Study Everyday

There is a misconception that you have to read voraciously and hungrily forever to get to the stage where you are able to be an investor.

Who has the time? Who has the willingness to devote all their downtime to a second job?

A Masters of Business Administration (MBA) for example, suggest that 2 whole years need to be dedicated to learning about business, before one is able to even start to do well in the same.

This is notwithstanding that adults have to continue to feed themselves and their family whilst allocating and committing such solid periods of time for a higher degree.

The Charlie Munger Way

A singular quote from the former deputy chairman of Berkshire Hathaway may change this perception of the extent of dedication required to do well in investing.

No block amount of time is required to be allocated. No significant financial investment is required. Indeed, 5 minutes a day may be all that is required to put an individual on a path or journey to do well in investing over the longest (but increasingly accelerating!) period of time:

"Take a simple idea, and take it seriously".

More so these days, when one is quickly and easily assisted by artificial intelligences of any type, name or form, it is easy to latch on to financial concepts and to appreciate the significance of any idea or financial jargon over a period of time.

A curious and inquisitive person simply has to enquire about "Compounding Interest" for example, and perhaps an ancillary offshoot question regarding the formula for calculating the same. With some amount of critical thinking, he or she can then question whether compounding wealth (and thus saving money) is a compulsory practice of any financially prudent individual, or whether spending paycheque to paycheque is a comparatively more carefree way to live a life.

Thus, thinking about concepts such as this (compounding interest) for 5 minutes everyday (for example, during a lunchbreak in between working hours) can substantially increase the financial abilities of any curious and inquisitive person looking to enter into investing.

Poor Charlie's Almanack

This abhortion to read around simple ideas or topics in the above way can be found in Charlie Munger's groundbreaking book, Poor Charlie's Almanack. This author would encourage you to obtain the book for all its investing ideas.

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