Warren Buffett's right-hand man flags a 'speculative frenzy' in the stock market and bemoans the lack of bargains in a new shareholder letter
- Warren Buffett's longtime business partner called out a "speculative frenzy" in the stock market.
Charlie Mungertold Daily Journalstockholders that their shares were unlikely to rise much further.
Berkshire Hathawayvice chairman also bemoaned the lack of bargains in the market.
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Warren Buffett's right-hand man flagged a "speculative frenzy" in the stock market and signaled that he doesn't expect share prices to climb much higher.
Charlie Munger, the vice chairman of Buffett's Berkshire Hathaway conglomerate, is also the chairman of Daily Journal Corporation, a newspaper publisher and software developer.
Daily Journal's stock price hit a record high of $404 on December 31. It had surged by roughly 50% in the previous four weeks.
"This price was reached amid much speculative frenzy and much forced buying by index funds," Munger said in his letter to Daily Journal shareholders this month.
The 97-year-old investor also touched on Daily Journal's stock portfolio, which counts
"Shareholders should not expect any significant appreciation above that level anytime soon," he said.
Moreover, Munger highlighted the difficulty of finding bargains in the market. Daily Journal's "trove of liquid wealth" - its cash and
Munger's letter echoed his comments in a virtual interview last month. The investor had also spoken of a "frenzy" in stocks and described technology companies such as Apple securing trillion-dollar market capitalizations as "the most dramatic thing that's almost ever happened in the entire world history of
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