What Every Real Estate Investor Needs to Know About Cash Flow... And 36 Other Key Financial Measures, Updated Edition Paperback – November 18, 2015 by Frank Gallinelli (Author)
If you watched/read the AGM (or read the thread where I quoted this), you knew about Munger saying "Greg will keep the culture" followed by silence and no comment from Buffett.
Well, today it's official.
https://www.wsj.com/articles/berkshire-chooses-greg-abel-as-warren-buffetts-successor-in-ceo-role-11620054866
Earlier Buffett mentioned BRK has ~10-15% excess cash above what it'd like to have in terms of investing. He also mentioned it's only about 10% the asset value of BRK, so holding that much cash (liking the other 90% of BRK) doesn't bother him that much.
Also earlier Buffett mentioned the rate-limiting step for BHE investment in power generation is transmission (limited by local factors, building through other people's land, etc). And that he'd like to reinvest more there.
Buffett: "If the government took a higher share of my inheritance, I don't think it would bother me..."
Munger (cutting Buffett off): "I guarantee it wouldn't bother you."
13:30 - 13:45: Introductions, goes over summary figures, again reiterates operating earnings matter and ignore capricious swings in unrealized gains.
Says a "maybe not unexpected" surprise will follow soon... Could it be a dividend?
Calpers doesn't really have skin in the game here[1]. ISS's recommendation could have a more-then-modest effect[2].
[1] https://www.sec.gov/Archives/edgar/data/919079/000156761921001941/xslForm13F_X01/form13fInfoTable.xml
[2] https://corpgov.law.harvard.edu/2018/06/14/the-big-thumb-on-the-scale-an-overview-of-the-proxy-advisory-industry/
I'll add that in normal times, globally systemically important banks have higher capital requirements which reduce ROE. Ultimately ROCE looks a little better when GSIBs issue preferred stock.