Buffett/Berkshire - general news

[John Hjorth]

5 hours ago, Eldad said:

The grandchildren, who the hell knows what they are thinking. 
 

That was my favorite part. 
 

Enigmatic as always to me. What actually motivates him? Promises and shared values he had with a wife with whom he was separated. Lots of socialist ideas all mixed up with individualistic capitalism. 
 

It’s his money and I’m happy he is doing what he thinks is best. 
 

 

Personally, I think you're personally misinterpreting here, @Eldad.

 

Once, he had an 'adopted' kid - by marriage of his youngest son  - not being biological 'father'  to the daughter of such brought-in marriage kids, that young female creature stopped early being a false 'Buffett donation influencer', because the man send her a note [letter], whatever :'I haven't adobted you emotionally.'

[Spooky]

13 hours ago, adesigar said:

I don't know what but something about the letter made me feel like either he is planning to retire next year or something else is wrong. Could be why he has raised cash to over 325B.

 

Agree - seems like he is going to step down imminently.

[MarioP]

25 minutes ago, Spooky said:

 

Agree - seems like he is going to step down imminently.

Same thing here. I can imagine him asking Greg, Todd and Ted : what you don’t like about the portfolio? I’il put it in a state that will make you comfortable for the succession 

[Jaygo]

Warren Buffett is one classy guy. That letter does have a feel of goodbye in it which is sort of tough to take.

 

A public praising of his children is a nice touch that is somewhat rare in that generation. Bravo WB

 

His advice of discussing the will of a parent is very good advice, one I wish I had done with my dad as it may have made things easier to digest at a time of immense loss. Losing a friend and parent is not the best time to get bombarded with new information and a mountain of paperwork.

 

If WB does step down I selfishly hopes he writes a long letter to all of us. I could really do with one more dose of his wisdom. 

[Castanza]

On 11/25/2024 at 10:46 AM, villainx said:

"They are now 71, 69 and 66."

 

!

 

First kid when he was 23. All kids before 30. Pretty interested in contrast to todays average birth age (F27.5 & M30.9). 

[DooDiligence]

2 hours ago, Jaygo said:

Warren Buffett is one classy guy. That letter does have a feel of goodbye in it which is sort of tough to take.

 

A public praising of his children is a nice touch that is somewhat rare in that generation. Bravo WB

 

His advice of discussing the will of a parent is very good advice, one I wish I had done with my dad as it may have made things easier to digest at a time of immense loss. Losing a friend and parent is not the best time to get bombarded with new information and a mountain of paperwork.

 

If WB does step down I selfishly hopes he writes a long letter to all of us. I could really do with one more dose of his wisdom. 

 

I was very reluctant to talk with my Mom about this and as a result, I had no idea how things were set up when she passed. Everything went without a hitch as she had planned well but I feel like I cheated her the joy of talking about her final wishes. There's a lot of pride in passing on your life's work. If anyone else feels like they want to avoid appearing mercenary, don't, let them tell you how they want to pass things on to you. It makes me cry just writing this.

[John Hjorth]

27 minutes ago, DooDiligence said:

I was very reluctant to talk with my Mom about this and as a result, I had no idea how things were set up when she passed. Everything went without a hitch as she had planned well but I feel like I cheated her the joy of talking about her final wishes. There's a lot of pride in passing on your life's work. If anyone else feels like they want to avoid appearing mercenary, don't, let them tell you how they want to pass things on to you. It makes me cry just writing this.

 

You 'sailor' [former], now musician [piano, guitar],  DIY stock picker and muscle mountain with the big beard [Jeff [ @DooDiligence ]],

 

Wise words, and that you haven't lost the ability to produce tears in your eyes is a clear token of the quality of you personally as a hooman - a hooman with feelings.

 

Cry, then get up on your feet again, up on the horse! - and life will continue throwing curve balls your way!

 

Loosing parents - in most cases, one by one, - is not only life changing, - it's also - gradually personality changing for us all.

 

It's loosing the first consiglieres you ever relied on, and if you were lucky, they never - unconditionally -  let you down, no matter how stupid you have behaved and been.

[73 Reds]

56 minutes ago, DooDiligence said:

 

I was very reluctant to talk with my Mom about this and as a result, I had no idea how things were set up when she passed. Everything went without a hitch as she had planned well but I feel like I cheated her the joy of talking about her final wishes. There's a lot of pride in passing on your life's work. If anyone else feels like they want to avoid appearing mercenary, don't, let them tell you how they want to pass things on to you. It makes me cry just writing this.

