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The week's question
In March 2025, in the thread "Re: OT, out", Umm asked the members: "Do you think it is because America is made up of magical soil that makes businesses based in America magically profitable?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: mungofitch ✹✺🐝 SILVER
SHREWD
  😊 😞

Number: of 22353 
Subject: Re: OT: A heretic question
Date: 02/15/26 12:04 PM
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No. of Recommendations: 15
I am surprised, you seem to have a lot of fairly sophisticated ideas that a lot of people would pay to have access to.
+ Bottom detector
+ Options strategies
+ Falling knives ideas


Money management is a terrible way to make a living. If you aren't a sociopath, it's very stressful worrying about your clients' money. The regulatory nonsense burden is beyond description, so you need to be BIG. It suits those able to raise money, not those good at investing, And, of course, it's very difficult. Perhaps my experience is coloured a bit by having started just before the credit crunch : )

My greatest contribution to the industry, in my view, was my fee structure. 12% of any profits after all costs, but any loss I pay the client 2% of losses. No cap and a personal guarantee. It focuses the mind wonderfully. The biggest client, 8 figures for a public company, got double digits after fees in both 2008 and 2009 while fully hedged, so I call that a passable success. (at least I didn't have to give them money). One of my hedge fund clients had a sizeable percentage loss, redeeming during an admittedly bad NAV drawdown. One of my clients overrode my advice and sold WFC at $7.50, probably to Charlie Munger! He still did OK that year overall.

Jim
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This community has written 21,861 posts about Berkshire Hathaway. The article-length ones it recommended most:
BRK: Why Not XOM? · 62 recs · 2024
Second quarter comments · 60 recs · 2023
Berkshire's Profit Contributors · 58 recs · 2023
Summary of 2Q 2026 · 55 recs · 2026
3Q Summary · 53 recs · 2024
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