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Questionerthank you so much for being here welcomethank you so much for being here welcomethank you so much for being here welcome to miss propia's finances how are youto miss propia's finances how are youto miss propia's finances how are you doingdoingdoing
Otherwell Juan and Alejandro I'm excited towell Juan and Alejandro I'm excited towell Juan and Alejandro I'm excited to be here with you guys and lookingbe here with you guys and lookingbe here with you guys and looking forward to the sessionforward to the sessionforward to the session
Questionerwell we've been waiting for thiswell we've been waiting for thiswell we've been waiting for this interview for more than a year we'reinterview for more than a year we'reinterview for more than a year we're very very excited to to be here with youvery very excited to to be here with youvery very excited to to be here with you talking to one of our Idols we've beentalking to one of our Idols we've beentalking to one of our Idols we've been following what what you do your thoughtsfollowing what what you do your thoughtsfollowing what what you do your thoughts as an investor and we're very excitedas an investor and we're very excitedas an investor and we're very excited and one of the things monish let meand one of the things monish let meand one of the things monish let me start by saying one of the things that Istart by saying one of the things that Istart by saying one of the things that I admire the most of guys like youadmire the most of guys like youadmire the most of guys like you is that you have nothing to gain fromis that you have nothing to gain fromis that you have nothing to gain from this interviewthis interviewthis interview and still you're here showing up givingand still you're here showing up givingand still you're here showing up giving us our time giving the time to ourus our time giving the time to ourus our time giving the time to our community that's something that wecommunity that's something that wecommunity that's something that we really really appreciatereally really appreciatereally really appreciate
Otherwell you know the tone was set by Benwell you know the tone was set by Benwell you know the tone was set by Ben Graham and Warren Buffett and CharlieGraham and Warren Buffett and CharlieGraham and Warren Buffett and Charlie Munger you know Buffett says that on his
QuestionerMunger you know Buffett says that on his gravestone he just wants it read written that he was a teacher we are just trying to follow some of those great ideals which I think is wonderful awesome well now that you mentioned Warren Buffett and Charlie monger and Ben Graham we talked to you this year at the conference in in Omaha Nebraska and we asked you how much did you pay to have lunch with Warren Buffett and you told me you paid 650 000 dollars what was going through your mind when you signed that check to have lunch with one of your Idols Warren Buffett well
Otheractually it turned out to be quite a bargain it was even even at that time in 2007 so I had bid for the lunch a few years before that but I always lost you know somebody else outbid me 2007 was a big year in terms of our returns and fees and all that and I think at that time our net worth was like 84 million
Ted Weschlertime our net worth was like 84 million dollars overwhelming portion of that is because of Buffett and monger and Graham and so I felt like there was a big tuition bill due so if someone made you you know 70 80 million dollars you know what would you think is an appropriate tuition bill to pay I thought for sure a couple of million dollars is not a problem I was mentally prepared in 2007 when we were bidding to go up to 2 million for the for the lunch and uh and then you know because you have like seven seven seats at the table and I was going to go with my family there were three seats open so I was thinking you know should I take somebody else or if you just keep it with the family I don't even know now why I asked him but I only asked one person if they wanted to join me because you know I wanted to make sure it was uh someone I
Ted Weschlerwanted to make sure it was uh someone I would enjoy you know breaking bread with and so I asked guy spear if he's interested in um you know bidding on the lunch with me to my surprise he said yeah that sounds great so I said look you're only going to be two of you and there are four of us so basically whatever the winning bid is you know you should be one third and we should be two-thirds and I told him you know my upper limit is 2 million and Guy choked when I told him that he said he said honest you know I don't think I can do a third of two million but I'm good up to a quarter million so I said okay here's what we're going to do you're going to be capped at a quarter million and whatever it goes above that that's what you're going to pay for your two seats so he said that's perfect great for me and then you know the the bidding petered out at a
Ted Weschlerthe the bidding petered out at a minuscule 650 000 we didn't even hit theminuscule 650 000 we didn't even hit theminuscule 650 000 we didn't even hit the cap for guy spear it ended up being acap for guy spear it ended up being acap for guy spear it ended up being a tremendous bargain so yeah and then youtremendous bargain so yeah and then youtremendous bargain so yeah and then you know and then you know how sometimes inknow and then you know how sometimes inknow and then you know how sometimes in stores you have buy one get one free youstores you have buy one get one free youstores you have buy one get one free you know you have a great dealknow you have a great dealknow you have a great deal this in hindsight ended up being buy onethis in hindsight ended up being buy onethis in hindsight ended up being buy one and get infinite freeand get infinite freeand get infinite free because you know there was uh what endedbecause you know there was uh what endedbecause you know there was uh what ended up happening is a gazillion lunches withup happening is a gazillion lunches withup happening is a gazillion lunches with Charlie Munger and then huge numberCharlie Munger and then huge numberCharlie Munger and then huge number large number oflarge number oflarge number of Friday afternoons playing bridge withFriday afternoons playing bridge withFriday afternoons playing bridge with him and his friends at the LA Countryhim and his friends at the LA Countryhim and his friends at the LA Country ClubClubClub and then on Sunday in in Omaha you knowand then on Sunday in in Omaha you knowand then on Sunday in in Omaha you know after the meeting Buffett horse a brunchafter the meeting Buffett horse a brunchafter the meeting Buffett horse a brunch for his friends and managers andfor his friends and managers andfor his friends and managers and directors and so on so every year afterdirectors and so on so every year afterdirectors and so on so every year after that week guy and I would get an invitethat week guy and I would get an invitethat week guy and I would get an invite to that brunchto that brunchto that brunch and you know when we would go for thatand you know when we would go for thatand you know when we would go for that brunch you know sometimes I would tellbrunch you know sometimes I would tellbrunch you know sometimes I would tell guy don't look but right behind meguy don't look but right behind me
Questionerguy don't look but right behind me behind us Bill Gates and Bono are talking okay there would be NFL players talking okay there would be NFL players there there would be Hollywood actors and actresses there they'd be like who's who the only two yo-yos in that room used to be this guy and me you know everyone else was somebody every year I used to tell a guy that this is going to be the last year they're going to figure out we are not worthy of being in this crowd and the invites are going to end but the invites have continued and so you know this has been from 2007 to 2022 and you know for pandemic there was no meetings and all that but so buy one get infinite free how can you can you how can you beat that and can you tell us something special that happened during that launch something that Warren said that stayed in your mind forever my only objective in bidding for the lunch was to thank him
Questionerwas to thank him you know I just wanted to look him in the eye and say Mr Buffett I made all this money thanks to you I learned a lot of great principles in life thanks to you and I have a huge Journey hopefully in front of me which all this compounding is going to take place thanks to you so I I owe you a lot and this is just a small token of what I can do so that's all I had in mind I didn't particularly have anything more than that in mind I just wanted to thank my Guru and you know he was alive at the time I was alive he was willing to take a bribe to sit down for a meal life was great when Buffett comes to the lunch his mindset is totally different his mindset is whoever paid whatever they paid he wants them to think they got a bargain so he tries very hard to deliver a lot of value so sometimes I would ask a innocuous question like hey
