Charles Munger Charlie Munger is a thinker who combines his deep thinking with investment and has achieved extraordinary achievements.

Luckily, he shared his way of thinking and also shared his own grille model.

Learning the basic theories of those basic subjects and applying them to our own practice, whether it is investment, life, or study, is a powerful tool for us to solve problems.

I read this book during the Spring Festival and compiled reading notes. This book will talk about the grid model, connectionism, equilibrium theory, evolution theory, self-organization, loss aversion, fractals, edge markets, system 1 systems and other theories.

I believe this will be a start and open many windows for you.

Various disciplines are intertwined with each other, and they are strengthened in the process of intersecting each other.

A thinking person will draw brilliant mental models from every subject.

Those who are deeply engaged in this direction are beginning to grasp universal wisdom.

Charlie used a vivid name to describe the intersectional structure of this idea: the lattice (mental lattice) model.

"You should categorize your experience, whether gained directly or indirectly, into these grid models."

Charlie firmly believes that the thinking grid theoretical framework established by integrating thinking models from different disciplines is a powerful way to obtain excess investment returns.

This book is to sort out the basic theories of those basic disciplines and combine these basic theories with investment.

If the same conclusion can be drawn from the perspectives of different disciplines, the investment decisions made will be more correct.

That’s the biggest takeaway—a more comprehensive understanding allows us to become better investors.

You don't need to be an expert in every field.

You just have to learn the basic principles and you have to master them and make them your own.

Learn about the basic theories of these basic disciplines from these seven professional disciplines: physics, biology, sociology, psychology, philosophy, literature, and mathematics.

This is the starting point for your self-study, not just that. Don’t be limited to the subjects you have studied. Break through your own professional barriers and look at the world around you. There are many other fields of knowledge that you need to constantly build your own thinking model.

Edward Thorndike's learning theory is called connectionism and is the core theory of contemporary cognitive science.

It is believed that learning is a process of trial and error, and that a positive response (stimulus) to a new situation actually changes the connections between brain cells.

In other words, the learning process affects the synaptic connections between neurons. When the brain receives new information and recognizes similar patterns in it, these synapses will continue to make adjustments to adapt to and accept the new information.

The brain can string together relevant connections into loops and transfer what it learns to similar situations.

Therefore, wisdom can be seen as a person's ability to learn and master more of these connections.

Thorndike concluded in a 1901 research paper that learning in one area will not help learning in another area. Learning can only be transferred when similar elements exist in the original area and the new area.

That is, we understand A and recognize that there is something similar to A in B.

Charlie said: "Universal wisdom is very, very simple. There are some corresponding principles and real great wisdom, and it is fun to look for them. The important thing is that this fun does not end. More importantly, we

There is a lot of wealth to be gained from this, I have tested it myself. I hope what you are doing is not difficult and the rewards are great... it will help you with your business and your life.

Meaning. Makes your love more fulfilling... It gives you the ability to help others, help yourself, and make life more meaningful." Physics is the science of matter, energy, and the interaction between the two.

Equilibrium Theory .

Equilibrium is defined as a state of equilibrium between two opposing forces, forces, or influences.

If you use equilibrium theory to look at the market.

Marshall wrote: When supply and demand are balanced, if there is an external force that changes the scale of supply from the original equilibrium state to another state, there will be another force that pulls the supply back to its original position; just like a hanging

As the stone on the rope swings from side to side, gravity pulls it back to its equilibrium point.

The equilibrium of supply is somewhat similar to this.

In a complex environment, simple laws cannot explain the entire system.

Equilibrium theory may still be the state of the universe, and maintaining a state of equilibrium may be the goal of nature, but it is not the only conclusion of Newtonian theory.

Equilibrium and disequilibrium can occur in the same market at any time.

Theory of Evolution: In nature, the evolutionary program is the process of natural selection. Using the concept of evolution to look at the market, we can observe the laws of economic selection.

The more adaptable animals survive and produce more advantaged offspring.

Over several generations, small changes within a species accumulate into large changes—evolution occurs.