WB/Berkshire and traded stock holdings performance

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unmesh
Posts: 18
Joined: Sun Feb 23, 2014 4:28 pm

WB/Berkshire and traded stock holdings performance

Post by unmesh » Mon Mar 20, 2017 1:25 pm

I'm a big fan of BRK and got into a discussion with a friend this past weekend who questioned whether there has been any published analysis of his/their stock picking ability in public markets. (He had no problem with my contention that their access to private markets and to low cost funds through the insurance business also had value to retail investors such as myself)

Is anyone aware of such an analysis?

Thanks.

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knpstr
Posts: 1670
Joined: Thu Nov 20, 2014 8:57 pm
Location: Michigan

Re: WB/Berkshire and traded stock holdings performance

Post by knpstr » Mon Mar 20, 2017 1:36 pm

Generally speaking Warren invested in small caps when he got started, they were publicly traded stocks/situations that anyone could have found.

Just to illustrate, according to his partnership letter from January 1968:

Over the period of 1957-1967:
The Dow had annual compounded rate of 9.3%
Buffett Partnership had annual compounded rate of 29.4% (overall return)
Limited partners had annual compounded rate of 23.6% (return after fees to investors)

Not bad for the young Buffett at 27-37 years old over that time period!

:beer
Very little is needed to make a happy life; it is all within yourself, in your way of thinking. -Marcus Aurelius

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