Published: Fri, March 02, 2018
Science | By

Warren Buffett now has a US$28.2bn stake in Apple

Warren Buffett now has a US$28.2bn stake in Apple

But Buffett says he's had a hard time finding acquisitions at reasonable prices, so he's sitting on $116 billion cash and short-term bonds.

He said the conglomerate recorded a $29 billion paper gain because of the tax reforms Congress passed late a year ago.

The Oracle of Omaha shared Berkshire Hathaway Inc's (NYSE:BRK.A) largest stock positions in his 2017 annual letter to shareholders over the weekend.

Buffett says the big lesson for investors is "stick with the big, easy decisions and eschew activity". Berkshire doesn't intend to actually repatriate that money, but that won't stop it from having to pay the tax. "For that to happen, we will need to make one or more huge acquisitions".

Meanwhile, insurance float, or premiums collected before claims are paid, and which gives Buffett more money to invest, was about $114 billion at year end.

I'm sure most readers have heard of Warren Buffett, but in-case you haven't he's one of the world's best investors and also one of the richest people in the world.

First there is a clear warning about an impending stock market disaster: Mr Buffett has not been buying stocks.

Buffett's Berkshire Hathaway reported a $29 billion paper gain on far-reaching changes to the US tax code, and the conglomerate will benefit from a lower tax rate going forward.

Book value is a company's basic value, or assets minus liabilities.

Cramer, who said he watched every minute of Buffett's CNBC appearance, described it as "the most important three hours you're going to get about securities analysis".

Buffett's Berkshire Hathaway, along with and JPMorgan Chase, said in late January that they planned to start a joint venture to improve health care for their workers.

Investors have received a letter from Mr. Buffett, confirming the tax cut to have amounted for nearly 50 percent of the profit in the net worth of the firm previous year.

At year-end 2017, Berkshire said it held USD116.0 billion in cash and US Treasury Bills, up from USD86.4 billion at year-end 2016.

Known to fans as "the Oracle of Omaha", Buffett, 87, has suggested USA stocks are probably the best bet over time, encouraging people to make easy choices and stick with them, eschewing high-fee fund managers, for instance. He says that "often, high-grade bonds in an investment portfolio increase its risk".

Fourth-quarter net income increased roughly fivefold to $32.55 billion, or $19,790 per Class A share, from $6.29 billion, or $3,823 per share, a year earlier, while annual profit rose 87 percent to $44.94 billion. That was almost double the previous year's $24.1 billion, or $9.76 per B share, because of the effects of the tax law. Berkshire's insurance businesses lost more than $A150 million fro Cyclone Debbie previous year, according to the June and September quarter financial reports.

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