importance of individuals having multiple modes of thinking. As far as he is concerned, there are about 100 kinds of thinking models, such as: mathematical compound interest model, psychological cognitive misjudgment model and so on. These thinking modes are enough for him to solve all kinds of complicated problems.

2. Capability boundary

Everyone should know what they can and can't do.

Just like Charles Munger treats investment, he usually divides his chosen projects into three categories, namely, those that can be invested, those that cannot be invested and those that are too difficult to understand. Charles Munger said: He will only focus on investable projects. As for other projects, he will not take any risks. Because for him, it is right to choose to do things in his own ability circle.

In this fast-paced era, competition and temptation are everywhere, and everyone is extremely anxious. These external stimuli will always affect us to try to do things that we think are profitable and beyond our power. Of course, the ending often ends in failure.

If a person knows where the boundary of his ability is, he is lucky enough to do things outside his ability circle, and the result of failure can only be said to be self-inflicted. And if a person doesn't know where his ability boundary is at all, it means that he has no ability.

For individuals, self-knowledge is a rare quality. Anyone who blindly believes in himself and tries to succeed beyond the boundary of ability is mostly like a gambler. Everyone has a blind spot, even Charles Munger and Buffett are no exception. The better people are, the more clearly they know where their ability boundaries are, and the more they make decisions within their own ability circle, the greater the probability of success.

3. Reverse thinking

"I just want to know where I will die in the future, so I can never go."

This is a quip that Charlie Munger likes very much. Although it seems funny, it implies a unique mode of thinking, which is reverse thinking.

Under normal circumstances, human beings think according to a fixed thinking direction, so they are often limited by inertial thinking, which complicates some problems. At this time, if you think in the opposite direction and seek a solution with reverse thinking, the problem may be much simpler.

The famous story of Sima Guang smashing a jar to save a drowning child in the history of China is a typical example of using reverse thinking to solve problems. When someone falls into the water, our usual mode of thinking is to get people out of the water so that they can be saved. However, in the face of emergency, Sima Guang used reverse thinking and decisively smashed the water tank with stones to let the water leave people, thus saving his friend's life.

From the story of Sima Guang's smashing a jar, we can see that the ordinary thinking mode may not be able to solve the problem well. If you blindly pursue the same thinking, you will only fall into yourself. At this time, we just need to change the direction and think about the problem with reverse thinking, which may make it easier to solve the problem.

Charles Munger is a typical person who is very good at using reverse thinking. He often uses this way of thinking to warn people how to do something when talking to others or even making some public speeches.

For example, someone once asked Charles Munger:

"How can I find a good partner?"

He replied: First of all, you should be an excellent person, because an excellent partner is not a fool.

Actually, it's true. Only when you become better can you attract a good partner. If you are ordinary, how can you have a good partner? Close to Zhu Zhechi, close to the ink, that's basically what it means.

Therefore, having reverse thinking can help us solve some seemingly complicated problems, and the solutions are often simple enough to make us unexpected.

4. Universal wisdom

My sword is only reserved for those who can use it. Charles Munger

I have to say that Charles Munger is a great investor and a very wise life mentor.

Charles Munger's wisdom enabled him to succeed in investing. Although he is rich now, he still leads an ascetic life. On the one hand, Charlie Munger devoted himself to charity, giving back his great success to society and benefiting the whole world.

At the same time, Charles Munger has not forgotten his own research. By improving his personal moral cultivation, he still maintains himself in this secular society, and advocates more people to acquire their universal wisdom and realize their value.

Poor Charlie's Collection is a collection of what Charles Munger learned all his life and his cosmic wisdom. Multi-thinking mode, ability boundary and reverse thinking are only a small part of Charles Munger's cosmic wisdom.

Through life and study, Charles Munger summed up 25 psychological tendencies of human misjudgment, as well as the original lollapalooza effect and various systematic checklists.

Due to the limited space, I won't go into details here. Interested friends can read this book. This book is really worth reading and rereading, and slowly savoring Charles Munger's more thoughts on life and his cosmic wisdom.