In this May 4, 2015 file photo, Berkshire Hathaway Chairman and CEO Warren Buffett smiles in Omaha, Neb., during an interview. (AP Photo/Nati Harnik)

(Bloomberg) — Here’s a theory from Charles Munger on why his friend Warren Buffett has been so successful building Berkshire Hathaway Inc. into one of the world’s most valuable companies:

“He has a lot of time to think,” Munger told investors in Los Angeles on Feb. 10. “Warren is sitting on top of an empire now, and you look at his schedule sometimes, and there’s a haircut. ‘Tuesday: Haircut Day.”’

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