Global businessman and investor Warren Buffett, also known as Oracle of Omaha, in an exclusive interview to ET NOW spoke on a range of topics, including the nature of business and markets in India. “We have $90 or $95 billion in gains, and our owners, dollar for dollar, will participate in that”.
Buffet also said that people should remain invested in strong businesses and that it was easier to invest in 1950 than today as there was less competition.
Speaking to almost 30,000 of his Berkshire Hathaway shareholders Saturday, the second richest person in the world didn’t mince words about Republicans’ second attempt at repealing and replacing Obamacare.
According to Yahoo! Finance, Munger acknowledged during Berkshire Hathaway’s annual general meeting over the weekend the company’s mistake in missing out on technology stocks.
Buffett told the more than 30,000 people who attended the annual meeting that flawed compensation systems – such as the arrangement that rewarded Wells Fargo employees for meeting aggressive sales goals – can promote the wrong behavior.
Buffett said if the bill pushed by President Donald Trump was in effect previous year, his federal income taxes would have gone down by 17 percent. “In Buffett’s annual letter in 2015, he gloated that 98% of shares voted were against the proposal, a result he interpreted as, “‘Don’t send us a dividend but instead reinvest all of the earnings, ‘” adding, “To have our fellow owners-large and small-be so in sync with our managerial philosophy is both remarkable and rewarding”.
Berkshire now owns 133 million shares of Apple, which Buffett said behaves more like a consumer-products company than a tech company.
At Berkshire’s shareholder meeting Saturday, Buffett was asked about the challenges of replacing Ajit Jain because Buffett has heaped praise on Jain for years.
Buffett said flawed compensation is also a problem for hedge-fund managers, arguing that people would be better off sticking their money in a low-priced index fund.
“It would certainly be unpleasant if we were in the department store business”, Munger said.
Shareholders overwhelmingly rejected a proposal that would have required Berkshire to disclose its political contributions twice a year.
Buffett and Munger started taking questions after the traditional shareholder movie, and after Buffett roamed a nearby exhibit hall featuring products from Berkshire companies.
He was joined at the traditional newspaper tossing contest by friends including Microsoft Corp MSFT.O co-founder and Berkshire director Bill Gates and Miami Dolphins defensive tackle Ndamukong Suh.
Buffett is least excited by driverless cars and trucks, saying they pose a threat in many ways.
“I was impressed with Jeff early”.