Why Avoidance Is Underrated

Positive goal-setting tells you what to chase. Anti-goals tell you what to dodge. Both are essential, but avoidance is often more actionable. It is hard to guarantee success, but it is relatively straightforward to avoid known failure modes.

In investing, Munger and Buffett built one of the greatest track records in history largely by avoiding bad decisions rather than making brilliant ones. They say no to almost every opportunity that crosses their desk. The same principle applies far beyond investing.