Value Investing

Charlie Munger – 2015 Daily Journal Meeting

Charlie Munger shares his wisdom at the 2015 Daily Journal Meeting.

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Q2 hedge fund letters, conference, scoops etc

Charlie Munger - 2015 Daily Journal Meeting

Charlie Munger - 2015 Daily Journal Meeting

Charlie Munger - 2015 Daily Journal Meeting

And it's now spread over the whole country. It's cost us a lot of money it's cost us a lot of effort and it'll cost us a lot of effort in the future. I would say the momentum is gaining gaining gaining new people came in as value investors. You got something else that Amazon venture capital investment and I don't apologize because I'm sharing the same myself. And it looks like it may work if it does work it it'll be a long slow grind but it could be a way bigger business. That business editor what we have now across the lot we have more software revenues now than we have on traditional business and the fact that it's costing us lot of money does not bother me a little. I think a lot like easily sometimes it's Longo's as long as we're taking territory. Having said that the director there's no point in being rich and you don't use it to compete effectively. So it a very good question. But I regard it as a total fluke. It isn't what I've done in life. You argue that Berkshire Hathaway is once created the business from scratch. It's where the fortune which is the reinsurance department and it's something that you know we've done personally. We weren't once there we may eventually get one of a dozen here if we succeed. It's not only good for the shareholders it's good for the world. This whole system the government uses is very inefficient it needs a lot of automation and software is very complicated and the service is complicated and very difficult.

One of the reasons the opportunity was available is it is very impossible difficult people like Microsoft they hate this kind of it's too hard. They have their own way of shooting fish in a barrel. I kind of like it so hard because we win will be hard to take away that. That's probably the best question you ever ask because when it's very important effects a whole through the company earlier said that one of the most important things you've picked up from Darwin was the value of objectivity by forcing yourself to search for disconfirming evidence. What important thing did you pick up from Einstein that you didn't know before. Well I didn't know about relativity. I thought I wasn't smart enough to figure it out for myself. And of course we look for disconfirming evidence. One of the directors said very simply we should make a list of everything that irritates a customer and that we should eliminate those defects one by one. Of course that is the way to compete in a service business of continuing analysis of it. One of the reasons we bought the local company in Logan Utah is that we like the service ethos of the place and there are members of Congress are there McCallum's. God damn I wish OlsonPa. Scott damn was only just one.