To hold a company long-term, it must meet four criteria! Munger never chooses a company based on "feelings," nor does he chase stories or hot topics. Instead, he relies on a set of extremely stable "four elements." These four simple elements have almost determined all of Buffett and Munger's major wins and risk avoidance over the past 50 years. ① Simple and Easy-to-Understand Business: Munger particularly dislikes business models that "sound smart but are inherently complex." His logic is simple: Whether a company can maintain stable profitability can be roughly seen at first glance. If you need 20 pages of PowerPoint to explain its business, then that company is likely unstable in the future. ② Long-Term Competitive Advantage: Munger focuses not on how much money a company makes now, but on whether it has a "moat." For example: Brand (Coca-Cola), Cost Advantage (BYD), Network Effect (Apple ecosystem), Scale Barrier (Berkshire Hathaway's insurance business). The core question is: Why will it still be alive in 5-10 years? Why will it still be profitable? ③ A trustworthy and rational management team: Munger repeatedly emphasized: "Bad people can ruin a good business; good people can sometimes do an ordinary business well." He would rather invest in ordinary businesses than entrust his money to greedy, blind, and arrogant management. The simplest way to judge management is: Are they honest? Are they willing to admit mistakes? Are they focused on long-term or short-term data? The answers to these questions are often more important than any financial report. ④ A reasonable price is simple but often misunderstood—Munger has never been a "bargain hunter." A "reasonable price" means: not an excessively high bubble price, nor a gambling-style low price, but a range that allows long-term value to be reflected and gives you peace of mind. You buy a company to own it, not for short-term fluctuations. These standards seem to belong to investing, but they also apply to life: Choosing partners, choosing a career path, choosing projects… You can re-select based on these four criteria. In a sense, Munger's "four elements" not only helped him pick good companies but also helped him avoid many mistakes and pitfalls in life. —————— Day 404 of Safe Dollar-Cost Averaging (Noise Rejection) Currently holding 50 ETH at a cost of $2373.67 Currently holding 5.47 BTC at a cost of $86284 Currently holding 1812.32 SOL at a cost of $157.5 Currently holding 7200 LINK at a cost of $14.9 Today's actions: Continued to blindly buy 0.04 BTC, 5 SOL, and 50 LINK Current overall account profit: -11.54%