Did Charlie Munger's stance on tech stocks significantly shift post-pandemic? How did he address this in his speeches?

Charlie Munger's Stance on Tech Stocks: Any Major Shift Post-Pandemic?

Hey there! As a devoted fan of Munger and Buffett, I love digging into their investment philosophies. Your question is intriguing because the old man Munger has always been a staunch advocate of value investing and maintains a conservative view toward tech stocks. Let’s break it down step by step—I’ll keep it plain and straightforward.

First, His Traditional View

Over decades of partnership with Buffett, their investment mantra has been: "Buy what you understand, and avoid overvalued stocks." Tech stocks? To them, these often resemble gambling—sky-high valuations and massive future uncertainties. Pre-pandemic, they largely steered clear of most tech stocks, except for Apple, where they made a massive bet. Why? Apple’s brand and cash flow felt reliable, making it seem more like a consumer goods company than a tech firm.

Any Shift Post-Pandemic?

From what I’ve gathered through speeches and shareholder meeting notes, Munger’s stance hasn’t shifted materially. He remains that old-school value investor—no sudden tech evangelist here. During the pandemic, tech stocks soared (think Zoom, Amazon), but Munger didn’t dive in headfirst. At the 2021 and 2022 Daily Journal meetings (where he serves as chairman), he addressed this repeatedly.

Specifically:

He admits to missing opportunities: Like Alphabet (Google). Munger once said they had a chance to invest early but passed because they didn’t grasp the search engine’s "moat." Looking back, he has no regrets—"We only invest within our circle of competence." Post-pandemic, he sticks to this tune. No "oops, time to chase tech" moment.
On tech stocks: When asked if accelerated tech adoption during the pandemic would push them toward tech investments, Munger responded roughly: "Tech matters, but investing isn’t gambling. At Berkshire, we still insist on buying companies with moats and reasonable valuations. The pandemic didn’t change our principles." He even quipped that many tech stocks are like "slot machines in a casino"—addictive but unfit for long-term holding.
Actions: Post-pandemic, Berkshire did increase its Apple stake (now its largest holding) but avoided aggressively entering other tech stocks. Munger stressed this was because they understand Apple’s business model, not because the pandemic forced their hand.

Why No Major Change?

Munger, nearing 100, bases his philosophy on decades of experience: avoid speculation, focus on value. The pandemic showed him tech’s power (e.g., remote work), but he believes that doesn’t justify chasing overhyped stocks. Instead, he grew more wary of tech bubbles—when tech stocks crashed in 2022, he remarked, "It’s about time."

In short, if you ask me, Munger’s stance is "refined but not transformed." He acknowledges tech’s role but won’t abandon value investing’s core. For deeper insights, I’d recommend his book Poor Charlie’s Almanack or his YouTube speeches—down-to-earth and packed with wisdom.

Got more questions? Fire away!