The annual fiesta of capitalism that is the Berkshire Hathaway Inc. shareholder meeting returned over the weekend in Omaha, Nebraska, after a three-year absence due to the COVID-19 pandemic.
Warren Buffett, Berkshire's chairman and CEO, and Charlie Munger, its vice chairman, used the platform on Saturday to answer questions about the company and investing, and to comment on the fervent speculation that is permeating the market. The two took aim at Bitcoin and Wall Street in general, meaning the traders, firms, bankers and financial advisers that comprise the capital markets.
The following quotes are taken from videos of the event posted on CNBC.com and YouTube.
“The money is in churning stocks,” Buffett said.
Long-term investors would have been fine if they had bought and held shares of Berkshire Hathaway back in the 1960s, he said. “But your broker would have starved to death. Wall Street makes money, one way or another, catching the crumbs that fall off the table of capitalism.”
Wall Street, which ranges from bankers to firms to financial advisers, “makes a lot more money when people are gambling than investing,” Buffett said.
"We have computers with algorithms trading against other computers," Munger said. "We’ve got people who know nothing about stocks being advised by stockbrokers who know even less."
"I got some advice for you, too," Munger said. "When you have your own retirement account, and your friendly adviser says put all your money into Bitcoin, just say no."
Shorter waits for failed SIE and Series 7 candidates take effect Jan. 19, speeding the path to registration
Raymond James and Cetera also welcomed advisors from UBS and LPL as competition for experienced teams stays fierce
Jim Walesa worked in the securities industry for 39 years before leaving in 2021.
As the market turned from pricing in cuts to betting on hikes this year, the developing reality of a K-shaped economy has had real implications for households and investors alike.
Alleged cash payments, stolen client data, and a court that jumped the gun
Knighthead Life entered the market with a competitive MYGA. A strong launch earned advisor confidence and paved the way for FIAs.
As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor
