Kevin O’Leary Charlie Munger: The Story of a Legendary Investor Duo and Their Debate on Crypto
There are few people in the investing world who are always remembered for their thinking, discipline and decision-making. Kevin O’Leary Charlie Munger’s name comes in this list. Kevin O’Leary, a popular investor on “Shark Tank”, always asked a question before making his investment decisions – “What would Charlie do?” This simple question became a guiding principle for him. Charlie Munger, who was Warren Buffett’s longtime business partner, was famous for his discipline, patience and cash-flow driven approach.
Kevin said in an interview that he was a big fan of Munger and followed his investing style closely. He said that as his investing career progressed, he thought of himself like Munger and sometimes he felt that his reflection in the mirror was also like Munger.
Kevin O’Leary & Charlie Munger’s Investment Philosophy
Kevin O’Leary gave Charlie Munger the role of a “bad cop” while calling Warren Buffett a “good cop”. Buffett, together with Munger, increased the stock value of Berkshire Hathaway by more than 5,500,000% from 1965 to the end of 2024, which is equivalent to a compounded annual gain of approximately 20%. The S&P 500 produced growth of only approximately 39,000% with dividends during this period, or around a 10% annual return.
Buffett gave Munger the nickname “Abominable No-Man” because he would not approve a deal unless it met his high standards. For Kevin O’Leary, this approach was a learning point – not every deal is attractive, and patience is essential for long-term success.
Kevin said that for Munger, investing was really meaningful only when the “return of investment” was secured. That is, first get your money back, then think about profit. He followed this discipline in his investing journey as well.
Kevin O’Leary & Charlie Munger and Crypto Differences
As much as Kevin O’Leary was a fan of Charlie Munger, they had a big disagreement – crypto. Charlie Munger never took cryptocurrency seriously. He called it a “scumball activity,” “store of delusion,” “open sewer,” and even “rat poison.”
But Kevin believed that this was one thing Munger was wrong about. O’Leary said, “The only thing that Charlie got wrong was crypto. It may prove to be true in the future, but so far it has created tremendous value.” Giving the example of Bitcoin, he said that its value has increased 10x in the last 5 years.
Kevin said that the “cowboy era” of crypto is now over. He made a reference to after Donald Trump’s second term when the President signed an executive order to create a strategic bitcoin reserve. For O’Leary, this was a signal that the crypto market is now maturing.
Kevin O’Leary Charlie Munger’s Bond and Legacy
Kevin O’Leary said Munger’s bond with Buffett was extraordinary. The two balanced each other perfectly – a strict, disciplined bad cop and a friendly, opportunity-seeking good cop. Together, they built an investment empire that has delivered stable growth for decades.
After Munger’s death in November 2023 at the age of 99, Kevin also speculated that this may have been the reason Buffett decided to retire from the CEO post. He said, “Without his bad cop, Buffett may now want to enjoy his life.”
Kevin’s respect for Munger extended beyond his investing philosophy – he saw him as a mentor who thought long-term before making every decision and never gave in to short-term temptations.
Conclusion
The story of Kevin O’Leary and Charlie Munger is not just about the partnership of two successful investors, but about a mindset – making investment decisions with discipline, patience, and standards. Kevin learned from Munger that every deal should be viewed through a clear lens and one should not put his capital at risk until solid cash flow and return on investment are achieved.
Yes, they had a difference of opinion on crypto, but that was just one aspect. In everything else, Kevin made Munger’s teachings the foundation of his career. Perhaps this is why he says – “What would Charlie do?” – because the guidance of a strong mentor becomes a compass for a lifetime.
Disclaimer:
This article is for informational purposes only. The views expressed in it are based on public statements of Kevin O’Leary and Charlie Munger. Crypto and stock market investments are risky, so consult your financial advisor before making any financial decision.
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