Munger DJM Quotes

[RadMan24]

Ya'll see this yesterday? https://www.wsj.com/articles/charlie-munger-renews-robinhood-criticism-likens-app-to-racetrack-betting-11614284939?mod=searchresults_pos3&page=1

 

“I hate this luring of people into engaging in speculative orgies,” Mr. Munger told The Wall Street Journal from his Los Angeles home. Robinhood “may call it investing, but that’s all bullshit.”

 

He added, “It’s really just wild speculation, like casino gambling or racetrack betting. There’s a long history of destructive capitalism, these trading orgies whooped up by the people who profit from them.”

[Crip1]

 

I have always loved listening to Charlie talk. His style is less politically correct and more forthright and blunt. Normally I do not care for those with “a black belt in chutzpah” because, often times, that chutzpah is associated with arrogance. The difference is Charlie’s humility.

Choosing between him and Warren is the ice cream analogy: It’s all ice cream, so it’s all good…it just a matter of which flavor you like.

-Crip

 

 

P. S. The CEO of Robinhood countered Charlie’s statement about Robinhood referring to Charlie as “elitist”. I disagree with his assessment and, further, find it annoying when someone uses a “term of the day” to save face.

 

 

-Crip

[coc]

I’m quite sure the Robinhood people don’t know the difference between investment and gambling speculation, and don’t care. So of course Charlie sounds “elitist” to their ear.

[learner]

Does anyone know what Munger referring to in terms of inflated real estate sub-class?

“Well, it’s not easy to handle accumulated money in the current environment when these stocks are so high and partials of real estate of certain kinds are also very inflated.”

[Cigarbutt]

Does anyone know what Munger referring to in terms of inflated real estate sub-class?

“Well, it’s not easy to handle accumulated money in the current environment when these stocks are so high and partials of real estate of certain kinds are also very inflated.”

The answer would require reading his mind so this is only speculation. It doesn't appear that he prepares for bu**les to burst but seems to work under a framework that allows him to relatively benefit when they do.

On the quote above, he was asked a similar question in 2005 and he had answered that housing was likely expensive in 1-some geographic areas and in 2-some sectors, high-end etc

For historical reference (2005):

For interest, you can update this graph to now..

Interestingly, now (with accelerating trend in 2020), looking at housing price index to 1-income index, 2-rent index and 3-inflation index, there appears to be another similar period of disconnect (which may be justified?) and for which future trends cannot be predicted precisely. It should be noted that Mr. Munger became a long-term fan of Wells Fargo after the 1990 opportunity and personally bought more at pretty much the exact bottom in 2009. But he's not into bu**le prediction.

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Anecdotal addition

i think "partials" should be "parcels". i use more and more voice recognition software and it's a net positive from a productivity point of view. Maybe, the word "partials" was recognized by an individual (human) but it's possible that it's machine-learning related. When i produce official documents and when doing the final proof-read, a new phenomenon occurs related to this potential recognition problem. Recently (it was a different language but almost the same in English), i almost missed the following: instead of "instead of having six" there was "instead of having sex". Artificial intelligence comes with its own set of challenges and that's before even trying to guess what the person means to say.