" A far more prominent—and much larger—investor, Warren Buffett of Berkshire Hathaway, has said that he is highly skeptical about current stock price levels. Berkshire’s balance sheet says it all. As of June 30, the company owned a staggering $339.8 billion in cash and short-term Treasury securities.

This cash poses an interesting problem for Greg Abel, whom Buffett has picked to replace him as Berkshire’s chief executive next year. Abel will have to figure out whether to do something with that cash or whether to let it keep piling up.

The seemingly irrationally rising market also poses an interesting problem for money managers who, unlike Buffett and Abel, need to worry about investors fleeing if they begin to replace stocks with less-risky investments—and reducing managers’ income as a consequence."

msn.com - Pity the poor money manager just this once