Billionaire investors Warren Buffett and his right-hand man, Charlie Munger, are both famously risk averse. That's why Munger, who serves as the vice chairman of Buffett's Berkshire Hathaway holding company, says someone like Tesla CEO Elon Musk would not be his ideal hire.

Munger, who reportedly has a net worth of $1.7 billion, took a light-hearted shot at fellow billionaire Musk while answering questions last week at the annual meeting of the newspaper publishing company Daily Journal Corp, as the Observer pointed out. A shareholder of the company asked Munger, who serves as chairman, about his long-held maxim that he would rather work with someone who has a 130 IQ, but thinks it's 120, as opposed to someone with an IQ of 150 who thinks their IQ is 170.

"You must be thinking about Elon Musk," Munger responded, prompting laughs from the shareholders in attendance.

Munger went on to explain that he prefers to hire people who don't often overestimate their own abilities, because overestimation can lead to big results, but it often creates more risk than reward.