Warren Buffett & Charlie Munger: Short Selling

Warren Buffett and Charlie Munger explain their reluctance to short stocks. From the 2001 Berkshire Hathaway annual meeting.

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[TheIcelandicInvestor]

You're gonna see a lot more of overvalued stocks than undervalued. Amen

[dgjFOURlife]

Shorting is a game ill watch, but never play

GME is a prime example

[InvestorCenter]

It’s always been interesting to me about how Buffett has been able to spot fraudulent companies early but never actually shorts the company

[ElliottM-ckwg]

RIP to Charlie Munger (just died 29/11/23 aged 99)

[knmfujiwara]

When you're as big as Berkshire - shorting is not worth the risks or the returns. It's a small to medium size game with huge risks.

[itoldyounottotouchit]

People should listen to these guys more. Especially Charlie Munger.

[harrisonwintergreen]

Shorting a stock is like betting on the exact minute the Titanic goes under. We all can see it's in trouble but that doesn't mean it's smart to bet on sinking at 12.00 vs 12.01

[diseasefire]

i guess bill ackman missed this meeting

[joshreddy]

If something says Warren Buffett, I watch it

[ravimalik]

Oh boy! When he started to describe the "Promoter or Crook" paradigm where CEOs would just peddle BS and lies to inflate the stock price, I couldn't help but think of Elon Musk

[andrerothweiler]

I never short because you mostly lose money and never use options because they are weird and difficult. I found an easy strategy to buy a great company when it dips. I do it for years and make between 15% - 40% y/y

[rareliquid]

Gamestop brought me here, Buffett made me stay

[lashlarue]

"The market can stay irrational longer than you can stay solvent." – Buffett

[mr.futurestrader]

Imo it’s for day trading. If a stock is on a downtrend over the daily and you wanna swing the downside just take an options trade. Set risk. Margin overnight fees on borrowed shares will eat you alive.

[CmpdKnwl]

@3:40 Hey this sounds like SPACs and Chamath

[ihavemasochism]

I'm sorry but this has to be what the old muppet characters are based off

[brunomatias]

It is tempting. The nature of securities markets leads you to think that more stocks are overvalued - with that, you might think it is easier to make money by shorting. It isn’t… the looses are disproportionately higher by being wrong shorting…
The basic principle is, you can run out if money faster than the promoter can run out of ideas. It is very painful.
It is easier to make money on the long-side.
Being wrong when you’re short is very unpleasant.
If you wanna be miserable, be short something who keeps going up.

[aladdinkayqubad]

Who’s the champ that runs this channel??? I wanna know about him!

[VastKnowledge]

Who else smashed the like button before watching?😌😌😌

[samiam]

Im surprised they did not also talk about the theoretical aspect of making profits from the decreasing value of a company, sector or market. It goes against everything Berkshire stands want to make money due to the growth/success of an is good for breeds more success!