Legendary investor and Berkshire Hathaway vice-chairman Charlie Munger emphasized the importance of staying calm during market volatility, calling downturns “opportunities for long-term wealth building.”
Market Volatility Is Normal, Says Charlie Munger
In the wake of sharp market swings following President Donald Trump’s tariff announcements, Munger reminded investors that large price fluctuations are a normal part of the stock market.
“I think it’s in the nature of long-term shareholding that the normal vicissitudes in markets means that the long-term holder has the quoted value of his stocks go down by, say, 50%,” Munger told a BBC interviewer in 2009.
Investors Who Panic Risk Mediocre Returns
He stressed that those who panic during downturns are likely to earn subpar returns.
“If you’re not willing to keep your chin up during the occasional rout, you’re not fit to be a common shareholder, and …