Questionerwould ask a innocuous question like hey you know there should be three of you you know there should be three of you Rick Gordon was one of the three of you who were together in the 60s making deals and then we've not heard from Rick and so long and are you in touch with Rick right and
Otherthen that question got converted he said yeah I'm in touch with Rick I they Bridge with him and so on and he got converted into a lesson on Leverage you know because Rick lost a lot of his money in 73-74 because he was levered and Buffett said he bought a large number of Berkshire shares from Rick Goran at forty dollars a share which today is more than 400 000 you know it's a 10 000 X from from then in the last uh you know less than 50 years so he was converting these and of course what happened since then is that when I used to meet Charlie for bridge Rick used to be there so then it became like I was playing I
Questionerso then it became like I was playing Iso then it became like I was playing I was playing bridge with Rick and Charliewas playing bridge with Rick and Charliewas playing bridge with Rick and Charlie and you know I'm like pinching myselfand you know I'm like pinching myselfand you know I'm like pinching myself okay so like you know here's this Indianokay so like you know here's this Indianokay so like you know here's this Indian guy from the suburbs of Mumbai and I youguy from the suburbs of Mumbai and I youguy from the suburbs of Mumbai and I you know I'm asking Buffett in 2008 oh youknow I'm asking Buffett in 2008 oh youknow I'm asking Buffett in 2008 oh you know what happened to Rick and all thatknow what happened to Rick and all thatknow what happened to Rick and all that and then a few likeand then a few likeand then a few like a couple years latera couple years latera couple years later I'm at the LA country club before beforeI'm at the LA country club before beforeI'm at the LA country club before before the bridge game we used to have lunchthe bridge game we used to have lunchthe bridge game we used to have lunch you know the four or five of us used toyou know the four or five of us used toyou know the four or five of us used to have lunch together and I was sittinghave lunch together and I was sittinghave lunch together and I was sitting one time lunch and Rick and Charlie wereone time lunch and Rick and Charlie wereone time lunch and Rick and Charlie were sitting directly in front of me right sositting directly in front of me right sositting directly in front of me right so they were just three of us because thethey were just three of us because thethey were just three of us because the other guys hadn't shown up yet and I'mother guys hadn't shown up yet and I'mother guys hadn't shown up yet and I'm like saying is this surreal or what okaylike saying is this surreal or what okaylike saying is this surreal or what okay these two guys sitting here so I I I'dthese two guys sitting here so I I I'dthese two guys sitting here so I I I'd ask them Hey listen tell me about someask them Hey listen tell me about someask them Hey listen tell me about some of the interesting stories or the dealsof the interesting stories or the dealsof the interesting stories or the deals you guys did together in the 60s rightyou guys did together in the 60s rightyou guys did together in the 60s right and then they would start laughing and
Questionerand then they would start laughing and they would tell me about these deals and if you want I'll just tell you one quick story that came out there which is it's hilarious so they used to you know look at you know stocks and businesses different things to buy whatever there was this very very small company in La where this entrepreneur had come up with a fluid that you could put into your car engine and it would automatically stop all leaks so if there was a leak it would just plug the leak and this guy he was like you know like a Maverick kind of CEO he used to go to like different auto mechanic shops and whatever with his gun and he would like with his own car he would open the engine and he'd shoot the gun at the engine and he'd blew a hole in the engine then he tore his liquid and suddenly there's nothing being leaked okay so that's how the guy built sails
Questionerokay so that's how the guy built sails okay okay okay to Building Sales like you know the ultimate demo right so anyway what what happens is that this guy was he passed away and the company actually was upside down there was more debt and equity and so on so Munger and Rick wanted to buy this company what they did is they bought all the bank debt at like Pennies on the dollar and they effectively had control and they could have taken because Equity was basically worthless but they wanted to be fair and more than fair to the estate so the guy had a mistress and his wife did not know that there was a mistress still he had passed away okay the mistress was a blonde with well-endowed breasts and she was a nurse okay young pretty young okay so what this guy did is in his will he made the wife the executor of the estate but in the will he gave quite a bit of
Questionerbut in the will he gave quite a bit of money to the mistress okay so you got one woman controlling the distribution and all of that and the other the Mistress having some money coming and and the wife was so pissed off I mean she she was beyond pissed off she was like you know first she was grieving and then she was very upset in the meantime Charlie and Rick don't want to just take the company they want to make some payment to the wife and the mistress and get them to sign over saying okay yeah we agree with the deal and all that just they wanted to make it like a friendly deal neither of them wants to sign on anything with the other person they're both upset with the other person so Charlie's saying that he's trying to kind of get these two women to see the light and listen yeah I know you're upset and all that but look there's a little bit of money that's coming to you
Otherlittle bit of money that's coming to you what do you care if there's some going to the other person all this is already done the guy's already dead and this is reality and we need to move on so he arranged he arranged to meet the mistress at the California Club the California Club is kind of like a lunch Club in downtown L.A very ornate you know it's like one of these you know old money clubs whatever the first time I met Charlie I met him at the California Club it has a very ornate dining room like huge 40-foot ceilings with Michelangelo type art on the top and all that so Charlie invited the mistress over for lunch too so that he could you know schmooze her and talk to her and calm her down so she came directly from work and so she came here a nurse's uniform and the nurse's uniform was about three sizes too small okay and so Charlie's saying I'm sitting at my usual
QuestionerCharlie's saying I'm sitting at my usual table at the California Club with this blonde with well-endowed breasts where in his words there were tits everywhere the rest of the members in the club I mean they're aghast like what's going on Mr Munger the one of our esteemed members and apparently he's meeting a porn star for for lunch anyway Charlie said he was able to pacify the women they were able to get them to just be cooperative enough to get their deal done and then they moved on so this is what went on in at the lunch and Bridge games what can I say operation that's so funny so I guess you've had the time to talk to Warren to talk to Charlie be friends with him Alejo why don't you ask monish the question about how how he analyzes companies yeah I'm going to just one one question I wanted to ask you is a little technical but I think it's important and
Questionertechnical but I think it's important and is how do you read an annual report like what I issue like schedule like you go to the business session then you read the risk and and how do you draw your circle of competence like to pick what ano reports to to read on
Questionerwell I think as a circle of competence grows to ask the question is to answer it so if you are when wondering whether something is within your circle of competence or not the answer is it is not in your circular competence if something is within your circular competence you would know how to Value the business you would know how it makes money you would know what is the likely trajectory of that business within some some ranges and boundaries so it depends it depends on the business so usually my most preferred starting point on a company is to see you know as you know I'm the
Questioneris to see you know as you know I'm the Shameless cloner you know so the first thing I'm trying to ideally try to do is hopefully someone smarter than me already owns the stock and hopefully they have made some comments about it so the first thing I try to look for is who are the shareholders and and usually it's I don't need to look at the shareholders because usually it is coming through some guy or some fund that I admire and they have this particular company as a holding it is ideal for me if there is a write-up on value investors Club so you know there are thousands of write-ups on value nurses club and it's a pretty well curated site so when I find a company that's on my radar the first thing I look for is okay is there a big write-up and even if the write-ups are old I will print off all the WIC write-ups with all the messages and all the comments everything on all the
