bookie71

Roger, Thanks for posting. Good article. chuck

Don't forget Munger's "turds and raisins ..."

Does he know how to do a friendly takeover? Seems like his ore always on the hostile side or similar to the "green mail" days. just a thought

What is your occupation? Find some companies in your occupation area and get their annual reports and 10-K's. I like to get the printed copy of the annual reports as they give you an impression of how frugal the companies are. If you can find them get ahold of some of the early Berksire reports, the letters are available on the BRK site, but it helps to have the reports to read and see what he is talking about. ditto WSC I would also suggest you read books of other types of investing, just so you know what others are thinking. I agree that smaller companies are better and easier to understand. Google "annual reports" and order all of an industry you are interested in. https://www.orderannualreports.com/sector/Default.asp?mkt_code=GOOGN20203&s_kwcid=TC|13088|annual%20reports||S||5307958450 is a place to start.

Here is a cute version of Handels Messiah from a small group way way up N\north - enjoy

The real question is how to protect yourself from the fall out??????

BUT, he has shown that when he hits a homerun, he gives a single to his partners.

BUT they might have to give up the new boat, car or other toy. Uncle Sugar will take care of us. ;)

Dropbox works great. According to the technology class I went to, it is secure and guarded (and I think (?) it utilizes the Amazon servers).

My two Black Labs at the side of my desk said that they resent that and if you come around they will lick you! ;D :D :-X ::)

I think it indicates how competitive he is.

Unfortunately, FBAK shareholders don't sell stupidly. It's one of those super consistent businesses with a steady shareholder base; great once you get in, but tough to find an entry. As long as you are patient, shares trade every day on Schwab, but put a limit on it or you will buy too high, and stick to limit as sometimes only one or two share will trade and other times 1-200. As this is an 1850-1950 per share, it doesn't take long to build a position. Back in the 70's and 80's sometimes it wouldn't trade for weeks, but it has had 2 two for one splits and a couple of the larger shareholder's estates had to liquidate.two

I always attend the First National Bank of Alaska meeting in Anchorage in late March. The Chairman of the board i Dan Cuddy and owns about 12-24% of the stock. He is extremely sharp and knowledgeable and has a personality very similar to Mr. Munger. He was complaining that he couldn't deduct the increase to the reserves that he made right before the crash. Said the gov't should encourage building up the reserves. He also is very vocal on banks getting int non banking businesses.

Another good one to look at is Alaska Pacific Bank (AKPB) especially if you can get a copy of the annual report 3-4 years ago before it tanked. They did great as long as they stayed in Alaska but then they had excess cash and invested in a bunch of debt "outside" (lower 48 states for non Alaskans). Had to take huge write offs and only just got their reserves to where they should be (maybe). This was one of the mutual banks that went public. For the first couple of years you could have bought it at about 10 and it had a net book value of over 26 per share. Luckily I got out at 25 (thought I was selling 50% of shares and accidentally sold all, which says the old adage, It's better to be lucky than to be smart can be true. It was one of the banks that had to take TARP funds and to date hasn't paid them back.

A good local bank (statewide) is First National Bank of Alaska (FBAK), it is very conservative, has good reserves, family owned, and is only in banking (no insurance company, no investment advisors, etc). It pays about 5-6% dividend (although this year with extra dividend it paid about 10-12%).

My dumbest trade is one I let a broker talk me out of buying 10 shares of BRK (now A) in my profit sharing plan. Actually it probably made me more $ over the years as I use stock brokers as contrarian indicators. It always amazes me that they only recommend at the high and very seldom at the low.

Didn't forbes used to post the Big Mac index.

Their "historical prices" has been invaluable to me.

Android is a big hit, Google will continue to basically give away products that MSFT makes money on. That sucks. You make something and people use it. Your major competitor comes in and designs something just as good and gives it away from free. MSFT OS for Phone, MSFT Tablet OS, both will be non starters due to Android. They may exist, but not at a dominating 50% plus market share. Search is slightly protected for Google so they can continue to develop and give away free products. People are also having less and less of a reason to buy Office with Open Office and Google Docs. . . Gee, Isn't that what Microsoft does or did? What goes around, comes around. ;D

These were one of Peter Lynch's favorites. Just open a savings account then be patient til you get the prospectus.

Is it helping or hurting his moat if he is selling the Kindle at Target? (same price as Amazon)

I was just in Target and they have the Kindle for sale.

In her prior book she had a chapter on arbitrage. It's been awhile but I think the book was pretty basic.

P.S. In fact in most corporate cultures, don't come-in way over or way under your projections and budgets. It upsets everyone. WEB brags on folks who come in way over, he has confidence in himself and his ceos.

The biggest problem in following WEB is that all need to feel that they are in control. To follow WEB's system you must delegate and have the ultimate faith in your employees. This isn't as easy as it sounds. I read somewhere that he doesn't even talk to his ceo's for months at a time. Most folks just are too insecure to do this. WEB also doesn't do "hostile" take overs. I don't think Bulgari does "friendly" takeovers. imho