I take issue with one part of Warren's letter, that you must share you Will with all *mature children* and get their input.  Wills can be changed as often, and as necessary as you want during your lifetime.  You never know when you have prepared your final Last Will and Testament.  Your situation changes, so does that of your intended beneficiaries.  There is also the question of what is meant by a "mature child".  Buffett's children were undoubtedly fully grown and financially independent when his last Will was drawn.  Not everyone is so lucky.  Most of us know mature 20 year olds and very immature 60 somethings.  If like many, you have children with varying levels of maturity, discussing your Will with any, but not all of of them can be a problem.  Finally, regardless of maturity, sharing your post-death intentions with children/beneficiaries ahead of time can create a legally unenforceable expectation by such beneficiaries (unenforceable should you change your mind and your Will).  You would neither want your children to live their lives with an expectation of an inheritance nor would you want to have to explain to them why you yourself changed your mind.  The one area where it is absolutely imperative to discuss your wishes in advance is in choosing a fiduciary (personal representative) to ensure that whoever you choose agrees, and is able to serve.  Even more important is when designating surrogates/powers of attorney for health or financial matters.  You should always obtain their consent and willingness to serve before designating anyone in such an important role.

[Blugolds]

1 hour ago, DooDiligence said:

 

I was very reluctant to talk with my Mom about this and as a result, I had no idea how things were set up when she passed. Everything went without a hitch as she had planned well but I feel like I cheated her the joy of talking about her final wishes. There's a lot of pride in passing on your life's work. If anyone else feels like they want to avoid appearing mercenary, don't, let them tell you how they want to pass things on to you. It makes me cry just writing this.

 

Amazing how loss can be quelled the majority of time day to day, but true love/loss never goes away, its always lurking there, just below the surface, waiting, ready to surprise you from a song, a smell, a memory. 

 

2020 and 2021 I lost the two most important people in my life, within 6 mo of each other, first my mom, unexpectedly and quick. We never discussed finances, she didnt have anything anyway and I was her only son. Next was my grandpa, who also lived a pretty simple life but had been successful in business when I was born, since Mom was gone her share passed to me. My Uncle, Aunt and I divided up the assets from my grandfather who passed at 91. The sums we are talking about would be fairly insignificant to anyone reading this, it didnt make that much difference to me monetarily, I was much more concerned about getting small trinkets that reminded me of way back when (i grew up living with my grandparents). To my Aunt and Uncle, the monetary value was all that mattered and they were ruthless! At times there was screaming, it was brutal and I could help but think that my grandfather would have had nothing to do with it, he would have been ashamed at their behavior. I ended up playing mediator despite a 30yr age difference and took the strategy of just trying to keep the piece, even if it meant I supplemented from my share, I had gotten what I wanted, some old tools to hand on the wall and an Eagle statue from the dining room. My point is, Warren’s advice to have these discussions BEFORE the emotions take over is fantastic advice, I think a lot of what I had to watch could have been avoided if everything was very clear rather than “share and share alike”. As other posters already commented, the LAST thing you want to deal with when your world has fallen apart is confrontation with those who are supposed to be support and partners processing grief.

 

Ive obviously never met WB, but like many here have the utmost admiration for him and have benefited from his ability and generosity sharing wisdom. I too feel the difficulty reading his letter, we all know that none of us get outta this alive, but that reality is still tough, Warren knows it too and he’s facing it with dignity and class right to the end. I cant help but stand, clapping for an encore. The show is coming to an end, the lights in the auditorium are dimming, but I dont wanna go home. Was tough to see the headlines when Charlie passed, but we still had Warren. When both are gone the finality of it will be difficult. I hope that the letter is just being responsible and preparation as planned, but my gut tells me he might sense the ride is coming to an end. 

[Munger_Disciple]

This is only tangentially related to BRK but Whitney Tilson is running for mayor of New York City.

 

https://archive.ph/1mIK3

[John Hjorth]

1 hour ago, 73 Reds said:

I take issue with one part of Warren's letter, that you must share you Will with all *mature children* and get their input.  Wills can be changed as often, and as necessary as you want during your lifetime.  You never know when you have prepared your final Last Will and Testament.  Your situation changes, so does that of your intended beneficiaries.  There is also the question of what is meant by a "mature child".  Buffett's children were undoubtedly fully grown and financially independent when his last Will was drawn.  Not everyone is so lucky.  Most of us know mature 20 year olds and very immature 60 somethings.  If like many, you have children with varying levels of maturity, discussing your Will with any, but not all of of them can be a problem.  Finally, regardless of maturity, sharing your post-death intentions with children/beneficiaries ahead of time can create a legally unenforceable expectation by such beneficiaries (unenforceable should you change your mind and your Will).  You would neither want your children to live their lives with an expectation of an inheritance nor would you want to have to explain to them why you yourself changed your mind.  The one area where it is absolutely imperative to discuss your wishes in advance is in choosing a fiduciary (personal representative) to ensure that whoever you choose agrees, and is able to serve.  Even more important is when designating surrogates/powers of attorney for health or financial matters.  You should always obtain their consent and willingness to serve before designating anyone in such an important role.