Questionerthe comments everything on all the write-ups that's the first thing I want to read because that is giving me a digested condensed view of the business that would take a long time if I just sat and read the annual reports this is someone who's already digested a lot of the data and I can ratify that later but at least it's giving me a head start because the first thing I'm trying to do is anytime I'm looking at a business I'm looking for a reason to stop looking and and take a pass so the weak write-ups are designed to help me get to a point where I say no this I thought this might be interesting but it's not that interesting so I can let it go if I get past the week write-ups and I'm still interested usually if the company isisis giving us letters to shareholders and it appears that those letters to shareholders are not written by a PR
Questionershareholders are not written by a PR firm then not the entire annual report firm then not the entire annual report firm then not the entire annual report I'll have my assistant just make a PDF I'll have my assistant just make a PDF I'll have my assistant just make a PDF of all the 20 years of letters 20 30 of all the 20 years of letters 20 30 of all the 20 years of letters 20 30 years of letters starting with the years of letters starting with the years of letters starting with the oldest one oldest one oldest one and then I just read the letters you and then I just read the letters you and then I just read the letters you know because then I can say okay what know because then I can say okay what know because then I can say okay what are the what are they saying in 95 and are the what are they saying in 95 and are the what are they saying in 95 and then what happened by 2000 what was the then what happened by 2000 what was the then what happened by 2000 what was the thing in 2000 what happened by 2005 I thing in 2000 what happened by 2005 I thing in 2000 what happened by 2005 I can just see kind of what they were can just see kind of what they were can just see kind of what they were saying versus how the trajectory saying versus how the trajectory saying versus how the trajectory of the business has gone subsequently of the business has gone subsequently of the business has gone subsequently the other interesting thing about the other interesting thing about the other interesting thing about reading these letters is especially reading these letters is especially reading these letters is especially reading them in the past reading them in the past reading them in the past for example for example for example we know that in 0809 a tsunami is coming we know that in 0809 a tsunami is coming we know that in 0809 a tsunami is coming we know that so when I'm reading the we know that so when I'm reading the we know that so when I'm reading the 2005 letter or 2006 letter or 2007 2005 letter or 2006 letter or 2007 2005 letter or 2006 letter or 2007 letter they don't know that letter they don't know that letter they don't know that right but I know that so it's like right but I know that so it's like right but I know that so it's like you're about to go off the off the cliff you're about to go off the off the cliff you're about to go off the off the cliff down the waterfall but you don't know down the waterfall but you don't know
Otherdown the waterfall but you don't know that then they're in the waterfall andthat then they're in the waterfall andthat then they're in the waterfall and then they're finally at the bottom sothen they're finally at the bottom sothen they're finally at the bottom so you know you can see that whole uh thingyou know you can see that whole uh thingyou know you can see that whole uh thing play out in the letter so that kind ofplay out in the letter so that kind ofplay out in the letter so that kind of gives you a view how the company dealsgives you a view how the company dealsgives you a view how the company deals with you know how resilient the businesswith you know how resilient the businesswith you know how resilient the business model is and the adversity same thingmodel is and the adversity same thingmodel is and the adversity same thing with the pandemic right you know we canwith the pandemic right you know we canwith the pandemic right you know we can we can see what 2018 2019 looks like andwe can see what 2018 2019 looks like andwe can see what 2018 2019 looks like and then suddenly the pandemic hits and kindthen suddenly the pandemic hits and kindthen suddenly the pandemic hits and kind of it's throwing some businesses areof it's throwing some businesses areof it's throwing some businesses are getting Tailwinds and a lot of them aregetting Tailwinds and a lot of them aregetting Tailwinds and a lot of them are facing headwinds if I am stillfacing headwinds if I am stillfacing headwinds if I am still interested in the business after readinginterested in the business after readinginterested in the business after reading the lettersthe lettersthe letters then I go to the transcriptsthen I go to the transcriptsthen I go to the transcripts so now the transcripts can be a littleso now the transcripts can be a littleso now the transcripts can be a little bit more it's actually definitely notbit more it's actually definitely notbit more it's actually definitely not written by a PR firm right because thiswritten by a PR firm right because thiswritten by a PR firm right because this is actuallyis actuallyis actually investors and analysts asking questionsinvestors and analysts asking questionsinvestors and analysts asking questions and so on so forth so I'm not thatand so on so forth so I'm not thatand so on so forth so I'm not that interested in the prepared remarks in
Questionerinterested in the prepared remarks in the in the transcript because that will be similar to what's in the in the reports and the annual reports because they're they're controlling that messaging but especially the companies that don't write their own letters Etc I'm really interested in the Q a and of course I have to sift through stuff because the analysts will ask some stupid question about next quarter you know do you expect to beat by one penny or two pennies and you know that sort of thing which is not really relevant but what I'm looking for is you know when different questions are being asked about the business and they're making different comments I had the full future in front of me and just how did it unfold did they under promise and over deliver or did they over promise and under deliver or did are they conservative are they aggressive you
Todd Combsconservative are they aggressive you know those sorts of things we can then look at the proxies because that gives me a good feel for the you know stock dilution and comp plans and all of that how that is playing out and then after all of that if I'm still interested then we start plowing into the financials and and you know different parts of the annual report risk factors and so on so that's usually the journey will you talk to managers at all of companies for the longest time I didn't talk to managers now especially the ones that are not in the U.S basically would not invest without having had plenty of interaction with the senior management and CEO and so on if it's a large U.S company there's not that much you're going to glean and also the availability will not they will not be very accessible to you so you might be able to get to the IR Department of
Questionerbe able to get to the IR Department of from the large companies but may not be able to get Beyond maybe you get to the CFO and so on I would say that one of our investments is Micron you know I've met Sanjay and I've had some interaction with their CFO and so on but I think all of that was really irrelevant to the thesis
Questionerlet's talk about Micron how much of your portfolio does Micron weights
Ted Weschlerit used to be a lot larger but due to the due to our drop in prices in 2022. well it might still be similar in 2022. well it might still be similar proportions but I would say I mean I think at at one point Micron was around 20 20 of the pie 20 25 of the pie it may be a little bit less right now just because things have come down a bit can
Questioneryou tell us what what are you seeing in Micron for example that makes you invest 25 of of your money in one single company
Ted Weschlerwell we didn't we didn't invest 10 you
Warrenwell we didn't we didn't invest 10 youwell we didn't we didn't invest 10 you know we have a we have a 10 limit onknow we have a we have a 10 limit onknow we have a we have a 10 limit on what we are willing to invest in awhat we are willing to invest in awhat we are willing to invest in a single business so it became highersingle business so it became highersingle business so it became higher because it appreciated but I am going tobecause it appreciated but I am going tobecause it appreciated but I am going to duck that question and I'm going toduck that question and I'm going toduck that question and I'm going to probably duck a lot of questions relatedprobably duck a lot of questions relatedprobably duck a lot of questions related to what we currently own or what we'reto what we currently own or what we'reto what we currently own or what we're looking to buy and so on so I will Ilooking to buy and so on so I will Ilooking to buy and so on so I will I will take a pass on that at some pointwill take a pass on that at some pointwill take a pass on that at some point we won't own micronwe won't own micronwe won't own micron we can then discuss it freely but rightwe can then discuss it freely but rightwe can then discuss it freely but right now I'll just take a pass
