Charlie Munger’s family confirmed to Berkshire Hathaway (BRK.A) -), at which he had served as Warren Buffett’s top advisor for nearly half a century, that the legendary investor passed away on the morning of Nov. 28th, 2023, at 99 years of age.
At the time of his death, Munger was also a real estate lawyer, a member of Costco’s board of directors, a talented (albeit unlicensed) architect, and an avid philanthropist, having donated tens of millions to the University of Michigan and other educational institutions, sometimes with the caveat that they follow his architectural blueprints in constructing the buildings his donations funded.
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Much like the “Oracle of Omaha” with whom he worked so closely for so long, Munger was a value investor with an eye for strong companies trading at low valuations, and together, he and Buffett spent decades cherry-picking strong businesses with long-term growth prospects while other players in the market succumbed to the “lollapalooza effect,” a term Munger coined to refer to multiple mental biases working in tandem (or in concert, if you prefer) to influence investor behavior irrationally.
Buffett credits Munger with helping shift Berkshire’s approach away from buying struggling, cheap businesses and toward buying extremely strong businesses whose fair or relatively low prices made them solid long-term bets. He thought very highly of Munger on a personal level as well, telling CNBC: “He’s made me a better person than I would have otherwise been ... I’ve lived a better life because of Charlie,” in a 2018 interview.
What was Charlie Munger’s net worth at the time of his death?
On Nov. 28, 2023, the day Munger passed, “Forbes” estimated his net worth at approximately $2.6 billion. Warren Buffett’s net worth was estimated at $119.5 billion that same day. Berkshire Hathaway, the holding company the two spent nearly 50 years growing together, had a market capitalization of $784.94 billion, making it the 9th-highest-valued public company in the world.
How much Berkshire Hathaway stock did Munger hold at the time of his death?
Most of Munger’s net worth at the time of his passing was in the form of Berkshire Hathaway Class A stock, of which he owned 4,033 shares as of Oct. 5, 2023. At $546,869, the company’s share price on the day of his passing, his 4,033 shares would be worth over $2.2 billion.
Munger’s net worth would have been much higher, however, had it not been for his extensive philanthropy. In fact, he’s given away the vast majority of his shares over the course of his career. In 1996, Munger owned 18,829 shares, which would be worth almost $10.3 billion now. That is the earliest year for which his stock ownership disclosures are available, but many think it’s likely he owned far more shares earlier in his career.
Munger’s legacy at Berkshire Hathaway
Even though they both worked at Buffett’s grandfather’s grocery store in Omaha as kids, Munger didn’t meet Buffett until 1959 and didn’t become vice chair of Berkshire until almost 20 years later. Before working for Berkshire, Munger was the Chair of Wesco Financial, a firm that began as a savings and loan institution but grew into an investment company with a large portfolio of blue-chip companies Munger knew inside and out, including Goldman Sachs, Coca-Cola, US Bank, Kraft, P&G, and other market mainstays.
Berkshire slowly acquired Wesco, taking full ownership of the company in 2011 when it purchased the remaining 20% that had not already been integrated into its portfolio. During their decades of partnership, Munger and Buffett counseled each other constantly, and according to Buffett, the two thought so much alike “that it’s spooky.” In the rare event that the two would disagree, Buffett said Munger’s retort would frequently be, “Warren, think it over and you’ll agree with me because you’re smart and I’m right.”
Related: Why Berkshire's Charlie Munger says investing is 'like a poker game'
To the public (and probably to Buffett himself), Munger seemed more like co-CEO than vice-chair. In Berkshire’s earnings calls and annual shareholder meetings, Munger served as emcee alongside Buffett, answering investors’ questions for hours on end, although he had a reputation for being notably less verbose than his business partner, famously stating, "I have nothing to add” on numerous occasions when asked to garnish one of Buffett’s opinions with his own take.
When he did speak, however, Munger delivered sharp and memorable commentary. Decrying the “fear of missing out” (FOMO) mentality so many investors fall into, Munger stated, “It takes character to sit with all that cash and to do nothing. I didn't get to where I am by going after mediocre opportunities.” Many of his most cherished speeches and pieces of investment advice were eventually enshrined into a book titled “Poor Charlie’s Almanack: The Wit and Wisdom of Charles T. Munger,” a reference to “Poor Richard's Almanack,” the periodical of Benjamin Franklin, whom Munger revered.
It’s unclear what the future holds for Berkshire Hathaway, or who might take Munger’s place as vice chair, but the Robin to Buffett’s Batman will certainly be missed by his colleagues, not least of all the company’s CEO and Munger’s very close friend and confidant, Warren Buffett himself.
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