Charlie Munger says there isn’t the slightest chance Buffett traded own account to enrich himself

Key Points

• Charlie Munger’s Defense: Vice Chairman Charlie Munger of Berkshire Hathaway countered allegations that Warren Buffett engaged in front-running by personally trading stocks ahead of the conglomerate’s moves. Munger dismissed the notion, highlighting Buffett’s charitable contributions and the majority of his wealth being invested in Berkshire stock.
• Munger’s Confidence in Buffett’s Integrity: Munger expressed strong confidence in Warren Buffett’s integrity, stating that he doesn’t believe there is any chance Buffett would engage in actions that are “deeply evil” for personal gain. Munger emphasized Buffett’s prioritization of Berkshire’s interests over his own money, noting that Buffett has given away all his personal wealth.
• ProPublica Report and Buffett’s Personal Trades: The article mentions a ProPublica report from November 9, which claimed that Warren Buffett made personal stock trades on at least three occasions shortly before or in the same quarter that Berkshire made similar moves. The report, based on leaked IRS data, alleged that Buffett made over $466 million in personal stock sales between 2000 and 2019. However, Munger argued that this amount represents a small percentage of Buffett’s overall net worth, most of which is tied up in Berkshire Hathaway stock. The timing of these trades has not been independently confirmed by CNBC.