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b'With Mohnish Pabrai, managing partner of Pabrai Investment Funds
Mohnish Pabrai, managing partner of Pabrai Investment Funds which he founded in 1999 is considered to be one of the world\'s greatest investors and is this week\\u2019s addition to our \\u201cGreat Investor\\u201d series.
Back in \\u201894, Mohnish was the owner of a successful IT firm when a window opened into a new world as he began hearing and reading about Warren Buffett. He was particularly intrigued by the concept of compounding which Einstein called the \\u201ceighth wonder of the world,\\u201d leading Buffett to know early on that he would one day be rich. From there, Mohnish began his own compounding engine that eventually took him into a new direction.
Wise words from Warren Buffett
Warren Buffett has often been quoted as saying, "I\'m a better investor because I\'m a businessman, and I\'m a better businessman because I\'m an investor.\\u201d Mohnish took the core principle of these words and approached every buy as though he were buying either a fraction of or an entire business. Still within what he calls his learning period of the mid-90s, he
held on to the basic ideas of buying a dollar for well under a dollar and looking for businesses that were within the circle of competence.
Looking for the upside without a downside.
After following such great investors as Warren Buffett, Charlie Munger and others\\u2014whose style of investing went against the grain of most mutual fund investors at that time who were rapidly turning over scores of stocks with little or no regard to the intrinsic value of the businesses themselves\\u2014Mohnish set up The Pabrai Fund in 1999.
Contrary to the perception of the entrepreneur as risk-taker, Mohnish is quick to point out that successful entrepreneurs try to minimize risk and instead look for a business with the lowest risk possible but one with the highest potential rewards\\u2014the upside without a downside. He mentions Richard Branson as someone who has managed spectacularly well in this regard.
Lunch with Warren
In 2007, Mohnish won the coveted bid to have lunch with Warren Buffett. During that time, Warren spoke about integrity and, in explaining his internal yardstick, he asked the question "Would you prefer to be the greatest lover in the world and known as the worst or would you prefer to be the worst lover in the world and known as the greatest?" He then said, "If you answer that correctly, then you have the right internal yardstick."
The takeaway for Mohnish from that lunch was that Warren highly values both integrity and truthfulness and looks to his inner scorecard in both investing and in life. Neither Charlie Munger nor Warren Buffett pays attention to what we would consider either acceptable investments or acceptable behavior.
Peter Kaufman\\u2019s 3 reasons for great success
Another of Mohnish\\u2019s influencers was Peter Kaufman who interviewed both Warren and his partner Charlie Munger for his book Poor Charlie\'s Almanack, in which he listed the three reasons for their success:

* The willingness to be patient. Charlie Munger said they don\'t make money when they buy stocks, and they don\'t make money when they sell stocks, they make money by being patient.
* Extreme decisiveness. You must be willing to bet heavily if the opportunity strikes.
* Having no concern about being different from the crowd.

The keys to great investing
Becoming rich takes certain deliberate actions, according to Mohnish. Point by point, he advises:
-begin early, in your 20s, if possible
-always spend less than you earn
-take advantage of tax laws, IRAs, 401ks, etc
-invest in low-cost index funds
\\u201cDollar-cost average that in throughout your life,\\u201d he says, \\u201cand even at very modest annual returns and very modest savings rates,'