You used examples of Lee Kuan Yews good judgment in choosing someone with brains over certain physical attributes in your past interview. They just copied Adam Smith and left out the free speech and it worked fine for them. Charlie Munger: I dont have any wonderful new thoughts. You are going to be flabbergasted. Of course, that will still work. Its like evolution in biology. Question: Mr. Munger is a champion of Chinese stocks. And when things get as crazy as they were in the event youre talking about, there are threats of clearinghouse failure. Berkshires Performance vs. the S&P 500 The second proposal is to ratify the appointment of our certified public accountant: Baker Tilly US, LLP. Question: Is the oil and gas industry the new newspapers? I dont think its like the newspaper business. Question: It is estimated that the Gates Foundation has saved well over 100 million lives. I dont think Ive got any great insight about hydrogen. Practically everybody does that. Its not generally noticed by the public but clearinghouses clear all these trades. Everyone knows this isnt a small cap Berkshire Hathaway. That was a big error in judgment. Any tips for someone who wants to work on and improve their ability to hold two opposing views at the same time? They wouldnt be a lot happier if they were richer or a lot less happy if theyd been poor. Source: FactSet, Indexes: Index quotes may be real-time or delayed as per exchange requirements; refer to time stamps for information on any delays. The Daily Journal shareholders will have to take whatever outcome comes from caring more about our customers than is at all common. Question: Do you believe the market is going through a long-term value slump similar to 1999, or do you believe technology has caused a permanent change in how companies should be valued? You dont need to worry about them. Charlie Munger: Well, you know, I had a failed marriage, so I dont think Im in the perfect position to advise the young about marriage. He was fun to be with because he was always jumping out of airplanes and parachutes and running marathons and so on, doing all kinds of things I would never consider doing. I think were into a lot less travel and a lot more Zooming. Can you provide similar insight regarding the future at the Daily Journal and would you consider implementing policies like those at Berkshire so shareholders can get to know the up-and-coming leaders in the organization? WebThe U.S. economy is strong. %PDF-1.5 How are they similar or different? I think that shareholders should be more sensible and not crowd into stocks and buy them just because theyre going up and they like to gamble. So far the evidence would be that maybe the monetary modern monetary theory is right. Question: Your advice given on choosing a good spouse in Poor Charlies Almanac is terse. Remember the Dot Com boom when every little building in Silicon Valley ran into a huge price and a few months later about a third of them were vacant. If you have unrealistic expectations, youre going to be miserable all your life. He knew everybody and everything. We were trying to save the whole economy under terrible conditions. 2021 Shareholders Do you agree with the premise and if so how would you address inequality? Daily Journal Corp : Submission of Matters to a Vote of Security Holders (form 8-K) AQ. I think its much easier to find five than it is to find a hundred. If we could make the world richer by just raising the minimum wage to $100,000 a second or something, of course we would do it but. He said it was the pursuit of the uneatable by the unspeakable. That recognized reality and worked way better than what other people were doing. It was an accident. Put me down as skeptical. By accepting all cookies, you agree to our use of cookies to deliver and maintain our services and site, improve the quality of Reddit, personalize Reddit content and advertising, and measure the effectiveness of advertising. And, I think that could happen, but, of course, thats not a sure thing. He was old as I am. Generally, what people do is they have financial reserves so they have some options if trouble comes, and they adapt the way Gerry has to require downsizings or require upsizings. Its just that some people look for values in strong companies and some look for values in weak companies. Question: Ben Franklin said: Were it offered to my choice, I should have no objection to a repetition of the same life from its beginning, only asking the advantages authors have in a second edition, to correct some faults of the first. But the accountants are duly elected. Question: Eugene Abegg seems like he was one of the best bankers of the last century, achieving both extremely low loan loss rates and earning around 2% on assets over a long time period. Question: With all the work from home with Zoom and other technology, what do you think the future of commercial real estate looks like? The case, filed in February, challenges a plan to convert APEs, AMCs preferred shares, into common stock. Give me a new question. Charlie Munger Speaks at the Daily Journals Annual Shareholders Meeting Interview of Charlie Munger by CNBCs Becky Quick, who selected and read a pair of questions from me. But, a very wise man said on an earlier occasion: The trouble with banking is that we have more banks than we have bankers. The death tax in China is zero. So, to some extent, everybody buying medical services in Singapore is paying for it themselves. GE released its 2021 Annual Report today. On the other hand, as you say, I didnt get rich by buying stocks at high price-earnings multiples in the midst of crazy speculative booms. Theres an old German proverb Ive always liked. Question: In 1999, the year the Daily Journal bought Sustain Technologies, the traditional business employed 355 full-time employees and 61 part-time employees. Charlie Munger: I think Im alive because of a lucky genetic accident. Creating 360 value. What happens is that every human being tends to believe way more than he should in what hes worked hard to find out or where hes announced publicly that he already believes. February 11, 2022. And thats the right way to do it. One of the interesting things about the Daily Journal is that we made all that money in the foreclosure boom. You can imagine its in a wonderful position and that excited the people in China which has its share of crazy speculators. Im pretty easy on myself these days. Commission-free trading is not free. Question: Why, almost two years ago, did you believe that Costco was the only U.S. stock worth buying? Charlie Munger: Well, he was one of my closest friends for many decades.