2022: Robinhood is an example of "overdoing" a good idea.
CHARLIE MUNGER: Well, it’s so easy to overdo a good idea.
That’s what’s going on now. You have a lot of good ideas that are being grossly overdone.
WARREN BUFFETT: Well, just tell me about one that hasn’t been, but tell me later, when the crowd isn’t listening. (Laughs)
It — I mean, that’s where —
CHARLIE MUNGER: But look what happened to Robinhood, from its peak to its trough.
Wasn’t that pretty obvious, that something like that was going to happen?
WARREN BUFFETT: Tell me again? What should —
CHARLIE MUNGER: Robinhood. Remember, it came out, and it went public, and —
WARREN BUFFETT: Oh.
CHARLIE MUNGER: — it lured everybody into all this short-term gambling, and big commissions, and hidden kickbacks, and so on and so on. It was disgusting.
WARREN BUFFETT: Yeah. And you said so last year, and they got mad at you, and they sold a bunch of their stock, and they’ve got the money, and —
CHARLIE MUNGER: Yeah, but now it’s unraveling. God is getting just.
WARREN BUFFETT: I love the insiders of great — no, but they’ve gotten a lot of money from it. I mean, they were big sellers, as I remember.
CHARLIE MUNGER: That may be —
WARREN BUFFETT: Yeah.
CHARLIE MUNGER: — but there’s been some justice.
WARREN BUFFETT: Well, I happen to agree with that. (Applause)
Whether it’s a good idea to go around making enemies of people, though, that — that’s another question, which we do.
Is it wise to criticize people at all?
CHARLIE MUNGER: Probably not, but I can’t help it.
WARREN BUFFETT: (Laughs) (Applause)
Well — and here’s the smartest guy I know, and he’s 98 and he hasn’t figured it out yet, so — (Laughter)
Give up. Enjoy it.
Well, with that we’ll go to lunch, and we’ll try to come back wiser at one o’clock.