Questionerso somethingnow I'll just take a pass so somethingnow I'll just take a pass so something super interesting to me Buffett talks asuper interesting to me Buffett talks asuper interesting to me Buffett talks a lot about this is the concept oflot about this is the concept oflot about this is the concept of inheritance I heard you you are notinheritance I heard you you are notinheritance I heard you you are not gonna live your inheritance to Monsongonna live your inheritance to Monsongonna live your inheritance to Monson and your other kidand your other kidand your other kid can you you talk a little about thatcan you you talk a little about thatcan you you talk a little about that
WarrenBuffett says that large inheritances doBuffett says that large inheritances doBuffett says that large inheritances do more harm than good so I think he has amore harm than good so I think he has amore harm than good so I think he has a quote he says if you arequote he says if you arequote he says if you are Jesse Owens son you know Jesse Owens wasJesse Owens son you know Jesse Owens wasJesse Owens son you know Jesse Owens was a sprinter who ran the Olympics in
Othera sprinter who ran the Olympics in Germany in front of Hitler he's saying if you're Jesse Owens son you're not going to become a great Sprinter by starting 100 meter dashes at the 40 meter line you know that's not going to make you a great Sprinter he says it's okay to put Jesse Owens son at the 10 meter line maybe not at zero but 10 is okay but not 40. so I think if you were to give some boost to your gene pool that may be helpful but if you if you gave them you know a very large amount where they don't have to work for the rest of their lives you know it's like an IV trip in their arm he considers that the same as people on welfare you know the trust fund babies as he calls them basically the same as people who are welfare's food stamp recipients and so on so I I agree with that I think that my journey has been very exciting in
Othermy journey has been very exciting in fact I think one of the best things that happened to me was that my father my father went bankrupt many times but he went bankrupt when I was 20 in college if I wasn't clear about it then I was very clear about at that time that there was no inheritance coming so I had to basically make sure that whatever path I was going to go and it's going to it's going to be it I mean there's no external third Source Etc and so with my with my daughters what I had done what my wife and I had done is basically in the in the US we have something known as ugma unified gift to miners act which is act by Congress where we can each person can give it used to be 10 000 a year now it's a little over 15 000 a year to anyone else tax-free so there's no tax on the there's no gift tax so to speak so what we have done is basically we
Warrenso what we have done is basically we would put ten thousand dollars each into each of their accounts when they were very small and then we kept doing that and then I managed that account it would usually not have more than three four stocks in it the way that ugma is set up is they get full control at 18. and I wanted that I wanted the full control to go to them at 18. I mean they could have taken the money and bought a Ferrari or several Ferraris or you know Conan become drug addicts or whatever else but I felt like we had 18 years to transfer values to them if we didn't succeed in transferring values in 18 years then the money was not the problem there were other problems I think when my daughters were 12 or 13 I explained that this account existed and I explained to them that there's not anything else coming to them besides this account and that they would get
Warrenthis account and that they would get full control at 18 and what I told them actually what I wanted them to try to do is I told them do not pursue careers or degrees which will pay you the most try to pursue a career path that would that you would be most passionate about and since you have the money had actually compounded quite quite well it was you know seven figures they were going to do well and I told them look if we are not doing well when you turn 18 college is taken care of you don't need to worry about college as it turned out when they turned 18 we were still doing fine so we paid for college didn't really touch that money they both made choices which are very different than their friends they actually focused on what they were truly interested in doing so now they are in their kind of mid-20s and I couldn't be prouder
WarrenI couldn't be proud of them and I think that inheritance is you know even small inheritance is really need to come to the person before they're 30 or 35 after that the ability to really have trajectory changes is limited you know people are buying homes or they're trying to start a business or whatever else so my older daughter Monsoon has you know the Apple fell directly under the tree I never told either of my kids to ever look at the investing business as a possibility of a career so I was surprised when she mentioned that's the path she wants to go down she's getting a fund off the ground it has a few million dollars but this summer money on the side gave her the confidence you know she quit her job and start doing this and so so it's actually being used in a manner that I couldn't have thought of a better way that it could be used so
Questionerof a better way that it could be used so it's working out really well thank you Mr Buffett we want to invest in in your daughter's funds so how can we get into that so monish I guess most of your money is going to dakshana I'm sorry if I'm mispronouncing that but let's talk about your foundation the the way you're giving back to society to your country to the people in in Mumbai and and the rest of India because I I think it's just amazing you're you're philanthropic initiatives let's talk about your foundation monish
Otheryeah sure so you know I think once I came to the conclusion that large inheritances are a problem you really are left with only one other choice which is to give it back to society you can send the government more money but you know that's not a really great use of the resources I actually did not want to
Questionerto create a foundation and so on and have it doing its own operations and so on because I just wanted to have a simple life I was looking for a charity or Foundation that I could just write it write checks to and be done with it and when I when I started looking at this whole area in 2006 2007 I was very disappointed basically what I found is that most of the people involved in the philanthropic side running different charities and Foundations they have Great Hearts if they are honest they have very good good hearts but they don't have business sense and they don't understand Capital allocation and actually Charities need to be really good in capital allocation because that's what you're basically doing you you're taking resources and trying to channel them into areas that would have the greatest good for society and what I found is they really didn't
Otherand what I found is they really didn't think about it that way and when I think about it that way and when I looked at their reports they just do things where the pictures will look interesting to donors and they can use that to get more money and so on but they really did not really try to go down a path of Maximum benefit out of every dollar that was being spent and that was my focus is I wanted the greatest societal impact that we could have for every penny that we were going to put in one of the things about philanthropic and charitable Endeavors is probably 97 98 of causes are very difficult to measure measure outcomes measuring outcomes for these causes is really difficult if you know you have a large homeless population and you decide you want to distribute free needles to all of them that's that's a good undertaking it's going to do good it's a it's a it's a
Questionergoing to do good it's a it's a it's a good thing to do how do you measure the outcome
OtherI don't know how you measure that outcome I have no idea how you would measure that so what what we did is like Munger says invert always inward is I said we're not going to look at any endeavors where measurement is difficult I'm going to make my life easy I'm only going to limit myself to endeavors where I can measure outcomes easily I was biased towards education because I thought that had the multiplier effect dakshana went down a path of identifying really bright kids who are very poor 16 to 18 year olds and then we basically pretty much take over there education and then we try to get them to the elite the mits of India or the Harvard Medical School of India and so on and we've had very high degree of success so in India these schools once you enter
