“The big money is not in the buying and selling, but in the waiting”
— Charlie Munger
Simplified Meaning:
When it comes to making money through investments, the real profit often comes from holding onto investments for a long time rather than frequently buying and selling. Imagine you buy stock in a company, like Apple, and instead of selling it quickly to make a small profit, you keep it for several years. Over time, as the company grows and becomes more valuable, your stock could be worth much more than if you had sold it early on. This idea can be seen in the behavior of successful investors like Warren Buffett, who often buys shares in good companies and holds onto them for many years. By being patient and waiting for the investment to grow, he makes a lot more money in the long run. So, if you want to see big returns on your investments, it’s usually smart to be patient and let your money grow over time.
