hasilp89

As in Prem needs a Charlie?

I think that is accurate. I believe he’s just trying to be transparent and fair about it. Let his long term partners/investors know that he’s not trying to take advantage of them - “ it’s worth more than what it trades for” “ now may not be the time to sell.” Pretty sure I’ve read him talk about buybacks and considering the partners you are buying back from - or I’m just making it up. Eg If there were just 10 investors/partners he wouldn’t try and buyback shares on the cheap from one of them them if they were either down and out or if prices were advantageous to him.

Did anyone catch where he mentioned his strategy of writing LT covered calls? Any insight on that? Thought I read something on the board discussing it once. Have been burnt a few times doing this on great names that end up running way past the breakeven price but assume he’s got a better strategy than me.

I am not saying inflation won't happen, I am just saying it doesn't take high IQ to think money printing == hyperinflation. On the other hand, understanding why Japan is printing money like zimbabawe and is still experiencing deflation takes superhuman effort. Well said.

Thank you!, “ And what did the Chinese communists do with respect to death taxes? The death tax in China is zero. That’s what the communists are doing. I think they’re probably right, by the way.”

Interesting observing the age differences there. The young feel invincible, the old not so much?

one thought on his relative quietness compared to the great deals he got during GFC. He probably wouldn’t want to appear as taking advantage of other people’s misfortunes during this time. During GFC he was taking advantage of people’s stupidity which I’d assume he’s morally fine with. Based on his own test I don’t think he’d want the headline “Buffett takes advantage of pandemic stricken economy” out there. This along with our government backstopping everyone. While I agree price movement has been quick and there is still a great deal of uncertainty I don’t fully buy the argument that things aren’t that cheap yet. Yes near term earnings will be down but well capitalized banks trading below book value seems to be just one example of businesses trading below LT intrinsic value.

Thank you all. Makes sense and very simple to understand, like most things Berkshire.

Can someone walk me through how Berkshire’s Insurance businesses have been allowed/able to invest float in equities. My understanding was that insurance float needed to be invested in extremely safe, low risk, liquid investments in the case of insurance losses. At least that is what all other insurers do.