you are correct that the scandals are in the past (we hope, I own some B's at around the current price) but Gen Re has not been a great underwriter and there is no evidence to say the future will be great... WTM has a much better underwriting record
Not to mention with the options on the B shares, you can now buy 3 units of Berkshire B for every unit of cash in your brokerage account. Effectively, if Berkshire is poised to earn even a modest 12% return per year, you can get 36%. Why anybody would own any other stock is beyond me.
Alright let me rephrase that, they sold their equities and I like equities held by insurance companies. As the portfolio doesn't meet my objective, I feel more comfortable holding other stocks.
Interesting company....asset growth is mostly through acquisition though... they invest the float mainly in cash and JC Flowers funds.... When financials were in their heydey these PE investments really goosed the stock, lately Flowers has picked more dogs than just about anyone... Interesting, but WTM a much better buy on BV alone with some hidden assets as well...also it appears they are turning things around and its along way up just to get close to BV....