No. of Recommendations: 8
I start with the assumption that all price rises beyond rises in fair value are transient. Though it may take a while.
100% agree. The weighing machine ultimately wins out.
Sure, both prices will tank similarly in a bear market
On this point I strongly disagree--if the bear market hits with Berkshire's composition anywhere near today's. Berkshire is rightly viewed as a less equity exposed, lightly leveraged, beacon of safety. Just as in the dotcom crash, I suspect Berkshire and the S&P might even move in opposite directions.
