What You Need to Know
- Warren Buffett's right-hand man also said that he wished cryptocurrencies didn’t exist.
Berkshire Hathaway Inc.’s Charlie Munger told a conference Friday that markets are wildly overvalued in places and that the current environment is “even crazier” than the dot-com boom of the late 1990s that subsequently led to a bust.
“I consider this era an even crazier era than the dot-com era,” Munger, 97, said at the Sohn conference in Sydney, The Australian Financial Review reported.
Munger also said that he wished cryptocurrencies didn’t exist, and praised China for taking action to ban their use, according to the AFR.
“I wish they’d never been invented,” he said. “And again I admire the Chinese, I think they made the correct decision, which was to simply ban them. In my country, English-speaking civilization has made the wrong decision, I just can’t stand participating in these insane booms, one way or another.”
The S&P 500 index has more than doubled since its pandemic lows of March last year, while Bitcoin is up over 1000%. Investors have poured almost $900 billion into equity funds in 2021 — exceeding the combined total from the past 19 years — according to data from Bank of America Corp. and EPFR Global.