Lecture to Univ. of Puerto Rico MBA Class on mental models on Sept. 26, 2016

1/26/2017

I thoroughly enjoyed my talk to the University of Puerto Rico MBA students in San Juan, Puerto Rico on Sept. 26,2016 where I discussed three mental models in the spirit of Charlie Munger’s latticework of mental models.

The three models include

The Power of Truth: Commit to candor, however painful or uncomfortable it may be. Being relentlessly truthful (and avoiding “white lies”) will strengthen your relationships with those around you in the long run.
Compounding is the 8th Wonder of the World: Resist the temptation to pull money out of compounding accounts like 401(k)s; instead, leave them and let them compound over the longest runways possible.
Dhandho Entrepreneurship: Take advantage of extracurricular time at your full-time job to first test your start-up ideas before quitting your day job to become the next Elon Musk. If you fail, you’ll still have a job. Heads you win, tails you don’t lose much!

Enjoy!

https://www.youtube.com/watch?v=FO5V7jcBNMM

8 Comments

Shane M

1/26/2017 10:38:01 pm

Hi Mohnish, Thank your for sharing these. I realize this was recorded this about in Sept 2016, but as you talked about the importance of truth I was thinking about American politics, and am honestly pretty shaken right now.

On the compounding. I'm going to share that single idea with my nephew on his upcoming birthday.

Thank you again for sharing these videos.

Mohnish Pabrai

7/27/2017 07:06:07 am

Thanks for the nice note Shane.

Harish kawalkar

2/4/2017 02:15:21 am

Dear sir,

All three models are awesone.. the power of truth... be yourself .. its great to know... the book you recommend power vs force.. its on my list to read it... power of compounding.. u can teach us very clearly and simple way.. why do math in head.. its a ultimate advantage... third with dhandho enterprunurship.. with the extra time, i can learn about value investing and start my own investing business.. any body can do this... sir hats off to you... you are awesome... thanks & regards Harish

7/27/2017 07:06:28 am

Thanks for the nice note Harish.

vivek kumar

2/4/2017 02:38:23 am

Thanks for these core principles, I believe this will greatly help me in investing and my life.

7/27/2017 07:06:48 am

Thanks for the nice note Vivek. All the best.

Madhu Varma Chamarthi

2/4/2017 09:01:28 am

Sir, thank you for three core fundamentals that talk about integrity, honesty and bravery ( calculated risk )

watched almost every YouTube video of yours on value investing. You are one of the best to explain things to beginners like me. My journey started as an IT professional but deep in my mind I have always passion in investing.

The way you explained the compounding using "Chess Board" is an amazing and every one should recommend their kids a must to watch.

I live near by Chicago but if possible would like to attend your future session of open to public in USA.

Also have lot of questions on how to invest in INDIA from here. I am thinking lot of Buffet and your principles can be cloned and applied successfully on an emerging economy like INDIA.

Kudos and proud of you for "Dakshina" foundation. A lot to learn from you professionally and personally.

Best Regards

Mohnish Pabrai link

2/11/2017 07:59:46 am

Please send us an email with the same questions for next steps.

Warmly,

Mohnish