My Favorite Books On Investing

Charlie Munger, Vice-Chairman of Berkshire Hathaway, developed his latticework of mental models by reading three leading textbooks on each subject. We can use the same approach for getting better at long term investing in marketable securities. But instead of three, there are twelve books that every investor should read and reread. I have read these…

The Power of Habit

Around 42% of college students in America will never read another book after graduation. Compare these students with Todd Combs one of the money managers at Berkshire Hathaway. He spends most of his time reading and thinking. In one interview he said that he reads 500+ pages of annual reports every week. What drives Todd…

The Brain That Changes Itself

Frederick had a massive stroke when he was in his mother’s womb and his entire left side of the body was affected. He could not crawl nor walk and could not talk until he was three years old. An MRI scan revealed that 25% of his brain was dead. He made some progress using conventional…

Books recommended by Prof. Sanjay Bakshi

Jeff Bezos admires David Shaw and he once told that David is one of the few people I know who has a fully developed left brain and a fully developed right brain. If Bezos had met Prof. Sanjay Bakshi he would have told the same thing. I was extremely lucky to meet the professor yesterday.…

A More Beautiful Question

An average four year old girl in Britain asks around 390 questions a day. But as we age we stop asking questions. This is evident from the chart given below. Our reading and writing skills went up but our questioning skills went down a lot. In the excellent book A More Beautiful Question – Warren…

Books I Wish I Had Read Before 20

Charlie Munger, vice chairman of Berkshire Hathaway, once commented – “In my whole life, I have known no wise people (over a broad subject matter area) who didn’t read all the time – none, zero.” I came across this comment in mid 30’s and it made me to read a book every week. If I…

Outsiders

One of the four filters which Buffett and Munger applies before investing in any company is – able and trustworthy management. The key person in the management is the CEO. He needs to do two things well to be successful (1) Run the business operations efficiently (2) Deploy the cash generated by those operations. In…