hasilp89

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.