During his recent interview with students at the William & Mary College, Mohnish Pabrai explains why micro will always trump macro. Here’s an excerpt from the interview:
Pabrai: You know people always think that whatever is kind of happening at the present time, like this is the worst time.
They always think that the present time is the worst. Trust me the present time is not. Okay. And also trust me this too shall pass. There’s always doom and gloom at any point in time.
There’s always things you can point to. The financial crisis was a pretty terrible. The great depression was pretty terrible. Vietnam War. There’s all kinds of things always going on.
I think the bottom line is that if you invested in Walmart and stayed invested throughout the period you did really well through a very tumultuous period overall.
And so it’s the micro factor around a business will trump the macro factors.
So Turkey is a crazy place to invest with crazy monetary policy. Our best gains in 2022 are in Turkey. We’re up on our investments. Solidly up. Which you can’t say about our U.S Investments and so on.
But there’s so much to hate about Turkey. Micro trumps macro and this too shall pass!
You can watch the entire discussion here:
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