Otherthese schools once you enter they are almost free to attend becausethey are almost free to attend becausethey are almost free to attend because they have subsidized so heavily by thethey have subsidized so heavily by thethey have subsidized so heavily by the government and what little fees or yougovernment and what little fees or yougovernment and what little fees or you know room and board you've got to payknow room and board you've got to payknow room and board you've got to pay any bank will give you that money orany bank will give you that money orany bank will give you that money or people are giving grants and so on sopeople are giving grants and so on sopeople are giving grants and so on so the difficult thing is getting inthe difficult thing is getting inthe difficult thing is getting in because a large number of people'sbecause a large number of people'sbecause a large number of people's applying for the top medical schools twoapplying for the top medical schools twoapplying for the top medical schools two million people a year are applying formillion people a year are applying formillion people a year are applying for something like less than 10 15 000 seatssomething like less than 10 15 000 seatssomething like less than 10 15 000 seats for the iit's more than 1.4 million afor the iit's more than 1.4 million afor the iit's more than 1.4 million a year are applying for 15 000 seats soyear are applying for 15 000 seats soyear are applying for 15 000 seats so getting in is hard now what we've beengetting in is hard now what we've beengetting in is hard now what we've been able to do which has been so exciting isable to do which has been so exciting isable to do which has been so exciting is we have a 70 80 success rate whereas thewe have a 70 80 success rate whereas thewe have a 70 80 success rate whereas the normal success rate is like one to twonormal success rate is like one to twonormal success rate is like one to two percent so we've had now it's been aboutpercent so we've had now it's been aboutpercent so we've had now it's been about 15 years and so now the oldest kids are15 years and so now the oldest kids are15 years and so now the oldest kids are approaching 30 and such and theirapproaching 30 and such and theirapproaching 30 and such and their careers are starting to flourish they'recareers are starting to flourish they'recareers are starting to flourish they're doing great so it's it's been wonderful
Questionerdoing great so it's it's been wonderful to watch how that's been unfolding that's amazing Manish thank you for that
Questionerand and you're pretty much into education and when I see your library I see a guy who's pretty much in love with books and with knowledge in general
Questionertwo questions first one how much time do you spend a day reading and the second one one or two books that you can recommend if we want to learn about investing
Otherwell I mean my my job description is reading and thinking actually it's three three things it's reading thinking and then talking to Juan and Alejandro you know that's my job description so basically pretty much you know and the good news is you know I'm an introvert I actually get very drained if I go to big parties or spend a lot of time with people or go to cocktail party or something those those are not very
Todd Combssomething those those are not very interesting to me and so if I if I'm interesting to me and so if I if I'm interesting to me and so if I if I'm drilling down on a company and I'm reading the WIC reports and I'm reading reading the WIC reports and I'm reading reading the WIC reports and I'm reading their letters and all of that that is a their letters and all of that that is a their letters and all of that that is a orgasmic experience it's wonderful when orgasmic experience it's wonderful when orgasmic experience it's wonderful when I'm not doing that then I'm you know I'm not doing that then I'm you know I'm not doing that then I'm you know reading different books on a wide range reading different books on a wide range reading different books on a wide range of different subjects the best genre I of different subjects the best genre I of different subjects the best genre I like like like are the biographies or autobiographies are the biographies or autobiographies are the biographies or autobiographies of Business Leaders you know because of Business Leaders you know because of Business Leaders you know because then I can look at you know what drove then I can look at you know what drove then I can look at you know what drove them and the long history of the them and the long history of the them and the long history of the business business business and and so on so those are the most and and so on so those are the most and and so on so those are the most interesting interesting interesting if I were to recommend one book I would if I were to recommend one book I would if I were to recommend one book I would say it would be poor Charlie's Almanac I say it would be poor Charlie's Almanac I say it would be poor Charlie's Almanac I would say that I try to reread that book would say that I try to reread that book would say that I try to reread that book every year and every year I read stuff every year and every year I read stuff every year and every year I read stuff that I couldn't swear I never read that I couldn't swear I never read that I couldn't swear I never read before you know so it's like it's the before you know so it's like it's the before you know so it's like it's the gift that keeps on giving and the book gift that keeps on giving and the book gift that keeps on giving and the book is in two parts you know the second part
Questioneris in two parts you know the second partis in two parts you know the second part of the book is more interesting whichof the book is more interesting whichof the book is more interesting which has all the different great talks thathas all the different great talks thathas all the different great talks that Charlie gave and one particular talk heCharlie gave and one particular talk heCharlie gave and one particular talk he gave at Harvard many years ago shegave at Harvard many years ago shegave at Harvard many years ago she updated for the book the psychology ofupdated for the book the psychology ofupdated for the book the psychology of human misjudgment I think that is justhuman misjudgment I think that is justhuman misjudgment I think that is just incredible it's about 50 pages in theincredible it's about 50 pages in theincredible it's about 50 pages in the book andbook andbook and if you mastered Incorporated the lessonsif you mastered Incorporated the lessonsif you mastered Incorporated the lessons of that essay it would give you a hugeof that essay it would give you a hugeof that essay it would give you a huge advantage in life you know one one thingadvantage in life you know one one thingadvantage in life you know one one thing I realized when all the time I spentI realized when all the time I spentI realized when all the time I spent with Charliewith Charliewith Charlie is I realized that okay he's gotis I realized that okay he's gotis I realized that okay he's got incredible horsepowerincredible horsepowerincredible horsepower you know horsepower Beyond anyone I'veyou know horsepower Beyond anyone I'veyou know horsepower Beyond anyone I've metmetmet but it's not just the horsepower he isbut it's not just the horsepower he isbut it's not just the horsepower he is pounding into his brainpounding into his brainpounding into his brain close to four or five hundred books aclose to four or five hundred books aclose to four or five hundred books a yearyearyear I mean the prolific rate that he'sI mean the prolific rate that he'sI mean the prolific rate that he's reading is very high it's more than areading is very high it's more than areading is very high it's more than a book a day so he's pounding in four orbook a day so he's pounding in four orbook a day so he's pounding in four or five hundred books a yearfive hundred books a yearfive hundred books a year probably for the last
Questionerprobably for the last seven or eight decades that he's been pounding so you know if you take like you know 80 years you know that's like 40 000 books it's a lot of books and then plus there's annual reports and newspapers and magazines and all of that but that's not even it the thing what what Charlie has done and that's why that essay is so important so he has the amazing brain and he's populated that brain with a lot of data which is important data but the third hack that he has is the hack of mental models so what he's done with all that forty thousand books of whatever he's read and all the life experience he's had is he's figured out certain hacks about the way humans are and if you figure out those hacks which is what he mentions in that essay because that that essay basically in effect took him 50 years to get the wisdom to write that essay that gives
Questionerwisdom to write that essay that gives you just a huge Head Start so the thing is that the mental model hacks so I'll give you an example of like one of the mental model hacks right so Buffett says that if you hang out with people better than you you will get better if you hang out with people worse than you you will get worse so they're the gravitational pull either way now it should be apparent that we should hang out with people better than us but then the question is how do we know someone is better than us and one of the hacks that Charlie uses is that sometimes you're going to meet some people and it's going to be obvious that these are amazing great people high quality people gonna be very obvious bring them into the Inner Circle I asked bring them into the Inner Circle I asked Warren at the lunch I told I told Warren how come you are such a great judge of humans
