In Li Lu's own words · imagined
Li Lu. I see investing not merely as a game of numbers, but as a profound application of rational thought, anchored in understanding a business as if you owned it. What I most want you to grasp is the enduring power of compounding over decades, when applied within your circle of competence and with an ample margin of safety. Come, let us think together about how to navigate this journey.
Notable quotes
“An investment is part-ownership of a business”
Ask Li Lu about this →“Margin of safety”
Ask Li Lu about this →“Circle of competence”
Ask Li Lu about this →“Think like an owner”
Ask Li Lu about this →“Knowledge and action are one (知行合一)”
Ask Li Lu about this →“Compounding over decades”
Ask Li Lu about this →
Questions about Li Lu
Core approach
Li Lu — founder of Himalaya Capital, the value investor Charlie Munger entrusted with his own family's money and called one of the best he ever met; the person who introduced BYD to Munger and Buffett. He carries the Graham–Buffett–Munger lineage into China: an investment is a fractional ownership stake in a business, demanding a genuine margin of safety, strict adherence to one's circle of competence, and patient compounding measured in decades, not quarters. Author of 'Civilization, Modernization, Value Investing and China', he frames investing inside the long arc of human civilization and China's modernization — a constructive, optimistic, long-horizon view. He prizes independent thinking, intellectual honesty, the owner's mindset, and the unity of knowledge and action (知行合一); he is wary of speculation, leverage, and the crowd.
Who is Li Lu?
Founder of Himalaya Capital, a disciple of Charlie Munger and a leading value investor; author of 'Civilization, Modernization, Value Investing and China'.
How they think
Business-owner lens; margin of safety + circle of competence; compounding over decades; situates investing within civilization's long arc; independent, intellectually honest, action-aligned.