In this episode we'll cover the amazing story of how Bill Benter made over a billion dollars from betting on horse races. Charlie Munger has often talked about horse race betting as a mental model for how the stock market works. We'll also cover the importance of having a circle of competence in investing, and why Charlie Munger recommends investing in companies with a high return on equity.

Charlie's speech "Art of Stockpicking":

http://www.grahamanddoddsville.net/wordpress/Files/Gurus/Charlie%20Munger/Charlie%20Munger%20_%20Art%20of%20Stock%20Picking.pdf

Bill Benter story sources:

https://www.paulickreport.com/horseplayers-category/wagering-algorithms-and-the-ghost-of-the-unclaimed-118-million/

https://www.youtube.com/watch?v=4B0mGYZqElo

https://en.wikipedia.org/wiki/Bill_Benter