Everything moves fast in the world of investing…
There’s a sharp learning curve that quickly separates those who can cut the mustard and those who are bound to become lunchmeat.
You have to have guts to make it in this business. Chutzpah, grit, fortitude, cojones – all describe what it takes to make it on Wall Street.
Sometimes you have to roll the dice on an investment rather than sit on the sidelines and play it safe…
And when you hear this same exact sentiment from one of the biggest names in investing – you can take it as gospel.
Charlie Munger just opened up about an investment he wished he had the guts and fortitude to go bigger on – and you probably have an idea of which stock he’s talking about.
If you don’t know who Charlie Munger is – then you’ve either been living under a rock or are brand new to investing…
Either way, it’s best for you to do a little research on the guy who, along with Warren Buffett, helped build their holding company, Berkshire Hathaway into one of the biggest conglomerates in the United States.
Now, while Buffett always seems to be the partner to grab the headlines – many people say Berkshire wouldn’t be the almost half a trillion-dollar juggernaut that it is without Munger by his side.
Of course, I don’t know if that’s true or not…
But what I do know, is that Charlie Munger is a hugely respected name in the investing world – and if he gives out a nugget of wisdom – the best thing for you to do is grab it and put it in your pocket for future use.
In a recent interview, Munger laments over one of the moves Berkshire made in regards to buying a stock – or more to the point – laments over not buying more.
The stock he wishes he had more of?
None other than current GorillaPick and tech giant – Apple Inc. (AAPL).
In the interview he said, “I think we’ve been a little too restrained – I wish we owned more of it.”
When the interviewer pressed the issue and asked if Berkshire’s Apple holdings were sufficient – Charlie had a simple, one word answer for them…
“No.”
Now, in this interview, nowhere did Charlie say anything about having guts, or grit, or fortitude…
But it doesn’t take a genius to understand that what Charlie is truly saying is this: “I wish we would have had the guts to buy more Apple when we bought in.”
What do you think could have prompted him to say this?
It’s simple…
AAPL has performed well for its investors – giving early shareholders the chance to make a lot of money along the way.
Charlie doesn’t talk about why he wishes he would have had the foresight to grab more – but that answer is even more simple: the more stock they own in a winner, the more profit they make.
Now, I didn’t have to explain that part to you – you’re smart and more than likely knew why Charlie wished he had a bigger position in the brainchild of Steve Jobs…
However, the fact that this master investor regrets not going BIGGER on Apple begs the question: how many stocks have you had the chance to make a mint on – but played it safe in order to mitigate any potential losses?
It’s a slippery slope, though…
Go in a little, and you forfeit the chance to truly profit on an investment. Playing it safe keeps your losses at a minimum – however the inherent problem with that is – it also minimizes your gains.
Then, there’s the other side of the coin…
Go in big, and you risk losing capital. However, if you ever wanted to truly make a dollar and a cent in investing – minimizing losses shouldn’t be your main concern.
Profit should. And to not bring Big Bertha up to the tee means you forfeit valuable yardage for the sake of making sure your ball stays on the fairway.
However, wouldn’t it be nice to not only stay on the fairway – but make it to the green in the process? Isn’t this why we got into investing?
To maximize profits?
Now, I may be talking a big game, but there are plenty of plays that I wish I would have went a bit heavier on – as I knew they had the potential to do something special – however, it’s hard to fight that little voice in the back of your head telling you to pump the brakes.
This is one of the reasons GorillaTrades has become so popular…
You don’t have to “think” when you get our recommendations. Sure, we always encourage our subscribers to do their due diligence – but you don’t have to guess as to why the recommendation was sent out.
If you get an email from me, you know that the stock has met all of the parameters of the GT trading matrix and hard data shows us that the company may be in for a nice uptick.
Now, whether or not you choose to go big on these thoroughly vetted picks is your choice…
Just remember the words of Charlie Munger – and let your own research help you make the call. Or…
Go with your gut…
Sometimes, it’s more accurate.
“Gold medals aren’t really made of gold. They’re made of sweat, determination, and a hard-to-find alloy called guts.” – Dan Gable