Buffett/Berkshire - general news

[sleepydragon]

13 minutes ago, Spekulatius said:

He has got 30% of his fund in it. If he puts much more in it, why would anyone invest in this fund rather than buying BRK stock himself?

He couls also be keep getting new investors, some has existing portfolio only to be liquidated slowly for tax reasons .

 

his other picks like XOM and Para were also bought by Buffett only recently . I think he’s pretty good… of course not as good as Buffett

[yesman182]

8 hours ago, Spekulatius said:

He has got 30% of his fund in it. If he puts much more in it, why would anyone invest in this fund rather than buying BRK stock himself?

I hadn’t thought about it like that, good point. But it seems to me that most people who are using investment managers aren't reading about the funds holdings, they are just trusting the manager. 

[yesman182]

8 hours ago, sleepydragon said:

He couls also be keep getting new investors, some has existing portfolio only to be liquidated slowly for tax reasons .

 

his other picks like XOM and Para were also bought by Buffett only recently . I think he’s pretty good… of course not as good as Buffett

Yeah I think he is pretty good too. 

[John Hjorth]

9 hours ago, Spekulatius said:

He has got 30% of his fund in it. If he puts much more in it, why would anyone invest in this fund rather than buying BRK stock himself?

 

@yesman182, this argument by @Spekulatius applies also to several other money managers than Mr. Bloomstran.

 

Please just try to look up both BRK.A and BRK.B [and look at the data combined for both, too] on Dataroma, for an initial overview.

 

Qualification : We don't know the exact fee structure of every money manager. But it is likely a lot of money over time in management/performance fees to several GPs, transferred from their individual LPs.

 

Why pay someone for being patient on behalf of you, when you here can practise it yourself for free by doing squat?

[Gregmal]

Crazy isn’t it? That the overwhelming majority of WS money guys make decisions based on their interests even if they are detrimental to the interests of the people paying them? 

[DooDiligence]

5 hours ago, John Hjorth said:

 

@yesman182, this argument by @Spekulatius applies also to several other money managers than Mr. Bloomstran.

 

Please just try to look up both BRK.A and BRK.B [and look at the data combined for both, too] on Dataroma, for an initial overview.

 

Qualification : We don't know the exact fee structure of every money manager. But it is likely a lot of money over time in management/performance fees to several GPs, transferred from their individual LPs.

 

Why pay someone for being patient on behalf of you, when you here can practise it yourself for free by doing squat?

 

I'm up to 14.3% BRK.B & adding slowly because I'm a squat thrust enthusiast.

[John Hjorth]

1 hour ago, Gregmal said:

Crazy isn’t it? That the overwhelming majority of WS money guys make decisions based on their interests even if they are detrimental to the interests of the people paying them? 

 

Perhaps, @Gregmal - In  a way it does not matter. Please just continue here on CoBF to be you - yourself.

[Charlie]

"Crazy isn’t it? That the overwhelming majority of WS money guys make decisions based on their interests even if they are detrimental to the interests of the people paying them? "

 

What usually counts are the incentives of the decision maker.

You have this problem probably in every profession. It´s human nature.

So as Buffett would say: "Don´t ask the barbar, if you need a haircut." or as Munger said: "Double check the opinion of the expert and decide after carefully thinking."

Self-interest rule the world....

[DooDiligence]

Thread...

 

5 things poor investment teams do and thus what to avoid

[ValueMaven]

$50B of normalized earnings power for Berkshire is a bit aggressive.  I realize WEB prefers to use look-through earnings on the stock portfolio ... however I've always questioned that approach.  Is it really look through if Berkshire cant access them???  I think a much more rational normalized earnings is about $35B of operating income over a cycle with GDP plus 3-5% overtime - coupled with some modest sharecount reduction.  Stock is cheap regardless.  Will be interesting to see how aggressive the buybacks have bee in the $270 - $280 range...I'm guess BIGLY.  

 

I bet Berkshire crushes the SP500 over the next 10 years.

Edited July 4, 2022 by ValueMaven

[ValueMaven]

 

[sleepydragon]

If you point a gun next to my head and ask me to buy just one stock, my answer: this is it, Berkshire Hathaway 

[Sinbius]

The first mistake that always come to my mind when I think about investing is when BRK was around book value (lot of years ago) and I didn't went all in on it...image what a stress/work free investment journey I would have had...

 

And I'm thinking...if opportunity presents itself....will I f$ck up again?  

Edited July 6, 2022 by Sinbius

[gfp]

Warren and Astrid at Sun Valley this week with their BYD masks.  Don't worry, Mark Millard can keep buying OXY shares while Warren is on holiday.

[sleepydragon]

5 minutes ago, gfp said:

Warren and Astrid at Sun Valley this week with their BYD masks.  Don't worry, Mark Millard can keep buying OXY shares while Warren is on holiday.

Where can I buy that shirt?

[ValueMaven]

I cant wait till they close the Alleghany deal ... such a great move on many levels!

[John Hjorth]

Astrid looks great on the photo.

[NoCalledStrikes]

4 hours ago, John Hjorth said:

Astrid looks great on the photo.

Well she’s about 15 years younger than Warren and it’s a near certainty that her diet is better than his.

[gfp]

Buffett still buying OXY (but not today, highest price paid 59.50 this week) - another $700m

https://www.sec.gov/Archives/edgar/data/315090/000089924322025723/xslF345X03/doc4.xml

 

Ron Olson buying Berkshire

https://www.sec.gov/Archives/edgar/data/1067983/000120919122041510/xslF345X03/doc4.xml

 

 

Edited July 7, 2022 by gfp

[nwoodman]

Ron Olson, Director, bought 2,410 B Shares worth $661.18K.  Average price $274.35

 

SEC FORM 4

[ValueMaven]

Looks like Berkshire might have sold out of BYD.  A block trade occured that was the exact size of Berkshires stake.  

 

https://www.ft.com/content/23a53509-d732-41ce-aa40-87c7a9de8f31

[kh812000]

1 hour ago, ValueMaven said:

Looks like Berkshire might have sold out of BYD.  A block trade occured that was the exact size of Berkshires stake.  

 

https://www.ft.com/content/23a53509-d732-41ce-aa40-87c7a9de8f31

Good time to buy some BYD.

[ValueMaven]

There is a 1.7% deal spread into the Y transaction currently.  Assuming a tax-free account, you are looking at ~3.4% annualized return on a deal that will likely close in the next few months (Berkshire says 4Q)...worth keeping an eye on.

Edited July 13, 2022 by ValueMaven

[gfp]

Pilot got someone else to pay for the EV fast chargers - sounds smart

 

https://www.cnbc.com/2022/07/14/gm-evgo-and-pilot-company-to-build-network-of-us-highway-ev-chargers.html

[Monsieur_dee]

On 7/13/2022 at 3:32 PM, ValueMaven said:

 

Weird it traded over its buyout price when the deal was announced.