Charlie Munger is one of the most famous investment moguls of all time. Ever since he met and worked with Warren Buffett, he has always been an effective right-hand man and wise partner to the sage of Omaha, helping to build the mighty Berkshire Hathaway empire as it is today. At the age of 98, he has an estimated net worth of $2.3 billion (according to Forbes 2022).
Charlie Munger (right) has always been a companion of Warren Buffett. Photo: internet.
With his experience in the book Poor Charlie’s Almanack, Munger reveals the perspective of life through the eyes of a financial expert. Accordingly, he said if you want to get rich but don’t have money and relationships, you should be more generous with these 3 things:
1. Generosity in mindset
The first generosity mentioned in Poor Charlie’s Almanac is psychological generosity. The author’s intention is to keep the mind stable, to give yourself more opportunities and not to be too strict in everything.
The reason is very simple – if a person lacks money and relationships, you will easily fall into a state of sadness. If you are too hard on yourself, only one thing is not as planned, your mentality will easily collapse. A person who does not have a financial launching pad, whose relationship is easily broken, can hardly do great things.
Being generous is about giving yourself more opportunities. Photo: internet.
Munger also had an unsatisfactory starting point. When he was a lawyer, he also fell into poverty, was not in a relationship, had no money and carried more debts. However, he was very generous in spirit, giving himself more chances to relax and stabilize his mind. This helps Munger deal calmly with the difficulties that arise, even though he has no money or relationships.
At this point, many people will say that at the end of the wall it is not difficult for anyone to be so calm. But in the book, Poor Charlie’s Almanac mentioned a pretty effective method. That is, in 10 years, if you have a generous heart, what results will you achieve. At the same time, you also think about that period, what if you keep narrowing your mind in a hole?
Compare from here to see that if you are generous in spirit you will have better results gradually overcoming narrow thoughts.
2. Be generous to everyone
The second generosity mentioned in Poor Charlie’s Almanac is being appropriately generous to everyone. The less money and relationships you have, the more generous you have to be to people to make them more likely to extend the relationship. The key to building a relationship is to show kindness to others.
Usually we often have the mentality of receive first before later. That is, you want others to be generous to you. After receiving kindness, help in return. In fact, this mindset greatly influences relationship building. If the other party also has such thoughts, it will be very difficult to harm people.
The key to building a relationship is to show kindness to others. Photo: internet.
So how do we overcome this mindset so that we can actively be generous to all? One method mentioned in Poor Charlie’s Almanac is thinking in terms of benefits.
This means you can think ahead about the benefits you’ll get from taking the initiative to be generous to someone up front. Chances are you’ll get more generosity from the other side. So as long as we think this way, we will be generous and proactive about reaching out to people.
3. Be generous with knowledge
The third generosity mentioned in Poor Charlie’s Almanac is that of intellectuals. To date, Munger has mastered more than 100 mental models. If he had not been willing to generously acquire knowledge, it would have been difficult for him to do this.
Munger and Buffett spend 70% of their sleepless time reading, a sign of intellectual generosity.
The generosity of knowledge can make you rich faster. Because the basic logic of getting rich is actually the result of a large body of knowledge accumulated by you.
If you are not a person who has a habit of reading, you can still start the habit today. The contents of the book Poor Charlie’s Almanac mentioned the level reading method. Reading a book is like climbing a mountain. First you read 10 pages a day. After one level you move up to reading 20 pages a day. Gradually increase the number of pages, once a habit is formed, your knowledge base will expand on its own.
Source: CafeF
