2006-07-26 05:02:40 · 2 answers · asked by Anonymous in Business & Finance ➔ Investing
The "Oracle of Omaha" doesn't do penny stocks. In fact, Berkshire Hathaway couldn't do them even if it wanted to. It would be a violation of their prospectus. Anyway, I think Warren is too smart for that sort of gamble. Now, small caps are an entirely different story. I wish I could talk to him about that subject!
2006-07-26 05:39:12 · answer #1 · answered by SuzeY 5 · 0⤊ 0⤋
Huh? Does Warren Buffett invest in penny stocks? No. Warren Buffett invests primarily in insurance companies. Berkshire Hathaway's annual report says that much:
Berkshire Hathaway Inc. is a holding company owning subsidiaries engaged in a number of diverse business activities. The most important of these is the property and casualty insurance business conducted on both a direct and reinsurance basis through a number of subsidiaries. Included in this group of subsidiaries is GEICO, one of the four largest auto insurers in the United States and two of the largest reinsurers in the world, General Re and the Berkshire Hathaway Reinsurance Group.
http://www.berkshirehathaway.com/2005arn/2005ar.pdf
As of December 31, 2005, Berkshire Hathaway owned $46.7 billion worth of publicly traded stocks (fixed-income investments, including loans, were $41.9 billion, cash and equivalents, $44.7 billion); total assets of the company were $198.3 billion.
2006-07-26 12:24:23 · answer #2 · answered by NC 7 · 0⤊ 0⤋