Final 12 months Berkshire Hathaway inventory went up 4% whereas the S&P 500 (together with dividends) fell 18%. Berkshire shouldn’t be all the time a port within the storm, nevertheless it has all the time made it out of the storm by specializing in crucial issues: Free money stream, profitability, diversification and high quality of administration. That is how a conglomerate with only a few dozen folks within the dwelling workplace can spend money on a whole bunch of companies with hundreds of staff and endure over the course of half a century (and, let’s hope, past).
As a long-time shareholder of Berkshire, I’m comfortable to obtain and share this 12 months’s letter from our chairman, Mr. Warren Buffett.
