Post #14237 by nola622 on the Berkshire Hathaway board

Please be respectful of others' privacy, and avoid sharing personal information or sensitive content without their permission. If you are unsure if something is appropriate to share, ask for permission (use the 'Privately email' option when replying to their post) or avoid sharing it altogether.

- Manlobbi

Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A) ❤

Unthreaded | Threaded | Whole Thread (7)

Prev | Next

Post New | Post Reply | Report Post | Recommend It!

No. of Recommendations: 5

Has people ever thought why Brk is outperforming SPY recently?

I would guess that Berkshire was outperforming because investors favor Berkshire when they are in a risk-off, kind of scared, mood.

For a trillion dollar company, Berkshire still doesn't have even close to the liquidity other companies its size have - a lot of Berkshire stock is sitting in taxable accounts not even considering a trade on any given day.

A little bit of incremental flow coupled with some violated covered call strikes can move the price a surprising amount. See 2007 for a recent analog.

I still feel like it's possible we see a strange move to another all time high in Berkshire shares before the general bear market re-asserts itself. At least it wouldn't surprise me. I've done my Berkshire selling for the year.

Post New | Post Reply | Report Post | Recommend It!

Print the post

Unthreaded | Threaded | Whole Thread (7)

Prev | Next

Announcements

Berkshire Hathaway FAQ

Contact Shrewd'm
Contact the developer of these message boards.

A community forum supporting civilized, and highly helpful, self-educating investors that come together for Shrewdness and merry spirits. These message boards closely follow the look and feel of the old message boards at boards.fool.com prior to the boards redirected to discussion.fool.com. Shrewd'm is not affiliated with the comprehensive and excellent investment website, The Motley Fool (TMF), in any way. The Shrewd commmunity here has owed, and continues to owe, gratitude to The Motley Fool for nurturing a culture of jovial irreverence towards Wall St, and that tradition will continue here.