You need to read widely to build a “latticework of mental models,” as Berkshire Hathaway’s Charlie Munger says. By looking closely at many companies, you’ll see common themes that drive their success or failure. And you’ll begin to form models that you can apply to situations you want to analyze. Then you must ask some questions. How is the world changing? How will those changes affect this company’s prospects? You can begin to see the challenge and the fun of investing.
