Message Font: Serif | Sans-Serif
No. of Recommendations: 0
Nevertheless, given that 1) during the earlier periods under consideration,
investments accounted for a much higher proportion of calculated value
than latter periods, 2) during the years surrounding the Great Bubble the
relative price of those investments was far higher than currently, and 3)
that what matters to us ultimately is value, rather than price...
...the growth in value over the past decade is even better than what your method calculates.

This is certainly true.
I don't think a lot of people appreciate that until the Gen Re acquisition,
Berkshire's equity holdings as a percentage of book value was over 100%.
Equities have gone from 126% of book at end 1995 to 48% now.

The figure was around 65-70% in 1999 in one of the most bubbly years.

Print the post  


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.