Subject: Re: FT Series BRK after Buffett
The record that the FT has inferred doesn't bother me for the following reasons:

- T&T are just 2 employees working for Berkshire. The person in charge is Buffetr. It's
his decision to use them as he sees fit and in no other company do shareholders "demand" that the chief executive offer individual performance metrics for public discussion.
Their performance assessment is best left to their manager who has the relevant facts to hand,has significant skin in the game and is fairly ruthless.
- The key challenge in Berkshire is capital allocation and management across a conglomerate not "stock picks". How to use T&T after Buffett is a decision for the next CEO.
- The behavioural characteristic that would interest me is actually thinking of the problem by inverting. How often have they their portfolios had permanenent capital losses ? I believe the key risk to Berkshire in the future is actually a capital allocation mistake - most likely in a massive acquisition that unravels and destroys shareholder value for good.
For the next 5-10 years the existing set holdings plus buybacks will keep the compounding maching chugging along at between 8-10% pa even if nothing heroic is done on the investment side. This has actually been the case in the last 5 years though the returns have been better than at least I expected when I was in Omaha exactly 5 years ago for the AGM !