At 99 last month before passing away, billionaire Charlie Munger shared his No. 1 tip for living a long, happy life: He said to" "Avoid crazy at all costs."
At 99 last month before passing away, billionaire Charlie Munger shared his No. 1 tip for living a long, happy life.
He said to" "Avoid crazy at all costs."
In a momentous partnership that captivated millions globally, Warren Buffett and Charlie Munger successfully shaped Berkshire Hathaway (BRK-A, BRK-B) into a resilient and thriving conglomerate. Buffett paid tribute to Munger's indelible influence, wisdom, and active involvement in elevating Berkshire Hathaway to its current stature. Originating as a textile manufacturer, Berkshire has evolved into a multinational giant, boasting ownership of iconic brands like Dairy Queen and Fruit of the Loom, along with substantial stakes in major companies such as Apple (AAPL) and Coca-Cola (KO).
Year after year, thousands of Berkshire shareholders converge in Omaha, Nebraska, for the annual pilgrimage to glean insights from the dynamic duo of Buffett and Munger. Munger, renowned for his insightful maxims encompassing business, investing, and life, would sit alongside Buffett, partaking in Coca-Colas and nibbling See's Candies peanut brittle. A familiar refrain from Munger, often uttered after Buffett's discourse, became legendary: "I have nothing further to add."
Born on January 1, 1924, in Omaha, Nebraska, Charles Thomas Munger's path intertwined with Buffett's, having grown up in the same neighborhood and attended the same high school. Their first meeting, however, occurred later in life when they were 35 and 29, respectively. This encounter forged an instant and enduring friendship, marking the beginning of their influential partnership.
Munger's academic journey led him to the University of Michigan, where he initially pursued mathematics but withdrew at 19 to serve in the US Army Air Corps during World War II. While stationed at Caltech in Pasadena, California, Munger delved into the study of meteorology. Post-military service, he transitioned to law, inspired by his family's legal background. Despite an initial rejection, Munger earned his J.D. from Harvard Law School, graduating magna cum laude in 1948.
Returning to Los Angeles, Munger practiced real estate law. The pivotal moment in his life occurred in 1959, following his father's demise, prompting his return to Omaha. Over lunch at the Omaha Club, Munger's friends introduced him to Buffett, sparking a friendship that would define their professional legacy.
Notably, Munger contributed valuable mental models to the world of investing, introducing concepts like the "lollapalooza effect." This phenomenon, discussed in a 1995 speech, reflects the synergy of multiple psychological tendencies operating simultaneously. Munger's multidisciplinary approach extended beyond finance, evident in his ventures into real estate development, particularly in creating luxury beachfront homes in Montecito, California, known as "Mungerville."
Charlie Munger's impact on Berkshire Hathaway and the realms of business and investing is an enduring testament to his profound intellect, foresight, and collaborative spirit. His legacy extends not only through financial successes but also in shaping the philosophical foundation of one of the world's most celebrated conglomerates.