++ Thank you for a civil discussion in advance, lol. ++
brky, i'm layin 2 to 1 this doesn't turn into a , civil discussion, want to make a friendly wager ?? lmfaooooooooooooooo.
we haven't had this chat in some time. I read your 50 year letter for the third time last night. Since you haven't done an interview with anyone who follows brkb, owns brkb, or understands your thinking lets revisit a few issues and hope I don't upset brky for bringing up issues I first raised in 2006. In this letter you repeatedly discuss IV, how BV no longer reflects the true value of brk or its IV which I have been saying since 2006. Since we agree the OBVIOUS question is, why not amend the buyback to authorize buybacks at, material discounts IV ? IF brk trades down to 1.22 xs BV and you and munger agree its trading at a 50 % discount to IV, should brk be prohibited from buying back its stock due to a silly BV limit ?
Second, what % of money managers, investors, worldwide , cant or wont buy a non div paying stock ? I ran into this problem in the 80s, however I was running small cap companies and a cash div didn't make sense for small start ups. I did give serious thought to a, stock div, which may have served the purpose and helped to create DEMAND for my companies shares but I didn't want the costs and expenses related to my transfer agent etc so I never did it. SO, my question is, why doesn't brkb declare a stock div, say 1.5 % or so ? Those who need income can sell those shares yearly and keep their core position unchanged forever. Those who don't need the div can keep the shares. YES its a taxable event BUT, YOU have become a seller FOREVER, YOU want full and fair value for the foundation sales of YOUR shares, FOREVER. Would a div, cash or stock increase DEMAND for brk WORLDWIDE to more than off set the cost of the taxable event of a stock or cash div ?
Lets see how the experts in brkville respond to these two questions and then we can more forward. Thank you for a civil discussion in advance, lol.
++ hc why do you do not mention the different tax consequences of long term capital gains on gold, silver, collectibles++
bro, every brkb shareholder and every prospective brkb shareholder doesn't live in Brooklyn or LA, dig ? AFTER tax returns wasn't the point. Read my next post.
++ you think if buffett would give up control of berkshire today, that it would really make that much difference?++
sean, if buffett called me and told me he was stepping down today and asked my advice I would tell him to,
declare a 1.50 div and raise it 5 % a year forever.
amend the buyback press release to allow buybacks at, material discounts to IV.
brkb would gap up on the open, its that simple !!
professor dumb luck is GOOD, hence, since i'm not a huge ginny fan, I sold 1/2 the calls , now i'm on a free roll. IF she pulls a miracle and the stock pops toward 170ish, i'm gone if not, and she misses, again, and the stock drops back toward 160ish, no harm, no foul , I took my shot !
IF she beats, the danSIN girls will be friendly tonight !
lol, u daman !! remember bro, before someone like brky makes up a SSStory about what I said, i'm betting there is little chance ginny guided to a number she cant beat in q-1, she cant be THAT hopeless, NOT a huge bet because she is VERY weak, but a bet. we'll know soon enough, if the calls expire worthless it wasn't a bad bet, RISK to REWARD !! now, go goog, pam and jenna !
++ those are elderly aunts of yours? ++
yep, I would LOVE to provide in home care for my old aunts, Pam Anderson and Jenna Jameson. bro I have a hunch on your next visit to vegas after I take you to dinner we may not be hanging out much together ?? have a grand day.
I think buffett lost a billion or so on this beauty.
++ what if all that bad stuff doesn't happen.++
bro, if the middle east learns to live in peace, if there is no terror on our soil, and buffett is running brk in 10 years, brkb will do best over 10 years AND, pam and jenna will both be living with me so I wont be following the markets much !!
++ The question is would you rather have $300,000 of gold or $300,000 of Berkshire stock in your safe deposit box now. Cant wait to hear the answer to this.++
morning professor, u miss the point as usual. uncle has been bashing bonds and gold for years so far, both have done very well relative to my brkb, in fact, for guys like u and me, OPTION PLAYERS, using spy and gld were even better, higher premiums, more vol ! To answer your question, you tell me since YOU are the professor, what happens first, the entire middle east blows up, a major terror attack on our soil, or buffett gives up control of brk, and i'll tell you what does best going forward, gld or my brkb. Thanks bud.
las vegas sun, NV energy is getting tons of heat over this issue putting uncle warren in an another uncomfortable position.
if you put 100k of brkb, a stock certificate, and 100k of gold into your safe deposit box 10 years ago, they both yielded zero for the 10 year period, and gold still has a small lead in appreciation. I wonder WHY no expert ever brings this fact up to buffett ? How have bonds done vs brkb the past 10 years ? brkb vs spy is close with spy offering the div yield. Despite all the turmoil the past 5 years , gld has not kept up with previous gains even in a very low interest rate environment ?? The next 5-10 years will be very interesting if buffett stays healthy and he is still running brk for that time period. We all know buffett is very happy to sell off his life's work, via the foundations, at 1.4ish xs BV, forever, hence I don't expect another, shareholder friendly move, until and unless brkb trades down toward 1.3ish xs BV. I know what move I expect buffett to make IF that happens but down another 5-7 % from 140ish could get ugly.
brky, ask me now bro, is there any part of this post you don't understand or are you going to claim I said brkb will not trade above 1.2 xs BV in 12 months ? Thanks bud.
so much of the content from these three idiots is so bad its a must 45 minutes for entertainment value. Its so disappointing that its almost hopeless to get any value from financial experts who talk about brk and buffett. Maybe they will get an hour show on cnbc ??
still puny premiums in the brk puts bro. Its getting interesting tho in various ways.
we saw absinthe last night for the first time. It was ok but I cant recommend it for 100 $$ plus a ticket. The bridge chairs are very tight and uncomfortable for old backs and large butts ! The Bellagio buffet king crab was great as always but the Salmon was dried out and the food options limited, I guess its worth 35 $$ for the crab if you have to pay and the service was 5 star. The rooms in the Palace Augusta Tower are very nice, unlike the rooms at most other Harrah's properties but I still was up at 4am so i came home for a down 140 market. Have a grand day old bud.
I eat the salmon at Tides if I go. I miss the spoint comps to the steakhouse and Italian, they no mailed me last year. Our crew likes Nobu at the Palace , not my kind of food, the cook makes me seafood and veges stir fried we go 1-2 xs a month. But still my fav in town, Hugos Cellar at the Four Queens , my friends have over 10k in comps so they take us twice a month, if you like beef wellington, forgettaboutit ! Great veal too !! I'm sure you love Hugos, no ? The Old Homestead Steakhouse at Caesars is also very good, but a 500 $$ comp doesn't go that far.