73 Reds

Having followed Buffett for more than 45 years he is nothing if not modest. If someone suggests that their investment competency exceeds Buffett, they should probably ask themselves why Buffett likely makes more money every morning he gets out of bed than they make in a lifetime.

@TwoCitiesCapital I think Buffett has fully addressed the reason why he didn't invest in MSFT - it had nothing to do with a mistake and everything to do with his close association with Bill Gates and the appearance of impropriety. Also, (not personal to you) anyone who suggests that any investment is not within Buffett's competence is very short-sighted. Crypto, like other investments on which Buffett/Munger took a pass does not possess the qualities and characteristics of anything they would be interested in acquiring. Have they ever made mistakes of omission? Of course, but MSFT and Crypto are not among them.

Umbrella insurance coverage is indeed a cost-effective way to protect yourself but equally important is proper planning - particularly if you are engaged in business with entities such as LLCs. For optimal protection maintain a separate LLC for each business venture and even separate real estate holdings. All it takes is one lawsuit to recognize how important this can be.

+1 Curious - to me anyway - why so many folks like to play a game which is largely stacked against you in favor of pure passive investing, particularly if you value your time, and one in which Mr. Market ultimately decides whether you win or lose. On the one hand you seek the independence of decision-making but on the other hand you put your complete faith in others, who manage the companies (or bets) in which you invest. Personally the process, as opposed to the proceeds is only rewarding when I fully direct both through controlling ownership.

That is up to everyone who plays the game. Personally, I don't play because I'm better at making reliable money in other ways.

I dunno, every speculative bubble that I can recall has been fully recognizable by those who really care to well before the bubble bursts. Many folks are willing participants simply because it is often easier to profit from temporary human behavior than it is to make money any other way. The fact that the last remaining greater fools lose most or everything does not in any way diminish the profits from a nice momentum ride by those who are less foolish.

Not so sure that a menthol ban would not have been a plus in bolstering sales of NGPs (heads I win, tails you lose).

Yeah, the tobacco companies are a lot like Trump; you throw everything at them and they keep coming back stronger.

Or he can look at some of the Big Tobacco companies for dividends. The dividend is all but recession-proof and certainly beats cash.

@Blake What do companies like AAPL, BRK, and even Fairfax have in common? Answer is optionality. My own investment thesis for each is highly dependent on what they haven't yet acquired or generated. You are buying incredible brainpower that is nearly unlimited in what it may yet come up with. How many companies possess this incredibly valuable variable that cannot be quantified in any valuation metric?

As much as ZIRP was a complete absurdity, older savers had other options. Some simply chose not to use them. Ignorance or a refusal to try to better your own situation is really not a valid excuse. No one forces anyone to make bad choices. When folks choose to remain in fixed income, it is a cognizant choice they make not to grow their nest egg. Why should anyone feel sorry for that? Not to sound harsh but there was no shortage of worthwhile investment and financial information available to anyone who wants it.

Bad for who? Precisely what are you complaining about? In my lifetime I've never seen so much opportunity for so many. Where is it written that everyone should be able to afford a home and pretty much everything else they want? There is a job for anyone who wants one, educational opportunities for just about any field or interest, and the average standard of living today is incomparable to just one generation ago; trust me, I lived it. My advice: Stop complaining and go do something productive.

North Florida got some snow too. Global warming is taking a break this winter, LOL.

@Luke, You're fighting a losing battle. After having spent considerable time learning about Crypto, it is easy to congratulate those who have made money on their bets and just as easy to ignore it. Speaking of bets, I turned $1k into nearly $30k at the craps table over the weekend but like BTC, would not recommend dice to others.

John, it still looks like a taxable account. What am I missing? Do they tax you even more when you withdraw the funds?

Yeah, what is tax deferred about a 42% annual tax above a relatively small amount of yearly gains? I'd hate to know what a taxable account looks like.

2021. Thanks almost entirely to Viking.

Can you imagine what they are working on for the future? That's part of what you get. PEs and earnings growth only tell a story of the immediate past.

I quit my last paying job a week after my first child was born. Not exactly good advice for everyone but in hindsight was one of the best decisions I've ever made. Decided life was too short to be on someone else's schedule. Not to suggest I did it solely to be available to help with kids - we were fortunate to have live-in help - but growing up my kids always knew that I could - and would be there for them at any time.

@Junior R, LOL on the one hand your post just described the American dream. On the other hand many people are unhappy or at least dissatisfied at work. I was the latter - dissatisfied (and bored) so the decision to leave many years ago was more about wanting to wake up each day with a purpose. If one is able to find something that is both socially and financially rewarding at the same time, you've hit pay dirt. My last day as a W-2 employee was the last day I ever "worked".

@nsx5200 Curious, where would you have have all the generational wealth go? If you want to confiscate it, or effectively confiscate it in the form of ever-higher taxes, why would you trust government to effectively allocate it better than the person that created it?

Yeah, when is the last time Buffett "got the call"? Those days are largely long over. Hopefully T&T are a little more aggressive when it comes to finding suitable acquisition candidates. The culture need not be degraded by pursuing more and waiting less. There is nothing wrong with competing with and bidding against others for acquisitions; each of Berkshire's operating companies competes for business against competitors every day.

Mostly agree but I think BRK has a better chance at outperformance because Ted and Todd will be in the forefront and looking for and needing a reason to shine. Buffett's "circle of competence" may no longer be a constraint on a large portion of Berkshire's investible capital. With much larger sums to invest, T&T may look to areas and/or regions for investment that don't necessarily make as much sense with smaller amounts to allocate. My hunch is even while Buffett is still in charge they are doing a lot of prep work anticipating the day when they assume control of that much more investment capital.

Is there any significance to the last 52 weeks? Not sure how pigeon-holing the last year's price movement is in any way helpful in selecting stocks. Why not also look for quality companies near their 52 week (or all-time) highs? Anything wrong with Viking's favorite company? The reality is every day when you wake up it is a potentially great day to have money to allocate. There is always something worth considering, no matter where we are in any particular macro or micro cycle.

IDK, to me the booze stocks are starting to look interesting. Never owned (or even considered owning them) but I don't buy any "trend" that suggests that people are forever going to drink substantially less than before. Sure young people may like weed, but no one sells or consumes weed in mainstream establishments and booze doesn't affect anyone but the person consuming it. Tobacco companies were left all for dead when the surgeon general finally figured out that smoking was harmful but last I checked companies like PM, BTI and even MO are doing just fine.