ATLBob

Berkshire Hathaway Options Trading Could Facilitate Speculative Behavior

Individual (small) investors trading options on Berkshire Hathaway?

"I'll never understand why TRADERS always seem to invent new ways to lose money when the old ones worked just fine". (With apologies to Wells Fargo's Chairman Richard Kovacevich who said this about bankers)

Buffett's New Moats: NRG Energy, Nalco

On Feb 19 11:13 AM Did U Think The Ponzi Scheme Would Last? wrote:

> Well it's about time for Buffet to get some new moats because his
> a$$ is sinking fast in the old ones.


There always seems to be an endless supply of people who opine that Warren Buffet and Charlie Munger have "lost it", or that they aren't in touch with the way the markets work today. When Berkshire didn't participate in the 'dot-com' frenzy a few years ago, they were called dinosaurs until the 'dot-coms' became 'dot-bombs' and self-imploded. Warren and Charlie have certainly made some mistakes in the past and will likely make more; however, when all of the day traders and shorts have crashed and burned once again, Berkshire will still be standing.

Berkshire Testing November Lows - Already Down 17% YTD

"A Black Swan event: refers to a large-impact, hard-to-predict, and rare event beyond the realm of normal expectations." (from Wikipedia)

(The following is from "The Black Swan: The Impact of the Highly Improbable", By NASSIM NICHOLAS TALEB)

"A Black Swan (and capitalize it) is an event with the following three attributes.

First, it is an outlier, as it lies outside the realm of regular expectations, because nothing in the past can convincingly point to its possibility.

Second, it carries an extreme impact.

Third, in spite of its outlier status, human nature makes us concoct explanations for its occurrence after the fact, making it explainable and predictable. "

2008 Berkshire Hathaway Shareholder Meeting: Detailed Notes

The next best thing to being there...thanks.

Is Berkshire Hathaway Worth More Dead or Alive?

A well done, down to earth explanation of how Berkshire practices might have worked to improve the overall value of STRT. Thanks for this fine work.