How women can use their experience fending off douchebags in their investment research

Thankfully, I am happily married and never out after ten pm at this stage of my life. But there was a time in my life when I couldn’t have a night out with girlfriends without our conversations getting interrupted by the douchiest of douchebags. There were decent guys who would strike up a conversation from time to time as well and we had to acquire a spidey sense to figure out how to separate the good guys from the d-bags. I was much better at it when it was my friend and not me who was the target of the gentleman’s affections. Those who are practiced at the art of dishonesty can often fool you. However, after a while you start to think, “Is he playing her or is he being honest?” You want your friend to be treated well so the things that might blind you if you were the recipient of his affections don’t come into play. Once you’re a bit older and it is your nieces, daughters, younger women in your life, it is even easier to spot. Jason Momoa’s clone could be there and if there is a tiny bit of dishonest, douchebaggery you will spot it. His attributes cannot beat his intentions – and you can tell the difference between the good and the bad most of the time while in mama bear mode.


How can this ability help your investing practice?


Well, Charlie Munger – one of the greatest investors of all time – has four criteria for picking a good company for investment.

1. It must be a business that you are capable of understanding.

2. It must be a business with a durable competitive advantage.

3. Ideally, the business’ management has integrity and talent.

4. The price must make sense (i.e. buy it on sale, not full price).


Charlie Munger video: