Joshua Kennon is a Managing Director of Kennon-Green & Co., a private asset management firm specializing in global value investing for affluent and high net worth individuals, families, and institutions. Nothing in this article or on this site, which is Mr. Kennon's personal blog, is intended to be, nor should it be construed as, investment advice, a recommendation, or an offer to buy or sell a security or securities. Investing can result in losses, sometimes significant losses. Prior to taking any action involving your finances or portfolio, you should consult with your own qualified professional advisor(s), such as an investment advisor, tax specialist, and/or attorney, who can help you consider your unique needs, circumstances, risk tolerance, and other relevant factors.

Star Trek Captain Kirk

Jesus Christ vs. Captain Kirk: A Study of Mental Models (or “A Modern Example of Binary Beliefs and Cognitive Dissonance In Everyday Western Culture”)

The odds are good you won’t read this entire post.  The reason?  It has to do with confirmation bias.  If you think what I am going to say conflicts with your belief system – whether you are a scientist or a Christian – you won’t finish it to avoid cognitive dissonance even though you aren’t…

American Manufacturing Percentage

Surprising But True: America Still Manufactures the Same Percentage of World Goods as It Did More than 21 Years Ago

Tell me what you think of the following statement: “American manufacturing has been destroyed over the past 20 years?  Going back further, it’s nothing like it was in 1960.  Everything is made in China now.” [mainbodyad]If you agreed with the statement, congratulations!  You failed.  Miserably.  Start thinking for yourself and stop watching the news commentators…

How to Measure Your Wealth Header

How to Measure Your Wealth

Years ago, I vaguely remember hearing someone comment that it was interesting how differently we measure wealth today compared to British society at the end of the 19th century.  This made me realize that most people don’t even know there is a difference; that there are primarily two ways you can think about measuring your wealth and which you choose for your own household will influence how you behave, the capital structure you employ, and even how you think about risk.

A Mental Exercise What I’d Do If I Lost Everything

A Mental Exercise: What I’d Do If I Lost Everything

I started thinking about people who lose everything, or what Charlie Munger calls returning “to Go”, as in the Monopoly board. Once you are rich, your primary motivation shouldn’t be to get richer, it should be to avoid wipeout risk, or returning to go.  But as a training exercise, I decided to contemplate what I would do if I woke up tomorrow and the last ten years had been a dream.  What would my first course of action be to rebuild until I got my financial affairs in order?