Investing Lessons from the greatest investors of all times.

Peter Lynch, Charlie Munger, Sanjoy Bhattacharyya and Philip Fisher.

Some notes on investing, savings and power of compounding!

Will keep adding stuff.

Like and retweet for wider reach.

A thread of threads!

The effect of instant information is immediate reaction, even when no reaction is warranted.

I have seen plenty of Buffettology on Twitter and in other places over the past few years. Its time to clear the air and understand that there wasn't one but 3 different Warren Buffett's that existed throughout his career 📚📚

Time for a thread: 3 Different Buffett's 🧵🧵🧵

One of the biggest mistakes that you as an investor can make is to forget the basic and the most important mental model an investor can have: Numeracy. Being fluent with numbers and respecting the context in which Buffett made his returns.

At the beginning of his career, let's call this Warren Buffett 1 i.e. Between 1957-1968. This was the time when he was working with small sums of money. He was extremely valuation conscious and guess what. How many stocks did he buy and sell between this period?

In this period, he bought and sold nearly 400 stocks. He bought Geico and sold it within 18months, he bought Marshals wealth at a PE of 3 times and he bought Commonwealth at a PE of 5times and sold it at a 60% gain. His returns were mind-boggling too during this time period

No Wonder he said, “The highest rates of return I’ve ever achieved were in the 1950s. I killed the Dow. You ought to see the numbers… I think I could make you 50% a year on $1 million. No, I know I could. I guarantee that.” Look at the performance once

Successful investing is hard work because it means disciplining your mind to do the opposite of human nature. Buying during a panic, selling during euphoria, and holding on when you are bored and crave action.

The weakness of someone's investment thesis is highly correlated with how angry they get when someone dares to question the investment.

Investors who are confident in their positions do not care if someone disagrees or if the language they use to disagree is "insulting".

I can think of two groups of investors who generally get VERY, VERY angry when their investment is questioned.

One is a company run by a megalomaniac who claims to be saving the world and leading humanity to Mars.

The other was created by an anonymous person in January 2009.

Zero Investments in Crypto
No Idea of NFT
Missed Every IPO - Not comfy with Issue Price
No F&O
No Intraday
Zero Debt
No Credit Card

Comfortable Creating Wealth Holding Businesses I Understand. Pleasure of Missing Out.

How Old School Am I? ❤️

#FI