Re:Why I don't trade stocks and (probably) neither should you
by natex on Monday December 02, 2013 @10:18AM
(#6834125)
You've described the opposite of what he does. It is widely known that Buffett does not interfere with a newly acquired company's strategy, management, or overall market. His bets are sure bets currently -- as they are.
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Re:Why I don't trade stocks and (probably) neither should you
by 3am on Monday December 02, 2013 @11:11AM
(#6834501)
He wasn't talking about their management processes, he was talking about their capital structure. And he was right. A lot of the acquired companies have high ROIC, because Berkshire Hathaway at its core is a big insurance company and Buffett's investing is there to increase the book value by investing the float.