Otherhe said monish you are mistaken I am not a great judge of humans he said if you put me in a cocktail party with a hundred people and I met all hundred of them for let's say two minutes right he said I could probably tell you that three or four people were amazing great people I could probably also tell you that three or four people are people I want to have nothing to do with right and the other 92 I would not have any interest in I I would not know how to rank them or rate them
Otherso the Hack That Buffett uses and Munger uses they will not try to figure out the 92. that's too much work they will just bring in the top three four percent into their Circle and they will treat the bad people and the Unknown People the same which is take so basically now this is unfair someone could be really good and now you've excluded them but the thing is
Questioneryou've excluded them but the thing is because there are infinite number of humans on Earth and therefore mathematically there are infinite number of great people on Earth we've got three percent of infinity is still Infinity the fact that you exclude a lot of great people there's no penalty to be paid just like if we buy a great company and exclude a great company we don't pay a penalty but if we include a bad company we pay a penalty so the hack is that you don't try to figure it out you just go with the no-brainers and so now that becomes really fast right in terms of sifting through humans and all that so even when they're looking at companies and businesses and Business Leaders and all that they just look for are they in the three four percent I obviously know are great and so just this particular hack would give you a huge leg up because most humans will you
Otherhuge leg up because most humans will you know first of all they won't even have this model of you know not interacting with people not so good I mean that's the first hack you use is you're gonna only deal with great people for example when I started playing bridge with Charlie I met his friends okay every time I made met a friend friend of his I said wow this guy is really amazing what what an extremely high quality human being so I did a hack I said every friend of Charlie is a friend of mine okay I don't need to figure it out he's already figured it out and so I built relationships with all these friends of Charlie and they are I just look at them and every time I think about the way they are and we are talking and such the quality level is so high and then you know when you just spend your time with these types of people all the time
Otherwith these types of people all the time life life becomes so amazinglife life becomes so amazinglife life becomes so amazing so that book this particular Nuance isso that book this particular Nuance isso that book this particular Nuance is just one little piece there's a lot ofjust one little piece there's a lot ofjust one little piece there's a lot of other pieces in there that's amazing Iother pieces in there that's amazing Iother pieces in there that's amazing I guess you are a no-brainer for Charlieguess you are a no-brainer for Charlieguess you are a no-brainer for Charlie Monger monish so you should feel veryMonger monish so you should feel veryMonger monish so you should feel very proudproudproud
OtherI feel that one day both these guys areI feel that one day both these guys areI feel that one day both these guys are going to figure out that I'm a fraudgoing to figure out that I'm a fraudgoing to figure out that I'm a fraud I always think you know I'm just I'mI always think you know I'm just I'mI always think you know I'm just I'm just a kid from the suburbs of Mumbaijust a kid from the suburbs of Mumbaijust a kid from the suburbs of Mumbai okay I said one day they're gonna figureokay I said one day they're gonna figureokay I said one day they're gonna figure out that once in a while they make anout that once in a while they make anout that once in a while they make an errand judgment they made an erranderrand judgment they made an erranderrand judgment they made an errand judgment with me and then that's goingjudgment with me and then that's goingjudgment with me and then that's going to be the end of the lunches and theto be the end of the lunches and theto be the end of the lunches and the bridge games okay now it hasn't happenedbridge games okay now it hasn't happenedbridge games okay now it hasn't happened so far we're still in the game hopefullyso far we're still in the game hopefullyso far we're still in the game hopefully it continues but I know one day they'reit continues but I know one day they'reit continues but I know one day they're gonna figure it outgo ahead with your questiongo ahead with your questiongo ahead with your question
Questionerso I wanted to ask you I know you talkedso I wanted to ask you I know you talkedso I wanted to ask you I know you talked several times that you you want to leaveseveral times that you you want to leaveseveral times that you you want to leave till you're 80. how do you wanna you
Questionertill you're 80. how do you wanna you till you're 80. how do you wanna you wanna spend the rest of of your days you wanna spend the rest of of your days you wanna spend the rest of of your days you you just want to keep compounding or you you just want to keep compounding or you you just want to keep compounding or you want to spend more more time in your want to spend more more time in your want to spend more more time in your foundation or how how does that looks foundation or how how does that looks foundation or how how does that looks for you for you for you
Questionerso you know I thought I was going to die so you know I thought I was going to die so you know I thought I was going to die on June 11 2044. on June 11 2044. on June 11 2044. I was told that's the day I'm leaving I was told that's the day I'm leaving I was told that's the day I'm leaving planet Earth okay I recently discovered planet Earth okay I recently discovered planet Earth okay I recently discovered that I'm actually going to be dying that I'm actually going to be dying that I'm actually going to be dying between June 11th between June 11th between June 11th 2054. and June 11 2056 the two-year 2054. and June 11 2056 the two-year 2054. and June 11 2056 the two-year window we might have to do another talk but we might have to do another talk but we might have to do another talk but we'll try to get to it okay it's a huge we'll try to get to it okay it's a huge we'll try to get to it okay it's a huge Advantage as you might imagine Juan it's Advantage as you might imagine Juan it's Advantage as you might imagine Juan it's a huge Advantage if you know when you're a huge Advantage if you know when you're a huge Advantage if you know when you're going to exit going to exit going to exit you know if we know when we're going to you know if we know when we're going to you know if we know when we're going to exit then we can plan backwards exit then we can plan backwards exit then we can plan backwards okay okay okay very esoteric information very esoteric information very esoteric information I will try to see if we can get to how I will try to see if we can get to how I will try to see if we can get to how to get your exit date in a second but I to get your exit date in a second but I to get your exit date in a second but I was really elated recently when I was was really elated recently when I was was really elated recently when I was told by the life expectancy calculator
Questionertold by the life expectancy calculator on the MetLife website for free that I'm actually so what I did is I went to God Google because I always assumed you know like you know 15 58 year old male in the United States okay 80 81 you'll be gone okay then I went to these uh I went to God Google I said you know life expectancy calculators Etc and they asked me 50 questions you know smoked drink this that all these different questions and when I answered those questions they said well some said I'm going to be going at 90. and some said I'm going to be going at 92. so I was really excited about that not because I want to live more so they were they asked Buffett a while back I think he would ask a question Mr Buffett what is one wish if you met a genie what is one wish you would want the genie to give you so he said the only thing I wish for is
