This is not the first time that Buffett has expressed his support for the troubled ratings agency. Previously, at the annual
(BRK.A - Get Report)
shareholders meeting in Nebraska, the oracle of Omaha had sung the firm's praises.
In recent weeks Buffett has also offered his support for
(GS - Get Report)
. Like Moody's, Goldman has been the recipient of plenty of criticism stemming from its actions leading up to and in response to the global economic meltdown. The reigning king of Wall Street was even slapped with fraud charges courtesy of the Securities Exchange Commission for its involvement in the subprime mortgage crisis.
Buffett has also drawn scrutiny recently for his hypocritical stance on derivatives. Although he has been quoted as saying that these instruments were financial weapons of mass destruction, he is also known to manage a multi-billion dollar derivative portfolio.
Buffett is no saint. As highlighted in a
interview after his appearance in front of the FCIC, sometimes he is forced to make unpopular decisions in his quest to turn a profit. For instance, the investor explained that, although he knows that smoking can kill you, it has not stopped him from owning cigarette bonds.
Over the years, countless Buffett watchers have been drawn to this financier not only for his investing prowess but also his warm, grandfatherly image and down-home humor. It is important, however, not to be disillusioned by this façade. Ultimately, Buffett is a businessman looking to make money.
In recent weeks, Buffett's less popular business decisions have been highlighted. Has your view of the investor been altered as a result? Feel free to leave a comment below.
-- Written by Don Dion in Williamstown, Mass.