The Superinvestors of Graham-and-Doddsville (Part 5 : Charles Munger)

Continued from Part 4:

Table 5 is the record of a friend of mine who is a Harvard Law graduate, who set up a major law firm. I ran into him in about 1960 and told him that law was fine as a hobby but he could do better. He set up a partnership quite the opposite of Walter's. His portfolio was concentrated in very few securities and therefore his record was much more volatile but it was based on the same discount-from-value approach. He was willing to accept greater peaks and valleys of performance, and he happens to be a fellow whose whole psyche goes toward concentration, with the results shown. Incidentally, this record belongs to Charlie Munger, my partner for a long time in the operation of Berkshire Hathaway. When he ran his partnership, however, his portfolio holdings were almost completely different from mine and the other fellows mentioned earlier.

Continued to Part 6:

About Charlie Munger : http://en.wikipedia.org/wiki/Charlie_Munger
Charlie Munger's Letters to Wesco Shareholders : http://www.wescofinancial.com/page2.html