Questionerso he said the only thing I wish for is that when they look at my corpse that when they look at my corpse that when they look at my corpse they say man he was old they say man he was old they say man he was old okay and and he doesn't want to live for okay and and he doesn't want to live for okay and and he doesn't want to live for a long time for the sake of living for a a long time for the sake of living for a a long time for the sake of living for a long time he wants to maximize the long time he wants to maximize the long time he wants to maximize the compounding Runway okay that's the compounding Runway okay that's the compounding Runway okay that's the reason he wants to live for a long time reason he wants to live for a long time reason he wants to live for a long time I don't have any particular interest to I don't have any particular interest to I don't have any particular interest to live to 90 versus 80 whatever I'm live to 90 versus 80 whatever I'm live to 90 versus 80 whatever I'm perfectly fine if you know I drop dead perfectly fine if you know I drop dead perfectly fine if you know I drop dead tomorrow no problem but the thing is tomorrow no problem but the thing is tomorrow no problem but the thing is that 90 or 90 or 92 be really cool that 90 or 90 or 92 be really cool that 90 or 90 or 92 be really cool because it adds another 10 12 years of because it adds another 10 12 years of because it adds another 10 12 years of compounding compounding compounding it is all about how many doubles it is all about how many doubles it is all about how many doubles okay life is all about how many doubles okay life is all about how many doubles okay life is all about how many doubles and if I get another 10 12 years I can and if I get another 10 12 years I can and if I get another 10 12 years I can get maybe two or three more doubles get maybe two or three more doubles get maybe two or three more doubles maybe four if I'm lucky that's huge man maybe four if I'm lucky that's huge man maybe four if I'm lucky that's huge man it's all about the doubles now let me it's all about the doubles now let me it's all about the doubles now let me try to answer your question try to answer your question try to answer your question about when you're going to die Juan about when you're going to die Juan about when you're going to die Juan you know anytime you have any questions you know anytime you have any questions you know anytime you have any questions of anything
Otherof anythingof anything just go to God Google Okay God Googlejust go to God Google Okay God Googlejust go to God Google Okay God Google will answer the question for you and sowill answer the question for you and sowill answer the question for you and so if you just if you just go to God Googleif you just if you just go to God Googleif you just if you just go to God Google and actually you know the thing is mostand actually you know the thing is mostand actually you know the thing is most humanshumanshumans they never think about when they'rethey never think about when they'rethey never think about when they're going to diegoing to diegoing to die okay they actually think they're gonnaokay they actually think they're gonnaokay they actually think they're gonna live forever I I talked to a few friendslive forever I I talked to a few friendslive forever I I talked to a few friends of mine and you know when I talk aboutof mine and you know when I talk aboutof mine and you know when I talk about this they tell me monish you don'tthis they tell me monish you don'tthis they tell me monish you don't understand I'm going to live forever Iunderstand I'm going to live forever Iunderstand I'm going to live forever I said oh okay sorry thanks for educatingsaid oh okay sorry thanks for educatingsaid oh okay sorry thanks for educating me okay so basically when you look atme okay so basically when you look atme okay so basically when you look at your life expenses what you should do isyour life expenses what you should do isyour life expenses what you should do is and the date June 11thand the date June 11thand the date June 11th is one day before my birthdayis one day before my birthdayis one day before my birthday you know so we make it precise right soyou know so we make it precise right soyou know so we make it precise right so now I know the exact day month yearnow I know the exact day month yearnow I know the exact day month year everythingeverythingeverything and now I have 30 or 32 years to plan itand now I have 30 or 32 years to plan itand now I have 30 or 32 years to plan it out I know how many doubles I'm going toout I know how many doubles I'm going toout I know how many doubles I'm going to get and everything else and life isget and everything else and life isget and everything else and life is awesome and basically the other thing is
Questionerawesome and basically the other thing is I only need this much of the body to be functioning okay I really don't care about the rest of the body we just need this much functioning okay so who cares what the rest of the body what shape it's in that's irrelevant okay we just need about like you know nine inches functioning and then the rest is irrelevant awesome I think I'm more like Charlie Monger don't tell me where I'm gonna die or when I wanna go there you know Charlie will tell me sometimes you know sometimes he's a monish 99 of my friends are dead okay I say to him Charlie it's okay you have new ones you know because he's made a bunch of new friends but all his friends friends are dead like he was like one time he was telling me to joke about George Burns you know the guy who smoked the cigars till he was a hundred so someone sees George Burns smoking one
Otherso someone sees George Burns smoking one cigar after the other says George what does your doctor think about your smoking he says I don't know my doctor's dead
Other[Laughter]
Questionerlaughs morning I wanted to ask you for someone who is starting in in the world of investing who is Investing For the First Time I I bet there are plenty of first-timers listening to you what advice would you give them
Warrenwell I mean I think that if you're starting out and you're investing number one you actually have to make real Investments so you can't do this in a spreadsheet oh I'm going to pretend like I bought Google and I'm going to see what happens you even if you had let's say ten thousand dollars or five thousand dollars whatever trading costs are very low now so you should make real Investments after doing the work and then you should see how they unfold and
Otherand there will be a lot of mistakes there will be a lot of mistakes there will be a lot of mistakes you know John Templeton says one third you know John Templeton says one third you know John Templeton says one third to one-half if you're really good to one-half if you're really good to one-half if you're really good that'll be your error rate you know 30 that'll be your error rate you know 30 that'll be your error rate you know 30 to 50 if you're really good so there'll to 50 if you're really good so there'll to 50 if you're really good so there'll be a lot of mistakes be a lot of mistakes be a lot of mistakes and you want to learn from those and you want to learn from those and you want to learn from those mistakes you want to learn from the mistakes you want to learn from the mistakes you want to learn from the mistakes of other investors where they made Investments and it didn't work mistakes of other investors where they made Investments and it didn't work mistakes of other investors where they made Investments and it didn't work and then you're on your journey then and then you're on your journey then and then you're on your journey then this is a you know journey of learning this is a you know journey of learning this is a you know journey of learning growing understanding growing understanding growing understanding and so on do you invest outside of the and so on do you invest outside of the and so on do you invest outside of the U.S and particularly in Latin America U.S and particularly in Latin America U.S and particularly in Latin America I've had some Investments I've had some Investments I've had some Investments in Latin America not a whole lot I have in Latin America not a whole lot I have in Latin America not a whole lot I have not ventured as much I spent a fair not ventured as much I spent a fair not ventured as much I spent a fair amount of time in South Korea a little amount of time in South Korea a little amount of time in South Korea a little bit of time in China a lot of time in bit of time in China a lot of time in bit of time in China a lot of time in India in a growing amount of time in India in a growing amount of time in India in a growing amount of time in Turkey and such so Turkey and such so Turkey and such so I would say out of all these geographies I would say out of all these geographies I would say out of all these geographies turkey is the most interesting to me
