this may explain the 2 million shs sold after the close in the 79.95 range,
Chairman, Research Affiliates "We like a defensive posture, because either the economy stalls again, as is likely, or inflation re-ignites. If the former, long/short strategies are best, with a top pick being long Bank of America (BAC), short Berkshire Hathaway (BRKB).
That Kass might be one of the dumbest and shadiest guys they have on. He makes selective disclosures after the fact (who knows if he even made the trades) and has never reported any results. While the smart shorts like Einhorn were shorting LEH, C and AIG, this guy decides to short the strongest financial company around just because it will get his name in the press.
That decision isn't looking to good right now now matter what price he did it at. Even if the guy somehow covered for a profit at one point, Berkshire likely outperformed the market in that time so his "investors" did not see much benefit from his publicity stunt, he might as well be betting their money on coin flips with the type of gambles he takes.
And then there was the blown short call on September 17th. Listen to the B.S. and you can even see in the background that the Dow was 10,600 at the time. The other squiggly line guesser on the show took Kass to school but both were guessing and didn't have a clue. But it made for good entertainment and the higher the ratings, the more money they can make on selling airtime.
Of course, as is true with previous fortune tellers, people will forget the blown calls and continue to wait impatiently for the next "call". Those who want to believe that the short-term squiggly lines can be guessed correctly will believe almost anything.
In my opnion, the legal disclaimer below the video is the most important part of the link.
Defense is shorting one of the strongest companies around?
Why do these no names try to make a name for themselves by claiming to short Berkshire Hathaway?
If they want attention can't they just start a Facebook page instead?
Unfortunately everyone forgets what they said when they are wrong. Like the clown Kass a few years ago shorting BRK, doesn't look like a money maker now while C, LEH, AIG and others were the places to make money shorting and he passed those up (if the guy really did short BRK, I think the guy could be another Madoff because you never hear about his results just his crappy picks).
We'll need to revisit that strategy (long BAC, short BRK) at the end of 2011 and see how it made out. I have not read the article so perhaps more to it but my first reaction is that it is not a good idea.