Retail-investor brokerage firm and app Robinhood hit back against statements by billionaire investors Warren Buffet and Charlie Munger of Berkshire Hathaway after they likened retail investors to gamblers and accused Robinhood of promoting a casino-like atmosphere.
At a Berkshire Hathaway Inc’s annual meeting, Buffett said Robinhood has attracted, “maybe set out to attract,” a large number of people who are just gambling on short-term price movements in stocks.
“If the last year has taught us anything, it is that people are tired of the Warren Buffetts and Charlie Mungers of the world acting like they are the only oracles of investing,” said a blog post on Robinhood’s website by its Head of Public Policy Communications Jacqueline Ortiz Ramsay published on Monday.
“And at Robinhood, we’re not going to sit back while they disparage everyday people for taking control of their financial lives.”
At the meeting, Buffett said: “There is nothing illegal to it, there’s nothing immoral, but I don’t think you build a society around people doing it,” he said.
Charlie Munger, Buffett’s business partner, was harsher.
“It’s just god-awful that something like that would draw investment from civilized man and decent citizens,” he said. “It’s deeply wrong. We don’t want to make our money selling things that are bad for people.”
Munger: Bitcoin contrary to the interests of civilization
The two legendary investors also took shots at Bitcoin. “Of course I hate the bitcoin success”, said Munger. “I don’t welcome a currency that’s so useful to kidnappers and extortionists and so forth, nor do I like just shuffling out of your extra billions of billions of dollars to somebody who just invented a new financial product out of thin air.”
Warren Buffett declined to comment on Bitcoin, saying he didn’t want to get attacked by those who are invested in it.