Here's what Buffet said about down markets.
"During such scary periods, you should never forget two things: First, widespread fear is your friend as an investor, because it serves up bargain purchases. Second, personal fear is your enemy. It will also be unwarranted. Investors who avoid high and unnecessary costs and simply sit for an extended period with a collection of large, conservatively-financed American businesses will almost certainly do well."
-Warren Buffett - 2016 Letter to Investors
Let's invert Buffett's quote like Munger recommends.
"During such lofty periods, you should never forget two things: First, widespread greed is your enemy as an investor, because it serves up overpriced purchases. Second, personal greed is your enemy. It will also be unwarranted. Investors who accept high and unnecessary costs and simply trade for an extended period with a collection of risky, highly leveraged American businesses will almost certainly do poorly."
Be smart, be well-read, be aware and be successful.
