So it seems Charlie Munger ( Warren Buffet's longtime business partner) dislikes the Robinhood and compares it to the mindset of racetrack bettors. Should those of us who enjoy gambling at the track be insulted?
“No one should believe Robinhood trades are free,” Munger, 97, said. “The frenzy is fed by people who are getting commissions and other revenues out of this new bunch of gamblers.”
He added that the app has created “a culture which encourages as much gambling in stocks by people who have the mindset of racetrack bettors. ... It’s a dirty way of making money.”
A statement Thursday from a Robinhood spokesman took sharp exception to the remarks.
“In one fell swoop an entire new generation of investors has been criticized and this commentary overlooks the cultural shift that is taking place in our nation today,” the statement said. “Robinhood was created to allow people who don’t have access to generational wealth or the resources that come with it to begin investing in the U.S. stock market. To suggest that new investors have a ‘mindset of racetrack bettors’ is disappointing and elitist.”
