The Difference Between Getting Rich & Staying Rich
Warren Buffett, Charlie Munger, and Rick Guerin were once part of the same investing trio. All were brilliant investors. But while Warren and Charlie became legends, Rick faded into history. Why?
Rick was in a *hurry*. Unlike Warren & Charlie, he took on *margin loans* (against the existing share holdings) to accelerate his wealth. But when the market crashed in 1973-74, he was *forced to sell* his Berkshire Hathaway shares to Warren Buffett.
As Morgan Housel puts it: "*Getting wealthy and staying wealthy are two different skills*"
All three were great at getting wealthy, but only Warren and Charlie *mastered staying wealthy*. The best investors aren't just the smartest; they are the ones who play the *long game* without taking excessive risks.
The lesson? *Survival matters more than speed*. Stay patient, avoid excessive risks, and let time & compounding do its magic.
#Investing #WarrenBuffett #CharlieMunger #LongTermThinking #WealthBuilding #Compounding
