“Sit on your ass. If you’re not willing to do that, you’re not going to make a lot of money.” — What kind of investment patience was Charlie Munger expressing with this quote?

What Does Munger Mean by "Sitting on Your Ass" Regarding Investment Patience?

Hey there! I'm an investment veteran who loves studying the markets, and Munger's quote really hits home. Charlie Munger, Warren Buffett's legendary partner, said, "Sitting on your ass. If you can't do that, you can't make the big money." Essentially, he's reminding us ordinary folks that the most crucial thing in investing is patience—like gluing your butt to the chair and resisting the urge to constantly move around.

Breaking It Down

Simply put, this quote emphasizes the patience required for long-term investing. Munger believed that the investors who truly make big money aren’t those obsessively watching daily market swings and trading short-term. Instead, it’s those who can stay patient, holding quality stocks or assets for the long haul. Why? Because markets fluctuate—short-term crashes might make you panic and sell, but if you can "sit tight" for years or even decades, great companies will gradually reveal their value and deliver substantial returns.

For example, I’ve lived this: Years ago, I bought some tech stocks. When the market crashed midway and prices halved, I almost sold. But remembering Munger’s words, I gritted my teeth and held on. The result? Years later, not only did I recover my losses, but the value multiplied several times over. That’s the power of "sitting on your ass"—it tests your resolve against short-term noise.

This Reflects Munger’s Investment Philosophy

Munger practiced value investing. Like Buffett, he sought out companies with rock-solid fundamentals (think Coca-Cola or Apple), bought them, and held them long-term. Here, patience isn’t blind waiting—it’s confidence rooted in deep understanding. You must believe that time is the friend of great businesses, allowing their value to compound.

Short-Term Patience: Don’t panic-sell during market volatility. Munger often said the market is like a manic-depressive—wild swings short-term, but long-term, it rewards those who stay put.
Long-Term Patience: Investing isn’t gambling; don’t expect overnight riches. Munger himself held Berkshire Hathaway stock for decades, earning astronomical returns.
Why You Won’t Make Big Money: If you can’t sit still—chasing trends, buying high and selling low—you’ll bleed money on fees and bad timing.

Practical Advice for Beginners

If you’re new to investing, don’t rush to go all-in. Start small to practice patience. Pick one or two quality companies you know well (like brands you use daily), buy some shares, then just "sit" and observe. Remember, Munger practiced this philosophy until age 99—patience isn’t innate; it’s cultivated. Making big money, at its core, is about making money from time itself.

In short, this quote is Munger’s heartfelt advice: On your investment journey, patience is the ultimate weapon. If you can sit tight, you’ve already beaten most people. Got questions? Let’s chat!