I have been known to give out an audio recording of Charlie Munger giving a talk at the Harvard Law School on the psychology of human misjudgements. Well, this talk is an example of one of the points that Munger makes in the talk, namely that people who keep learning keep getting better.

Like Warren Buffett, Charlie Munger is getting better.

Value Investing World: Charlie Munger - USC Law School Commencement - May 13, 2007

Posted by Guy Spier at 02:22 AM | Permalink | Comments ()

How to create trust?

The core of this business is about creating trust - which, as we know, takes a lifetime to create, and can be lost in an instant.

The following are some of the things that I do personally to increase my own trustworthiness.

Speaking plainly and honestly.
I try to say what I mean and mean what I say.

Discretion
I try to treat what is told to me as confidential, and only to share it with others if there is clear permission to share.

Reliability and consistency
I try to act reliably.People around me should know what to expect.

Giving bad news up front.
In addition to making a point of giving bad news up front, I try to create an environment where the people I work with do the same thing.I want to live in a web of relationships where one of the motto’s is “give the bad new up front – the good news can wait.”

Welcoming verification
People will always want to verify that I am doing the right thing.My goal is to welcome their desire to check – without feeling, or making them feel that the attention is unwarranted.

Do the right thing when no-one is looking
Sooner or later, someone will catch me doing the right thing when no-one is looking, and that will create large amounts of trust in me.On the other hand, if someone were to catch me doing the wrong thing when no-one was looking, that would destroy huge amounts of trust.Not only could I not afford that – I would not want to live with myself.

Doing the right thing, even if it is not the most expedient.

But why end there? I am willing to take whatever steps will get me closer to my goal.That is why many of my passwords are based on the word “trusted.” Quite simply, I am seeking to will that outcome if there is any chance that it will work.

Posted by Guy Spier at 12:33 AM | Permalink | Comments ()

Posted by Guy Spier at 06:07 AM | Permalink | Comments ()

This article documents some of Buffett's Jewish connections.

JewishJournal.com

Posted by Guy Spier at 01:44 AM | Permalink | Comments ()