Questionerturkey is the most interesting to me because the most dislocated market andbecause the most dislocated market andbecause the most dislocated market and uh kind of more most extreme in terms ofuh kind of more most extreme in terms ofuh kind of more most extreme in terms of valuations but I think that in Latinvaluations but I think that in Latinvaluations but I think that in Latin America also because you have some youAmerica also because you have some youAmerica also because you have some you know crazy you know kind of leadershipsknow crazy you know kind of leadershipsknow crazy you know kind of leaderships and economic policies and so onand economic policies and so onand economic policies and so on Sometimes some really good com companiesSometimes some really good com companiesSometimes some really good com companies can be masked with some you know overallcan be masked with some you know overallcan be masked with some you know overall macro conditions and such and at the endmacro conditions and such and at the endmacro conditions and such and at the end of the day what really matters is howof the day what really matters is howof the day what really matters is how that business does long term not how thethat business does long term not how thethat business does long term not how the country does long term but how thecountry does long term but how thecountry does long term but how the business does long term howabout example if I wanted toabout example if I wanted toabout example if I wanted to in Turkey but I hadthe Turkish economy how about buyingthe Turkish economy how about buyingthe Turkish economy how about buying like an ETF well I mean I think I thinklike an ETF well I mean I think I thinklike an ETF well I mean I think I think the problem turkey has it has a verythe problem turkey has it has a verythe problem turkey has it has a very high rate of inflation and inflation ishigh rate of inflation and inflation ishigh rate of inflation and inflation is a very strong headwind for investorsa very strong headwind for investorsa very strong headwind for investors I would say that something like 95 97 ofI would say that something like 95 97 ofI would say that something like 95 97 of the stocks in Turkeythe stocks in Turkeythe stocks in Turkey are not investable because they'reare not investable because they'reare not investable because they're facing this big headwind so an ETF is
Otherfacing this big headwind so an ETF is going to buy a basket which is not going to be helpful but I think for example if you just use one filter which is saying that I only want to invest in turkeys where the revenue is in Euros or dollars only expenses could be partially in Lira you are likely to to do really well so for example there's like a a juice company that's listed 98 Revenue with exports to Europe and uh turkey has you know free access to the European market with no duties or tariffs so that business actually does really well in the light of heavy inflation because their costs actually in Turkey are going down and their revenues in in you in Europe is very stable so so turkey is a place where the first filter is out of 200 listed companies you would get down to something like 10 companies and then you would drill down on those
Questionerand then you would drill down on those 10 companies so yeah if you get if you could get an ETF which was focused on Turkish companies with Euro earnings your home
Questionerawesome wow that's great advice people are saying they're having a million dollar lunch right now Manish
Questionerwell like they say the best things in life are free as long live the internet
Questionerexactly Alejo go ahead I think he's getting two hours so I I wanted to to thank you so much for this wonderful time that you spend with us it's been really amazing I also wanted to say that I really hope you keep doing this because when Charlie and Warren are not here I mean you you are getting the Baton like they say and that is really important for the True Value investors and the people that are really wanting to to learn how to invest the right way so that's that's what I wanted to say to you thanks so
Questionerwhat I wanted to say to you thanks so much Munichmuch Munichmuch Munich thank you Alejandro
Warrenwell the good newsthank you Alejandro well the good newsthank you Alejandro well the good news is both of them are very healthyis both of them are very healthyis both of them are very healthy stress-free you know like Monger wasstress-free you know like Monger wasstress-free you know like Monger was recently telling me that he still hasrecently telling me that he still hasrecently telling me that he still has all his original teethall his original teethall his original teeth you know at uh he's going to be he'syou know at uh he's going to be he'syou know at uh he's going to be he's going to be 99 in January he said thatgoing to be 99 in January he said thatgoing to be 99 in January he said that all his friends who worked out are allall his friends who worked out are allall his friends who worked out are all dead and he has not worked out even 15dead and he has not worked out even 15dead and he has not worked out even 15 minutes in his whole life and so he saidminutes in his whole life and so he saidminutes in his whole life and so he said I savedI savedI saved so many thousands of hours not workingso many thousands of hours not workingso many thousands of hours not working out because that gave me time to readout because that gave me time to readout because that gave me time to read but anyway what I would say is that theybut anyway what I would say is that theybut anyway what I would say is that they have been wonderful teachers they have ahave been wonderful teachers they have ahave been wonderful teachers they have a number of great students the Baton isnumber of great students the Baton isnumber of great students the Baton is not being passed to me there are lots ofnot being passed to me there are lots ofnot being passed to me there are lots of people who have done really well theirpeople who have done really well theirpeople who have done really well their approach so I think that will be with usapproach so I think that will be with usapproach so I think that will be with us and we have their teachings andand we have their teachings andand we have their teachings and learnings and writings with us foreverlearnings and writings with us foreverlearnings and writings with us forever but I don't think they're going anywherebut I don't think they're going anywherebut I don't think they're going anywhere for a while
Questionermonish one one last question
Questionerfor a while monish one one last question because our community really wants to know about your take on on cryptocurrencies especially Bitcoin do you think they're evil like like Charlie or do you think they have any value
Otherwell I think I think like one of the mental model hacks to do is very simple if something is outside circular competence what do we care anymore about it so what I'm saying is I'm not going to invest in crypto first of all because I don't really really understand it and I don't I don't need to have an opinion on everything so people say the blockchain technology has a lot of uses I don't even understand blockchain very well so my take is that this whole area is an area that I've not spent much time in it's an area I don't have any interest in spending much time in you know it's just like you know one of those 90
Questionerone of those 90 six people in a cocktail party you don't need to really understand what's going on I think you can have a very healthy productive life with plenty of returns with no crypto in the picture and if you could greatest investor times guys peer Warren Buffett Charlie monger lilu who would be the the one managing your your portfolio
Questionerwell if you gave me those four choices I would uh I would probably Kathy Wood in the list yeah with those with those five choices I I'd go with Lilo Lilo why
Otherwell you know it was a very close it was very close between Lilo and Kathy but I had to choose Lilo awesome
QuestionerAlejandro said thank you so much for your time it is a privilege to be talking to you as I said at the beginning of the interview you had nothing to gain from this interview and you were still here showing up giving us your time giving your time to
Othergiving us your time giving your time to our community and we really reallyour community and we really reallyour community and we really really appreciate what you're doing for for usappreciate what you're doing for for usappreciate what you're doing for for us and for all value investors that areand for all value investors that areand for all value investors that are listening to this interviewlistening to this interviewlistening to this interview
Otherwell Juan and Alejandro I had a lot ofwell Juan and Alejandro I had a lot ofwell Juan and Alejandro I had a lot of funfunfun for the last hour as you can tell that'sfor the last hour as you can tell that'sfor the last hour as you can tell that's what life is all about is make it funwhat life is all about is make it funwhat life is all about is make it fun and try to learn a couple of thingsand try to learn a couple of thingsand try to learn a couple of things along the wayalong the wayalong the way so thank you for the opportunity and Iso thank you for the opportunity and Iso thank you for the opportunity and I also appreciate the work you are doingalso appreciate the work you are doingalso appreciate the work you are doing for the community so thank youfor the community so thank youfor the community so thank you
Questionerawesome if you're ever here in Colombiaawesome if you're ever here in Colombiaawesome if you're ever here in Colombia just give us a shout we'll be happy tojust give us a shout we'll be happy tojust give us a shout we'll be happy to take you to lunchtake you to lunchtake you to lunch
OtherI might take you up on that thank youI might take you up on that thank youI might take you up on that thank you
Questionerawesome monish thank you so muchawesome monish thank you so muchawesome monish thank you so much all right thank you bye