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Buffett Money Moves That Were Highly Criticized highlight that even Warren Buffett, heralded as history’s premier value investor, isn’t immune to missteps. Known for discerning undervalued stocks, he transformed his Berkshire Hathaway firm into a $1.1 trillion empire, with a personal fortune nearing $153 billion. Despite his ranking as the fifth richest person, behind icons like Elon Musk and Jeff Bezos, his career, though illustrious, has faced strong rebuke for several decisions.
As Warren Buffett anticipates his retirement by the end of 2025, it’s instructive to explore his mistakes along with his monumental successes. Within his celebrated career, even “The Oracle of Omaha” experienced criticized money moves and investment blunders, including infamous business failures and noteworthy leadership scandals.
Misjudging Crisis-Linked Companies
In 1987, Buffett’s investment of $700 million in Salomon Brothers resulted in loss as the firm faced a $70 million write-down from faulty bond trading, reminiscent of the 2008 market crash. As reported by the New York Times, this triggered a massive market upheaval diminishing Buffett’s stake significantly.
Goldman Sachs Controversy
Amid the 2008 economic downturn, Buffett’s $5 billion investment in Goldman Sachs, as documented by the firm’s site, received mixed reactions. While financially prosperous, Berkshire reaped $3.7 billion; his defense of the bank’s controversial practices drew sharp criticism from outlets such as NPR.
Early Tech Exclusions
Buffett also noted missed opportunities in technology. CNBC revealed in 2017 that he regretted not investing early in Amazon and Google, acknowledging his erroneous underestimation of their potential, despite understanding Google’s advertising model, which involved his subsidiaries.
Caitlyn Moorhead contributed additional insights.
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