Berkshire Hathaway: Breaking The Traditional Rules Of Income Investing

Lately, I’ve been coming around to the notion that buying Berkshire Hathaway is on the short list of “very intelligent” moves you can make today if your time horizon is 15+ years out and you are looking for something that will eventually pay dividends, but are investing in a taxable account and don’t mind seeing a pile of money quietly build up as Buffett does his thing.

There’s a couple things that brought me to this point: Upon reflection on Buffett’s letter to shareholders that came out in the spring, we have a very rough gauge of what Buffett considers to be the fair value of Berkshire Hathaway stock (you should note that Buffett doesn’t spoon-feed information to his audience, so he makes you do just a little bit of independent thinking before you reach the conclusion that he desires).

In that letter, Buffett indicated that Berkshire would be repurchasing … Read the rest of this article!