Why Critical Thinking, Not Credentials, Makes You a Better Investor

Investing isn't just about analyzing numbers on a spreadsheet or tracking the ups and downs of the stock market. It's about thinking deeply, learning continuously, and questioning everything—including your own assumptions. Over the years, I've realized one of the most important insights for any Rule #1 investor: intellectual rigor beats formal credentials every time.

What Daniel Boone Taught Me About Thinking Independently

I was reading a book about Daniel Boone, and it struck me how much his story reflects the mindset great investors need. Boone wasn’t a general or a politician. He was a teenager who learned to live off the land, earning what would be $40,000/year today by selling deer pelts. His greatest legacy? Blazing new trails through the Cumberland Gap, making westward expansion possible.

Boone didn’t wait for permission—he just did the work. That’s the mindset we need as investors. Do your own research, question the status quo, and move decisively when others hesitate.

Why Reading Broadly is Part of Investing

Charlie Munger has always said to read broadly, and I’ve followed that advice throughout my career. Whether I’m diving into a history book or a psychology text, I’m building a mental library that supports my investing decisions. I even allocate time every week for my team to read whatever they want—because you never know what piece of knowledge will pay dividends down the line.

Rule #1 investing is about understanding the business—and the context it operates in. Reading widely sharpens that understanding.

Why I Bet on America

One of the strongest Rule #1 filters isn’t just the company—it’s the country. Warren Buffett has said it for decades: Don’t bet against America. And I agree. When you invest in a company, you’re implicitly betting on the country it operates in. That’s why I include it in my investing checklist.

You’re looking at the world’s largest GDP, a free society, and a rule of law that supports investors. That’s a big deal. But wherever you are in the world, the principle is the same: if you’re putting your money there, you’re making a bet on that country’s future.

Why Degrees Don’t Impress Me

Let me be blunt: a degree—even from an elite school—doesn’t guarantee critical thinking, intellectual honesty, or useful insight. Some of the smartest people I’ve met are self-taught or non-traditional learners.

If I’m hiring someone for a role that requires serious thinking, I care more about their intellectual honesty and reasoning skills than their diploma. In fact, I think the value of a college degree—especially from elite schools—has been seriously depreciated over the last couple decades due to a lack of rigor. Many graduates just aren’t equipped to think critically or challenge their own biases.

Confirmation Bias: The Silent Killer of Great Investing

Confirmation bias is one of the biggest traps in investing. When you're convinced you’re right, you tend to ignore red flags, cherry-pick data, and overcommit. That mindset leads to mistakes—and I’ve seen it happen over and over again.

A Joe Rogan episode with Eric Weinstein and a self-taught mathematician named Terren really drove this home. Even brilliant thinkers can fall victim to blind spots and hubris. Terren had some fascinating ideas, but without peer review and a willingness to engage with criticism, his thinking lacked the kind of rigor we need as investors.

The lesson? Be humble. Be skeptical—especially of your own ideas. Great investors challenge everything, especially themselves.

Final Thought: Read More, Think Harder, Stay Humble

Being a great investor has little to do with your résumé and everything to do with your mindset. Read broadly. Think critically. Be curious, and never stop learning.

Whether you're analyzing a company’s moat or weighing the implications of interest rate hikes, your greatest asset is your ability to think clearly. And that clarity doesn’t come from credentials—it comes from a lifelong habit of study, curiosity, and honest reflection.