 

1 hour ago, Blugolds said:

Amazing how loss can be quelled the majority of time day to day, but true love/loss never goes away, its always lurking there, just below the surface, waiting, ready to surprise you from a song, a smell, a memory. 

 

2020 and 2021 I lost the two most important people in my life, within 6 mo of each other, first my mom, unexpectedly and quick. We never discussed finances, she didnt have anything anyway and I was her only son. Next was my grandpa, who also lived a pretty simple life but had been successful in business when I was born, since Mom was gone her share passed to me. My Uncle, Aunt and I divided up the assets from my grandfather who passed at 91. The sums we are talking about would be fairly insignificant to anyone reading this, it didnt make that much difference to me monetarily, I was much more concerned about getting small trinkets that reminded me of way back when (i grew up living with my grandparents). To my Aunt and Uncle, the monetary value was all that mattered and they were ruthless! At times there was screaming, it was brutal and I could help but think that my grandfather would have had nothing to do with it, he would have been ashamed at their behavior. I ended up playing mediator despite a 30yr age difference and took the strategy of just trying to keep the piece, even if it meant I supplemented from my share, I had gotten what I wanted, some old tools to hand on the wall and an Eagle statue from the dining room. My point is, Warren’s advice to have these discussions BEFORE the emotions take over is fantastic advice, I think a lot of what I had to watch could have been avoided if everything was very clear rather than “share and share alike”. As other posters already commented, the LAST thing you want to deal with when your world has fallen apart is confrontation with those who are supposed to be support and partners processing grief.

 

Ive obviously never met WB, but like many here have the utmost admiration for him and have benefited from his ability and generosity sharing wisdom. I too feel the difficulty reading his letter, we all know that none of us get outta this alive, but that reality is still tough, Warren knows it too and he’s facing it with dignity and class right to the end. I cant help but stand, clapping for an encore. The show is coming to an end, the lights in the auditorium are dimming, but I dont wanna go home. Was tough to see the headlines when Charlie passed, but we still had Warren. When both are gone the finality of it will be difficult. I hope that the letter is just being responsible and preparation as planned, but my gut tells me he might sense the ride is coming to an end. 

 

@73 Reds and @Blugolds,

 

Amazing posts by you both upstream in this topic earlier today. Thank you for sharing.

[Ballinvarosig Investors]

Quote

Father time always wins. But he can be fickle – indeed unfair and even cruel – sometimes ending life at birth or soon thereafter while, at other times, waiting a century or so before paying a visit. To date, I’ve been very lucky, but, before long, he will get around to me.

A very sombre tone.

[nwoodman]

I know everyone’s mileage differs, but I personally think this is one of the best pieces of advice he has ever given.  

 

“I have one further suggestion for all parents, whether they are of modest or staggering wealth. When your children are mature, have them read your will before you sign it.

 

Be sure each child understands both the logic for your decisions and the responsibilities they will encounter upon your death. If any have questions or suggestions, listen carefully and adopt those found sensible. You don't want your children asking "Why?" in respect to testamentary decisions when you are no longer able to respond.

 

Over the years, I have had questions or commentary from all three of my children and have often adopted their suggestions. There is nothing wrong with my having to defend my thoughts. My dad did the same with me.

 

I change my will every couple of years - often only in very minor ways - and keep things simple. Over the years, Charlie and I saw many families driven apart after the posthumous dictates of the will left beneficiaries confused and sometimes angry. Jealousies, along with actual or imagined slights during childhood, became magnified, particularly when sons were favored over daughters, either in monetary ways or by positions of importance.
 

Charlie and I also witnessed a few cases where a wealthy parent's will that was fully discussed before death helped the family become closer. What could be more satisfying?”

 

 

Edited November 27, 2024 by nwoodman

[Parsad]

10 hours ago, Munger_Disciple said:

This is only tangentially related to BRK but Whitney Tilson is running for mayor of New York City.

 

https://archive.ph/1mIK3

 

If you have nothing nice to say, say nothing at all!

 

Therefore, I shall say nothing!  Cheers!

[alpha]

 

NY fined Geico for data breach: https://www.reuters.com/business/finance/new-york-fines-geico-98-million-over-data-breach-2024-11-25/

 

Looks like your personal driver info is worth about $84  

[coc]

On 11/26/2024 at 1:44 PM, Munger_Disciple said:

This is only tangentially related to BRK but Whitney Tilson is running for mayor of New York City.

