Buffett and Munger are deeply suspicious of investment propositions that are framed as being too easy or guaranteed to be profitable, as these framings signal the proposition is likely fraudulent or dishonest.

factualpending

Speaker

Charlie Munger

Evidence Quote

partly we're deeply suspicious when the proposition is too good to be true... anybody that any anybody that implicit in their comments or what they kind of laugh about... it's so easy and it ain't that easy you know and we we get suspicious very quickly

Source

Warren Buffett On Exposing Business Frauds And DeceptionThe Long-Term Investor
Created: 8/12/2026, 5:58:06 PM

My Notes

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