 

https://archive.ph/1mIK3

 

Ackman is trying to play kingmaker. I guess Tilson is no more of a con / salesjob than Trump was in his heyday.

[Spooky]

Decent article in Fortune about Berkshire comparing it to big tech: https://fortune.com/2024/11/30/warren-buffett-stocks-net-worth-berkshire-hathaway/

 

"So far in this tech-infatuated year, Berkshire’s stock has outperformed the shares of Apple, Microsoft, and Alphabet. It has beaten the tech-heavy Nasdaq as well as the S&P, the Dow, and the Russell 2000."

 

"Add up a company’s assets and then subtract its liabilities. What’s left is net worth. Apple’s net worth is $57 billion. Nvidia’s is $66 billion. Berkshire’s is $663 billion. Some of the other tech giants have a higher net worth than Apple and Nvidia have, but none reach even half of Berkshire’s."

[redskin]

17 hours ago, Spooky said:

Decent article in Fortune about Berkshire comparing it to big tech: https://fortune.com/2024/11/30/warren-buffett-stocks-net-worth-berkshire-hathaway/

 

"So far in this tech-infatuated year, Berkshire’s stock has outperformed the shares of Apple, Microsoft, and Alphabet. It has beaten the tech-heavy Nasdaq as well as the S&P, the Dow, and the Russell 2000."

 

"Add up a company’s assets and then subtract its liabilities. What’s left is net worth. Apple’s net worth is $57 billion. Nvidia’s is $66 billion. Berkshire’s is $663 billion. Some of the other tech giants have a higher net worth than Apple and Nvidia have, but none reach even half of Berkshire’s."

I think Buffett would cringe with this article.  He would much prefer to be 'Capital light'.  Apple has returned close to $1 trillion to shareholders through dividends and buybacks over the past 15 years.  Apple could've retained that capital and exceeded Berkshire's 'Net Worth' by a significant margin.  

[Blake Hampton]

"Charlie Munger, Berkshire’s vice chairman and my partner, and I believe both Berkshire’s book value and intrinsic value will outperform the S&P in years when the market is down or moderately up. We expect to fall short, though, in years when the market is strong – as we did in 2013. We have underperformed in ten of our 49 years, with all but one of our shortfalls occurring when the S&P gain exceeded 15%."

 

- Warren Buffett, 2013 shareholder letter

[gfp]

17 minutes ago, A_Hamilton said:

I was once at a fireside Q&A with Charlie Munger at Cal Tech.

 

Tilson gets up to ask a question, but starts by saying "When you and I were at dinner together last week..." and Munger interjects and says "You and I were not at dinner together last week. We were at an event where we both ate dinner and were at separate tables."

 

Tilson was so blatant in his slimy attempts to try to improve his image by somehow indicating to the world that he was connected to Buffett and Munger. I was so happy to see Munger call it out for what it was.   

 

That's a hilarious story!  Thank for sharing that

[Munger_Disciple]

48 minutes ago, gfp said:

 

That's a hilarious story!  Thank for sharing that

 

+1, thanks for sharing @A_Hamilton

[Libs]

2 hours ago, A_Hamilton said:

I was once at a fireside Q&A with Charlie Munger at Cal Tech.

 

Tilson gets up to ask a question, but starts by saying "When you and I were at dinner together last week..." and Munger interjects and says "You and I were not at dinner together last week. We were at an event where we both ate dinner and were at separate tables."

 

Tilson was so blatant in his slimy attempts to try to improve his image by somehow indicating to the world that he was connected to Buffett and Munger. I was so happy to see Munger call it out for what it was.   

 

Post of the year.

[hasilp89]

5 hours ago, A_Hamilton said:

I was once at a fireside Q&A with Charlie Munger at Cal Tech.

 

Tilson gets up to ask a question, but starts by saying "When you and I were at dinner together last week..." and Munger interjects and says "You and I were not at dinner together last week. We were at an event where we both ate dinner and were at separate tables."

 

Tilson was so blatant in his slimy attempts to try to improve his image by somehow indicating to the world that he was connected to Buffett and Munger. I was so happy to see Munger call it out for what it was.   

that is hilarious. thank you for sharing. 

[adesigar]

https://www.thestack.technology/300-million-cloud-bill-triggered-a-rethink-at-this-firm-and-a-shopping-spree-on-modular-hardware/
 

Geicos cloud bill 

[RadMan24]

13 hours ago, adesigar said:

https://www.thestack.technology/300-million-cloud-bill-triggered-a-rethink-at-this-firm-and-a-shopping-spree-on-modular-hardware/
 

Geicos cloud bill 

That's quite interesting thanks for sharing.